Popmoney Discontinued: What to Know and Alternatives

Popmoney was a peer-to-peer payment service from the fintech company Fiserv. After more than a decade on the market, however, the service was discontinued at the end of June. This was reportedly because of a general push to switch to the Zelle network for sending and receiving money. And, notably, Fiserv itself started prioritizing Zelle over Popmoney for its clients because of its relative speed.

If you used Popmoney to transfer money between bank accounts via the Automated Clearing House (ACH) network, you’ll need to find an alternative payment service, such as Zelle. Depending on your choice, you may need to sign up for a new account and download an app.

Note that you can still review your Popmoney transaction history by accessing the statements associated with your linked bank account. Here’s what else you should know if you used Popmoney.

What was Popmoney and how did it work?

Popmoney was launched in 2010 by CashEdge, a digital financial management startup that was later acquired by Fiserv. It was a peer-to-peer (P2P) payment service, similar to Venmo, PayPal and Zelle.

Popmoney allowed people to send money electronically to friends and family members and to receive funds without needing to know other people’s banking details. To make payments through Popmoney, you only needed a person’s name and either their email address or phone number.

Payments through Popmoney took one to three business days to clear, depending on the delivery method.

Popmoney alternatives

If you’re looking for a new person-to-person money transfer option, you can choose from several alternatives, each with its own pros and cons. For example, you might consider Zelle, especially because some financial institutions suggested it when Popmoney was discontinued.

Here are four alternatives you may want to look at:

Venmo

• How it works: You can send and receive money by linking a bank account to your Venmo account. The service also lets you set up direct deposits for your paychecks.
• Speed: Instant transfers can go through within 30 minutes, though these carry a fee. Standard transfers can take up to three business days to appear in your bank account.
• Fees: Send money for free from a linked bank account or debit card; a 3% fee applies if you send money via a credit card. There is also a 1.75% fee for instant transfers, with a minimum charge of 25 cents and a maximum of $25.
• Where to use: You can use the Venmo app or its website to access these features.

Read our expert Venmo review.

Zelle

• How it works: Zelle lets you send and receive money by enrolling your email or U.S.-based phone number. You can then provide that information to receive payments from other Zelle users or get their contact information to send them money.
• Speed: Money sent via Zelle is usually available within a few minutes. If a transfer takes longer than three days, check that you have entered the correct contact information.
• Fees: Most people who link a checking account to Zelle don’t pay fees to use the service to send, receive or request money. But it depends on your financial institution.
• Where to use: You can use Zelle via your online banking app or your financial institution's website. You can also access the service via the Zelle app.

Read our expert Zelle review.

Cash App

• How it works: To use the Cash App, you need to download the app, create an account and add your debit card information to connect your bank account. Then, you can add money to your Cash App account to send or receive money.
• Speed: Standard transactions take one to three business days to complete. There is also an option for instant transfers for quicker arrival, though this comes with a fee.
• Fees: You'll pay a 3% fee to send money from a credit card. Instant transfers have a 0.50% to 1.75% fee, subject to a minimum fee of 25 cents.
• Where to use: The primary way to use Cash App is via the app. But it also offers the option to log in via its website.

PayPal

• How it works: You need to sign up for a PayPal account and add your desired credit card information (or debit card or bank information) to your digital PayPal wallet. You can then use your account to send money to other people as long as you have their email address, PayPal username or mobile phone number.
• Speed: There is an autotransfer feature that lets you schedule transfers of your PayPal balance to your bank account. But it can take four to seven business days — or longer, if there's a holiday — for an electronic payment from someone’s bank account to clear. You also need to account for the three to five business days it takes to add money to your PayPal account, as it will need to go through the ACH verification and processing.
• Fees: If you send funds using a credit card, you will pay a 3.40% fee plus a fixed fee that varies by location. The fixed fee for U.S. dollar transactions is 30 cents.
• Where to use: You can use the PayPal website to access your account and initiate transfers to and from your PayPal account. You can also use the PayPal app.