Fed’s new instant payment system could be trouble for PayPal, Venmo::The Fed’s goal is to connect 9,000 financial institutions nationwide.
Fed’s new instant payment system could be trouble for PayPal, Venmo::The Fed’s goal is to connect 9,000 financial institutions nationwide.
While I’ve used PayPal for, holy shit, decades… my recent need to move cash around with my Gen Z children caused me to venture into Venmo and CashApp. While I’m skeptical of the proper execution of anything new the federal government introduces, I can’t imagine they could create a WORSE experience than these new-age, middle-man processors. I’ve had to call my bank more times in the last two weeks to unlock fraud alerts than I have in the past twenty years. Then, after doing that, the damned processors themselves start declining $5 transactions for no apparent reason. I’d sooner poke myself in the eye than try to make a payment.
That’s not even the best part. For most of those transfer services, you have fuck all for protection. From the bank’s perspective, you authorized transfers between your account and whatever service. The transfer from your bank to the third party middle man is mostly indisputable. Those third parties provide shit protection for consumers since they’re not held to any of the dispute related regulations like Regulation E. Accidentally send the wrong person a transfer through zelle? Get scammed buying a puppy on Cash app? Ripped off on an eBay sale through PayPal? Get fucked, that’s your problem.