You’re out to dinner with a couple of friends when the check arrives. Splitting the check, while the fairest solution, complicates matters. You decide to front the bill and your friends say they’re going to send you their share via Venmo. If you’re a recent convert and have just barely downloaded the app, you might be left wondering how to transfer money from Venmo to your bank account. Well, you’ve come to the right place. In this article, we break the Venmo to bank transfer process down into 3 easy steps. That way, you can access your cash as soon as possible.
The three steps are:
- Add Your Bank account
- Verify Bank Account
- Transfer Funds
If any of these steps sound overly complex, worry not, we will break them down even further below.
Step 1: Add Your Bank Account
Obviously, before you can transfer money, you need to link your bank account to your Venmo account. Here is the step-by-step procedure for that process:
Go to the “Me” tab by clicking your picture in the app
Click on the “Wallet Section”
Select “Link Bank Account” and then “Bank”
Select your preferred method of verification
Step 2: Verify Your Bank Account
Before any transmission of funds, Venmo recommends verification of the bank account to which the funds are being transferred. This is for security, and to ensure your transfer of funds is made to the proper account. The process is quick and easy and you can do it completely on your phone. Click here for our complete, in-depth guide on how to verify your Venmo account.
There are two ways to verify your bank account with Venmo: Instant Verification and Micro-transfers.
If you provide your login information (username and password) to your online banking account, Venmo can instantly verify your account. Though, do note that this only applies to accounts that are eligible for instant verification. If are having issues with instant verification, it might be a good idea to contact your bank directly to find out if they often partner with Venmo.
It’s also good to know that Venmo uses a middleman service called “Plaid.” This third-party verification firm connects your financial accounts and allows them to share data with other companies, apps, and services. If you are having trouble with Venmo’s instant verification, ask your bank about Plaid and see if they work with the platform often.
If instant verification isn’t an option, you can always enter your bank account information manually. After entering your account number and routing number (which you can find at the bottom of a check), Venmo may do a couple of micro-transfers to verify your account. This may include them making some withdrawals or deposits of minuscule amounts. These transactions are usually only a few cents, and never larger than a dollar. Before verifying your account with Venmo, make sure you have at least a couple of dollars in there to avoid overdraft penalties and fees.
Step 3: Transfer Funds
Following the verification process, you can transfer funds to your account via the Venmo website if you’re using your computer. You can also transfer funds through the Venmo app if you are on your phone.
In the app:
- Simply locate the “Me” tab to access your wallet.
- Then tap the “Add or Transfer” button.
- Enter the dollar amount you wish to transfer.
- Then select which transfer method you would like to use: “Standard” or “Instant.”
Check out the video below for more information on how to transfer money from Venmo to your bank account.
Standard vs. Instant: What’s the Difference?
There are two methods by which you can transfer funds from Venmo to your personal bank account.
If you are not in a rush and want to save a little money in the long run, the Standard transfer method is probably the option for you.
The Standard method takes 1-3 business days to transfer, but there is no fee for this transaction. Weekends and holidays may be a factor that pushes the timeline closer to the 3-day mark. Reviews are another factor that could lead to a delay. Reviews of things like transfers and other account activities are conducted by Venmo periodically. These reviews ensure compliance with all laws and statutes and Venmo’s own terms and conditions in order to prevent fraudulent activity. Reviews can lead to delays or even seizure of the funds in extreme cases. But as long as your transactions are all on the up and up, this shouldn’t be an issue you run into frequently.
If you need access to your funds right away and don’t mind paying a small charge, this is the option for you.
The Instant method is just as it sounds. Venmo will transfer your money to your personal bank account within a matter of minutes (typically 30 minutes or less). However, there is a nominal fee of 1.75%, with a minimum of $0.25 and a maximum of $25. The upside is that you can make instant transfers 24 hours a day, 7 days a week, 365 days a year, so no need to worry about banking holidays (though Venmo outages and delays from reviews could be a small issue).
In order to be eligible for an instant transfer you need to have a U.S. bank account or a credit or debit card (Visa or Mastercard) that participates in instant transfer services such as Visa’s signature “Fast Funds” program or Mastercard’s “Send.” If you aren’t sure if your debit card participates in such programs, you can just add it to your Venmo account and try to make a transfer. Unfortunately, if the card appears grayed out it means your card is not eligible for instant transfer.
How to Check the Status of Your Transfer From Venmo
The timeline of your transfer will depend greatly upon whether you used the Standard or Instant transfer option.
A standard transfer can take anywhere from 1 to 3 business days and you can check the status via your personal transactions feed. It’s important to note that standard transfers are dependent on banking hours, so if you make a transfer on a weekend or holiday, you could be waiting even longer. For the quickest results, you should make a transfer at the beginning of the week (a non-holiday Monday or a Tuesday) and during business hours (before 7 PM Eastern time).
A green checkmark should appear as verification once an instant transfer has begun and you will receive an in-app notification once the transfer has completed. If your transfer isn’t posting to your bank account, wait 30 minutes before contacting your bank. It’s good to keep in mind that it can take a few minutes for the transfer to complete. It’s also good to keep in mind that there is a fee for the instant transfer, so don’t be alarmed if the amount that shows up in your account is a bit lower than you had requested.
Best Reasons to Use Venmo
There are multiple features that make Venmo one of the most popular money transfer apps, hosting over 36 million active users.
- Instant Transfers: Venmo instantly transfers money between users whereas other apps can take between one-three business days.
- Security: Venmo has two-factor authentication to secure your account information and transactions.
- Customer Service: You can reach Venmo customer service 24/7 through chat or email.
Venmo is a convenient way to pay individuals in an increasingly cash-free world, and getting access to your money doesn’t have to be overwhelming or unnecessarily complicated. Just keep in mind that Venmo is a service and will either take some time or take a cut. But once your account is set up and you familiarize yourself with the process of transfers, Venmo makes life so much easier.
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The image featured at the top of this post is ©Piotr Swat/Shutterstock.com.