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Venmo is a popular digital payment app withmany optionsfor sending and receiving money. If you’re unfamiliar with or new to the app, you probably wonder about Venmo fees. Does it charge them, and can you avoid them? This quick guide has answers for you.
Does Venmo Charge a Fee?
Yes, Venmo does impose fees for specific types of transactions, while others are free. It’s essential to familiarize yourself with Venmo fees to minimize the cost of using the app.
How Much Does Venmo Charge?
Here are some fees associated with using the Venmo app:
- A 3% fee for sending money via credit card.
- A 1% to 5% fee, with a minimum of $5, for immediate access to funds from deposited or cashed checks.
- 1.9% of the Pay with Venmo transaction amount plus an additional 10 cents or 2.29% plus 9 cents to receive payment for goods or services.
- 1.75% or a minimum of 25 cents or a maximum of $25 to transfer money instantly to a bank account or debit card.
- Variable fees for cryptocurrency transactions, starting at 49 cents.
The following provides more details on Venmo fees for different situations. But notably, Venmo doesn’t charge an account set up fee or monthly fee.
Sending Money
To send money to others, Venmo charges a fee of 3% of the transaction amount when using a credit card. It’s free if you use your Venmo balance, debit card or bank account.
If you want to send money using Visa+, you can for free if the recipient is a PayPal digital wallet. But if you want to send money with Visa+ to another type of digital wallet, you’ll face a 1.75% fee with a minimum fee of 25 cents and a maximum fee of $25.
Receiving Money
You might be wondering: Does Venmo charge a fee to receive money? You won’t incur a fee to receive money on Venmo unless the sender flags the transaction as payment for purchasing a product or service.In this case,you’ll pay a Venmo goods and services fee of 1.9% plus an additional 10 cents when receiving the payment with a personal, business or charity account. This fee increases to 2.29% plus an additional 9 cents if you have a business account and payment is sent via the Tap To Pay feature.
Depositing Money
You could incur the following fees when adding money to your account:
- A 1% fee with a $5 minimum to deposit payroll or government checks and get immediate access to the funds.
- A 5% or $5 minimum fee to deposit non-payroll and non-government checks and get instant access to the funds.
If you want to avoid fees when depositing checks, opt to wait for your funds. After ten days, you can tap into the funds from your cashed check without a fee. Also, if Venmo rejects your check deposit for security reasons, then you won’t encounter a fee because the funds won’t make it into your account.
Transfers
Venmo charges a 1.75% fee that can add a minimum of 25 cents and up to a maximum of $25 when transferring money to a debit card or bank account using the Instant Transfer withdrawal option.
You can avoid this fee by opting for a standard transfer. Depending on your situation, it might take a few business days for a standard transfer to hit your account. But the wait can help you make the most of your funds by avoiding a fee.
Buying or Selling Cryptocurrencies
The fees for buying or selling cryptocurrencies with Venmo vary based on the value of the crypto being bought or sold:
| TRANSACTION AMOUNT | FEE |
|---|---|
| $1 – $4.99 | 49 cents |
| $5 – $24.99 | 99 cents |
| $25 – $74.99 | $1.99 |
| $75 – $200 | $2.49 |
| $200.01 – $1,000 | 1.80% |
| $1,000.01 and up | 1.50% |
If you are receiving a cryptocurrency transfer, you won’t encounter a fee. If you are transferring cryptocurrency to another Venmo or PayPal account, you also won’t face a fee.
Venmo Mastercard Fees
It’s free to get a Venmo debit card. When using the card, you won’t face any in-network ATM withdrawal fees. But out-of-network ATM withdrawals will cost $2.50 per transaction. If you want to withdraw funds over the counter, you’ll face a $3 fee.
Venmo Business Transactions
If you use Venmo to accept payments from customers, you’ll encounter several fees. You’ll pay either 1.9% + a $0.10 transaction fee when you receive payments for goods or services. If a customer sends funds to your business profile through Tap to Pay, you’ll pay a fee of 2.29% + a 9 cent transaction fee when you receive a payment to your business profile.
