Chesapeake Bank Blog

Zelle® – What You Need to Know before You Enroll

Written by Nicole MacCracken | Sep 1, 2022 7:36:50 PM

Curious about Zelle®? You aren’t alone! The wildly popular digital payment network has over 20 million users who have sent more than $28 billion in transactions!

Chesapeake Bank has partnered with Zelle®, making enrolling and sending money through our mobile app and online banking even more convenient. Before you login and enroll, there are a few things you should understand about Zelle® and how it works in order to use it safely and efficiently.

What is Zelle®?

Zelle® is a fast and easy way to send money to friends and family. In fact, if all parties are already enrolled, it usually only takes a few minutes for the funds to appear in the other person’s account. Zelle® works with hundreds of different banks, so you can easily send money to people who do not bank with Chesapeake.

One of the best features of Zelle® is that you do not need the routing and account number to send funds to someone as you would with a wire transfer. You only need the phone number or email they used to enroll. This protects all parties from sharing sensitive financial information while still allowing money to be digitally transferred.

When can you use it?

You can begin using Zelle® the day you enroll. Zelle® can be used anytime you wish to pay someone you know personally.   This comes in handy when splitting a bill amongst friends. Just transfer your portion to whoever paid the tab—they may even have the funds in their account before you leave the restaurant! It is that fast!

Zelle® is also useful for paying rent or dividing expenses amongst roommates, sending gifts to family members, or paying someone back for a purchase.

Are there any limits?

For your security, spending limits do apply to Zelle® transactions to protect you and your hard-earned cash.

In addition to these limits, it is possible that the person you are trying to pay banks somewhere that doesn’t use Zelle®. Their bank may not be among the hundreds of banks that work with Zelle®. Not sure if your friend’s bank uses Zelle®? You can check here.

How safe is Zelle®?

Sending money with Zelle® is like sending cash. Once you hand cash to someone, it can be challenging to get it back. Each transaction with Zelle® works the same way, so it is critical to only send money with Zelle® to people you know and trust.

Unlike similar peer-to-peer (P2P) payment apps, Zelle® uses data encryption to protect your privacy and the privacy of your banking information. It was built by banks for P2P transactions and is among the safest of these virtual payment services.

However, because money can be sent so quickly, cash apps like Zelle® can become a target for fraud and scams. Craigslist or Facebook marketplace scams, romance scams, and fake invoice scams are becoming common. If someone requests money through Zelle®, only send it to them if you know them in person and have called to confirm their request is legitimate and their contact information is correct. Never send money to someone you don’t know, and always protect your online banking login information.

Use caution and diligence whenever making a Zelle® transaction to protect yourself from fraud. If you think there is a fraudulent transaction on your account, call or stop by your local branch right away.

Chesapeake Bank is excited to partner with Zelle® in order to provide a quick and easy way to send money to your friends and family. However, there are limits to the transactions and security practices to keep in mind before you decide to enroll. If you have any questions about Zelle®, we are always happy to help. Call our solution center (877-436-9032) or come in!

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