Depending on which side of the fence you live, you might be about to uncork a champagne bottle or take aspirin. Zelle is the new payment solution in town in the US, that promises to be a Venmo (read: PayPal) killer! A cartel of 19 US banking institutions that is started by a startup called Early Warning (gotta love the name). The gist of it – instant payments to and fro from your Zelle wallet and to your banks. Do everything that Venmo does, but instantly.
Venmo, which is the darling for most of the millennials, processes a bucket and half when compared to banks. Will the big banks be able to win over Venmo? Maybe! With the right deal, influencers, and catalysts one might be able to convert the millions of users who use Venmo.
Zelle, on the other hand might just take off with the Gen X crowd. One never can tell. It will be an interesting spin to see if cartelization in America can pay off with a consumer facing product. Don’t expect PayPal to throw in the towel. This will get bloody.
Oh! and my money is on PayPal.
Bank of America and others are upgrading their apps to make payments quicker and easier.