How Do I Avoid Fees on Venmo?
If you want to minimize the fees you pay through Venmo, put the following tips into practice.
- Read the fine print: Don’t let yourself get surprised by a fee. Read the details closely to understand what fees you might encounter.
- Don’t use your credit card: Use your Venmo balance, bank account or debit card to avoid the 3% credit card fee.
- Wait for standard transfers: Standard electronic withdrawals allow you to bypass instant transfer fees. If possible, always opt for the standard transfer. Although you might have to wait a few days to use your funds, the lack of a fee might be worth it.
- Be patient for check deposits: Postpone accessing funds from check deposits to avoid check-cashing fees.
Venmo Fees vs. PayPal Fees
Venmo is owned by PayPal, and the two platforms share some of the same transaction features. Is one more expensive than the other? This table provides a quick comparison of some of the transaction fees common to both platforms.
| TRANSACTION TYPE | VENMO | PAYPAL |
|---|---|---|
| Sending money | – 3% when using a credit card – Free when using Venmo balance, debit card or bank account | – 2.99% + 30 cents when using credit and debit cards – Free when using PayPal balance or bank account |
| Receiving payment for goods and services | – 1.9% + 10 cents – 2.29% + 9 cents for Tap To Pay transactions | – 2.99% – 2.29% + 9 cents for PayPal Zettle card transactions |
| Instant money transfers | 1.75% or a minimum of 25 cents or a maximum of $25 | 1.75% or a minimum of 25 cents or a maximum of $25 |
| Instant access to deposited checks | – 1% or $5 minimum fee for payroll or government checks – 5% or $5 minimum fee for non-payroll and non-government checks | – 1% or $5 minimum fee for payroll or government checks with a pre-printed signature – 5% or $5 minimum fee for all other accepted checks |
| Buying and selling cryptocurrencies | At least 49 cents or as much as 1.80% | At least 49 cents or as much as 1.80% |
Is Venmo Safer Than Zelle?
Venmo is no safer or riskier than Zelle for sending money to and receiving it from people you know and trust. However, users of both platforms have seen scam incidents, so it’s essential to stay up to date on how to avoid common scams on any payment app you use.
Takeaway
Venmo offers a convenient and secure way to handle personal and business transactions. However, understanding and navigating its fee structure is key to avoiding unnecessary costs. Opting for non-credit card payment methods and being patient with fund transfers can significantly reduce Venmo fees.
FAQ
Here are the answers to some commonly asked questions about Venmo fees.
- How much does Venmo charge to send $100?
- If you are using a credit card to send money on Venmo, you will face a fee of 3% for the transaction amount. For $100 that would be $3. If you are sending the funds using your Venmo balance, bank account or debit card, there will be no fees.
- How much does it cost to send $1,000 on Venmo?
- If you are using a credit card to send $1,000, you will incur a 3% fee for the transaction amount. For $1,000 that would be $30. If you are sending the funds using your Venmo balance, bank account or debit card, there will be no fees.
- What is the downside to Venmo?
- The fees are one downside to Venmo. But if you are willing to wait for your funds and skip using your credit card to send funds, you can avoid many of the fees Venmo charges.
- What fees does Venmo charge?
- Venmo charges fees for a variety of transactions. For example, you could face a 3% fee for sending money with your credit card. Or you could face a fee of 1.75% to instantly transfer your funds to a bank account.
Moubin Ghafoory and Sarah Sharkey contributed to the reporting for this article.
Information is accurate as of March 26, 2024.
Editorial Note: This content is not provided by any entity covered in this article. Any opinions, analyses, reviews, ratings or recommendations expressed in this article are those of the author alone and have not been reviewed, approved or otherwise endorsed by any entity named in this article.
The article above was refined via automated technology and then fine-tuned and verified for accuracy by a member of our editorial team.
