Cash App vs. Venmo

You’ve heard of Cash App and Venmo, the two wildly popular payment apps that folks are using to send and receive money. Both apps have their own unique set of features and benefits — but which one is right for you? Here’s a comparison of the pros and cons of both, so you can decide: What’s better? Cash App or Venmo?

Pros of Cash App:

  • Cash App is owned by Block, Inc., formerly known as Square, a reputable publicly-traded company with a variety of products and subsidiaries.
  • Cash App offers a wide range of services beyond just person-to-person payments. You can also use the app to buy and sell stocks, make direct deposits to your bank account, and even order a free debit card to use with your Cash App balance.
  • Cash App has a feature called “Cash Boost” that lets you get discounts at certain retailers when you use your Cash App debit card to make a purchase.
  • The Cash App referral program allows you to earn a bonus when you refer friends to join the app and make their first transaction.

Cons of Cash App:

  • Cash App charges a 1.5% fee for instant transfers to a bank account. If you don’t mind waiting a few days for the transfer to process, you can avoid this fee by using the standard deposit option.
  • Cash App is not available in all countries. If you’re traveling outside of the United States in an unsupported region, you may not be able to use the app to send or receive money.
Pros of Cash AppCons of Cash App
Easy to useLimited investment options
Cash out feature allows for instant deposit to bank accountFees for certain transactions
Can buy and sell bitcoinLimited customer service options
Ability to send and receive money with friends and familyPotential for fraud or scams
Can use a debit card for in-person purchasesNo option for joint accounts

Pros of Venmo:

  • Venmo is owned by PayPal, a well-known and trusted online payment company. This can give users added peace of mind when it comes to security.
  • Venmo is widely accepted as a form of payment at many online and brick-and-mortar retailers. You can easily link your Venmo account to make purchases or pay for services.
  • Venmo has a social aspect to it, as you can see a feed of your friends’ payments and activity within the app. This can be a fun way to keep track of shared expenses with friends.

Cons of Venmo:

  • Venmo charges a 3% fee for credit card transactions. If you want to avoid this fee, you’ll need to link a debit card or bank account to your Venmo account.
  • Venmo’s referral program is not as generous as Cash App’s, with a smaller bonus offered for each successful referral.
  • Venmo’s social sharing aspect may be viewed as a negative by some who’d rather not share transactions with their friends.
Fun social aspectsSocial my be off-putting for some
Can send and receive money with friends and familyFees for certain transactions
Can transfer money to linked bank accountCustomer service is nearly nonexistent
Some merchants accept Venmo payments using your balanceFraud and scamming is rampant on the platform
Can split payments with friendsLimited functionality outside the US
Popular and widely accepted by merchantsNo option for joint accounts

Ultimately, the best payment app for you will depend on your individual needs and preferences. Both Cash App and Venmo have their own pros and cons, so be sure to consider all of the factors before deciding which one is right for you.