Venmo has become one of the most popular peer-to-peer payment apps, allowing users to easily send and receive money from friends or businesses. With over 60 million active users in 2022, Venmo processed approximately $230 billion in payment volume.
But can you use a prepaid card on Venmo? Let‘s dig into everything you need to know.
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Overview of Venmo and Its Advantages
For those new to Venmo, it‘s a free digital wallet app where you can securely send, receive, and store money. Venmo is owned by PayPal and available as a mobile app for iOS and Android devices.
Here are some of the key benefits of using Venmo:
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Easy peer-to-peer transactions: You can instantly send or request money from friends and family using just their username or phone number. No need to exchange banking details.
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Pay online merchants: In addition to payments between users, you can use Venmo as a payment method on certain apps, services, and merchants like Uber, GrubHub, and Lululemon.
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Split bills and expenses: Venmo makes splitting shared bills, rent, or dinner checks extremely simple. You can evenly split expenses between multiple people with easy calculation tools.
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Transfer money to bank: You can transfer your Venmo balance directly to a linked bank account. Standard transfers are free and take 1-3 business days. Instant transfers are also available for a fee.
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Venmo Card: Get a Venmo debit card to spend your Venmo balance in stores and ATMs like a regular bank card.
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Purchase Protection: Venmo transactions include purchase protection in case issues arise with a purchase or payment.
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Security: Venmo uses encryption, fraud detection, and other security measures to protect account information and transactions.
Can You Use Prepaid Cards on Venmo?
The short answer is yes, you can use certain prepaid debit cards on Venmo. However, not all prepaid cards work with the platform.
Venmo allows you to add and use eligible prepaid cards issued by major card networks like Visa, Mastercard, American Express, and Discover. So as long as your prepaid card displays one of these logos, you should be able to use it with Venmo.
Some examples of prepaid cards known to work with Venmo include:
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Visa or Mastercard gift cards purchased from grocery stores or retailers.
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General purpose prepaid cards like Netspend, Brink‘s, or ACE Elite.
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PayPal prepaid Mastercard (links directly to PayPal balance).
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Walmart MoneyCard (can be used if registered with your personal info).
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Major bank prepaid cards like Chase Liquid or American Express Serve.
However, there are certain limitations and requirements in order to successfully use a prepaid card on Venmo:
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Card must be registered – Most prepaid cards need to be registered with your personal information for identity verification purposes. Anonymous gift cards don‘t tend to work.
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Active card status – Ensure your prepaid card is active and has a sufficient balance for transactions.
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Venmo card limits – There are limits on the number of cards you can have linked to Venmo (usually up to 8).
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Weekly spending limits – Venmo enforces weekly spending limits on linked cards, usually around $2,999 per week.
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Identity verification – You‘ll need to complete Venmo‘s identity verification process before adding any new payment method.
As long as your prepaid debit card meets these requirements, you should be able to add and use it to send or cash out money from your Venmo account.
Step-by-Step Guide to Adding a Prepaid Card on Venmo
Here is a simple walkthrough for adding an eligible prepaid card as a payment method on Venmo:
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Open the Venmo app and tap the profile icon in the top-right corner.
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Select “Settings” > “Payment Methods”
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Tap “Add Bank or Card”
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Choose “Card” as the payment method you want to add.
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Enter your prepaid card information:
- Card number
- Expiration date
- Security code
- Zip code
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You can also use your phone‘s camera to scan your card details.
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Review the terms and conditions, then tap “Add Card” to finish adding it.
Once added, you can select your prepaid card as the default payment method for sending money or cashing out your Venmo balance. Remember to always use a card with sufficient funds and pay attention to any Venmo declined card notifications.
Why Might Your Prepaid Card Be Declined on Venmo?
In some cases, you may find your prepaid card is declined when attempting to use it on Venmo. Here are some potential reasons:
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Insufficient funds – Your prepaid card balance is too low to cover the transaction or has expired. Check your balance and reload if needed.
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Unregistered card – The prepaid card must be registered with your personal information to work with Venmo. Anonymous gift cards tend to get declined.
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Exceeded limits – You may have surpassed Venmo‘s weekly spending limit or reached the maximum number of linked cards.
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Security block – Venmo may automatically decline a card suspected of fraudulent transactions as a security precaution.
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Invalid card – Your prepaid card number or details entered may be incorrect or invalid. Double check for any typos.
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Verification pending – Venmo may pend a newly added card until your identity is verified. Check for any pending verification notifications.
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Card expired – Prepaid cards can expire and need to be replaced with a new active card when they reach their expiration date.
If your prepaid card doesn‘t work on Venmo for any of these reasons, it‘s best to remove it and add an alternative verified payment method to resolve the issue. You can also contact Venmo support for help troubleshooting a declined card.
Pros and Cons of Using Prepaid Cards on Venmo
Let‘s weigh some of the potential advantages and disadvantages of utilizing prepaid cards with Venmo:
Pros
- Avoid linking bank account or credit cards directly
- Use for privacy if you don‘t want to provide your real bank details
- Easy to get prepaid cards for free through promotions
- Prepaid cards work if you can‘t qualify for a bank account
- Allows teenagers to use Venmo with parental purchased prepaid cards
- Convenient way to spend down gift card balances
Cons
- Prepaid cards have more usage limitations than bank accounts
- Need to maintain card balances and watch for expiration dates
- Less purchase protection than with credit cards
- Weekly Venmo spending limits imposed per card
- Some identity verification still required
- Higher fees if reloading with credit cards vs bank accounts
Overall, prepaid cards offer a viable alternative payment option for Venmo, but may be most beneficial for users concerned about linking bank accounts or seeking more privacy. Just keep the limitations in mind compared to bank-linked accounts.
Expert Tips for Using Prepaid Cards on Venmo
If you plan to use prepaid debit cards on Venmo, here are some expert tips:
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Opt for branded Visa or Mastercard general purpose reloadable prepaid cards that can be used anywhere.
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Register your prepaid card with your personal information for identity verification.
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Avoid using gift cards or prepaid cards not registered in your name.
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Check your prepaid card balance regularly and set up alerts for low balances.
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Be aware of Venmo‘s $2,999 weekly spending limit per card.
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Remove expired cards and replace them with new prepaid cards as needed.
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Try linking multiple verified prepaid cards to give yourself more transaction flexibility.
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Transfer funds from Venmo to your prepaid card balance if running low.
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Contact Venmo support if your registered prepaid card is unexpectedly declined.
Following these tips will help ensure a smooth experience using eligible prepaid debit cards with your Venmo account.
The Bottom Line
Can you use a prepaid card on Venmo? Yes, as long as it‘s an eligible branded prepaid card properly registered in your name. while some limitations exist compared to bank accounts, prepaid cards offer a quick way to get started sending or cashing out money from Venmo without providing your bank details.
Just be sure to use prepaid cards with sufficient balances, watch for Venmo spending limits, and have a backup payment method in case your prepaid card is ever declined for any reason. With a little preparation, prepaid cards can serve as a convenient Venmo payment option.
