Is Square Cash actually better than Venmo? | Review April 2018
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Square Cash: An overview and guide

Started in 2013, Square Cash makes sending money easy, fast and simple.

We’ve all had uncomfortable encounters when it comes to sending or receiving money. The check comes for dinner and no one has exact change to split the bill evenly. You split a taxi with a friend and want to repay them before you forget. Digital payment methods like Square Cash help ease those awkward moments.

With its sleek and straightforward design, Square Cash focuses on the brass tacks of transferring money. Its ‘feed’ is a simple history of previous transactions and your profile. It’s set apart from many other payment apps because you don’t need the app to send or receive money.

How do I send and request money on Square Cash?

1. While you don’t need the Square Cash application to receive or send money, you will need to download it to request money.

2. Once you’ve downloaded Square Cash, you’ll enter your mobile number or email and create a $Cashtag, which will serve as your username for the app. You’ll also enter your debit card information. Once you have your debit card linked, you can also add a credit card to your account.

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step 2b squaremoney
3. You can then import your contacts and send or request money to anyone with an email address or mobile phone number. They’ll receive your request or transaction via text message or email, and be asked to enter their debit card information. If they already have a Square Cash account, they won’t need to re-enter this information.

What happens when someone sends me money on Square Cash?

If you don’t have the app, you’ll either receive a text message or an email from the app. You’ll be asked to enter a bank account or debit card information so your money can be deposited.

squarecash send money

If you do have the app, you can either cash out and deposit the money into your linked bank account, or keep it in the app for future transactions. If you would like, you can set your preferences so that the money you’re sent automatically goes into your bank account.

How much does Square Cash cost?

Square Cash fees for sending and receiving money

Square Cash processing fees for merchants

  • Free to send money from your bank account
  • 2.75% for each swiped transaction
  • Free to receive money
  • 3.15% plus $0.15 for each manually-keyed transaction
  • 1% fee for instant withdrawals
  • 2.5% plus $0.10 for each transaction using the Square Register
  • 3% fee, paid by sender, for payments from a credit card
  • 2.9% plus $0.30 for invoices, Square eCommerce API payments and Square Online Store transactions

Are Square Cash and Snapchat linked?

Yes. Launched in 2014, Snapchat’s payment system, Snapcash, is also powered by Square. Once you add your debit card information to your Snapchat, you can open up a private message to a friend, type in a dollar amount, and Snapchat recognizes that you’re trying to send or request money. The “Send” button will turn say “Add Cash” instead, and you’re good to go. The rest of the process works how Square Cash does – enter your information, receive or send money.

squarecash snapchat linked

Is Square Cash safe?

Square Cash is powered by Square, which provides, among other services, credit card readers for stores to use. Until 2011, Square didn’t encrypt the information from these credit services, leaving credit card users’ information readily available to hackers.

However, Square Cash itself has not suffered such security blunders. The Payment Card Security Industry Security Standards Council awarded Square Cash the highest level of standards security that a business can achieve, and although there are always risks when it comes to sending money online, Square Cash is about as safe as one can get.

Pros:

  • One of the most significant differences between Square Cash and apps like Paypal and Venmo is that you can directly put the money into your bank account. You can set your preference and change it at any time.
  • Your friends don’t need the app to receive the money you send them – just a phone number or email address.

Cons:

  • Like Venmo, while transactions with debit cards are free, those with credit cards are charged a 3% fee.
  • You need to pay a 1% fee to get money cashed out instantly.
  • As with Venmo, Square Cash is only available in the US.

You can download Square Cash from the iTunes App Store or Google Play

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2 Responses

  1. Default Gravatar
    BraxtonMarch 23, 2018

    Why do I have to update my personal information before sending money?

    • Staff
      kathyclairMarch 26, 2018Staff

      Hi Braxton,

      Thanks for getting in touch with finder, a leading comparison website and general information service.

      The information required to send a money transfer will differ slightly by bank or provider, your recipient’s location and your method of delivery.

      With most money transfer providers, you’ll need to provide specific personal information to establish your identity. This is because most companies that sell money transfers are subject to anti-money laundering laws and counter-terrorist financing standards, which require providers to exercise their due diligence to confirm that you’re not using their services for terrorist or otherwise nefarious activities.

      For more information about Money Transfer Requirements, you can go to this page.

      Hope this helps!

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