The short version
Payment apps move money in seconds, and once you send it, it’s usually gone. Treat them like handing over cash: only pay people you know and trust, and never send money to “fix”, “verify” or “unlock” anything.
The apps, in brief
- Zelle is built into many U.S. bank apps. The separate Zelle app shut down on April 1, 2025; you now use Zelle inside your bank’s app.
- Venmo (owned by PayPal), Cash App and PayPal are separate apps linked to your bank or card.
Think of it like this: sending money by app is like handing someone cash through a car window. Fast and easy, but you can’t reach in and take it back.
The most common tricks
- “Your bank” calls: someone says your account was hacked and you must send money to yourself or a “safe account” by Zelle. Your bank will never ask you to do that.
- Accidental payment: a stranger “accidentally” sends you money and asks you to send it back. The original payment may be from a stolen card and get reversed, leaving you short. Contact the app instead.
- Marketplace sales: fake buyers send a fake “payment pending” email; fake sellers take payment for items (puppies, tickets, rentals) that don’t exist.
- Prize or job scams: you have to pay a “fee” to get winnings or a job.
- Fake support: scammers post fake customer service numbers online. Use the help section in the app itself.
⚠️ Never share the one-time code a payment app or bank texts you. Anyone asking for it is trying to get into your account.
Safe-use rules
- Only pay people you know in person.
- Double-check the name, phone or email before you hit Send. Send $1 first to someone new if unsure.
- For buying from strangers, use a credit card or a checkout with purchase protection, not friends-and-family transfers.
- Turn on a PIN, Face ID or fingerprint lock for the app, and two-step sign-in.
- Set payment alerts so you see every transfer.
If you were scammed
- Report it in the app and call your bank right away, using the number on your card.
- Change your password and sign out other devices.
- Report to the FTC at ReportFraud.ftc.gov.
Quick tips
- Turn on payment notifications in your app today.
- Talk with older relatives about the “send money to yourself” trick.
- Practice with Scam or Legit?
Sources
- FTC: Mobile payment apps: how to avoid a scam when you use one
- FTC consumer alert: Do you use payment apps like Venmo, Cash App or Zelle? Read this
- CFPB: Who do I contact for help with a scam or fraud?
- Zelle: Changes to the standalone Zelle app
- Payments Dive (Apr 1, 2025): Zelle standalone app shut down
Test yourself: play Scam or Legit? or Safe or Risky?, quick free games.