Difference between revisions of "Venmo"
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There is a 3% fee on credit cards and some debit cards but receiving money through the Venmo app is always free.<ref>https://venmo.com/about/fees/</ref> | There is a 3% fee on credit cards and some debit cards but receiving money through the Venmo app is always free.<ref>https://venmo.com/about/fees/</ref> | ||
| − | == | + | ==Ethical Implications== |
Personal information and financial information is protected by Venmo's security systems and data encryption. Financial information is protected on secure servers. <ref>https://venmo.com/about/security/</ref>Because Venmo is a mobile application, its security goes beyond just the application. Phone security remains an issue because it is the platform for the application. There has been debate about how secure Venmo really is. Unlike other mobile applications, Venmo experiences another level of security due to the fact that it deals with bank accounts and confidential and sensitive information. Venmo does not have a phone line to deal directly with customer issues regarding stolen funds or other security concerns. <ref>http://www.slate.com/articles/technology/safety_net/2015/02/venmo_security_it_s_not_as_strong_as_the_company_wants_you_to_think.html</ref> | Personal information and financial information is protected by Venmo's security systems and data encryption. Financial information is protected on secure servers. <ref>https://venmo.com/about/security/</ref>Because Venmo is a mobile application, its security goes beyond just the application. Phone security remains an issue because it is the platform for the application. There has been debate about how secure Venmo really is. Unlike other mobile applications, Venmo experiences another level of security due to the fact that it deals with bank accounts and confidential and sensitive information. Venmo does not have a phone line to deal directly with customer issues regarding stolen funds or other security concerns. <ref>http://www.slate.com/articles/technology/safety_net/2015/02/venmo_security_it_s_not_as_strong_as_the_company_wants_you_to_think.html</ref> | ||
| + | ===Security Hack=== | ||
| + | In one case, Chris Grey, a 30-year-old Web developer from New York City saw a notification from [[Chase]] bank that debited his account $2850. He opened his Venmo account to see that his password no longer worked. After resetting his password, he was able to see that a new address was entered under his account and notifications had been disabled. The payment was made to a user he didn't know. Venmo did not notify Grey of any of this suspicious activity. Grey said, "I never got an email that my password had changes, that another email was added to my account, that another device was added to my account, or that a lot of my settings had changed." <ref>http://www.slate.com/articles/technology/safety_net/2015/02/venmo_security_it_s_not_as_strong_as_the_company_wants_you_to_think.html</ref> | ||
==See Also== | ==See Also== | ||
| + | [[Mobile Payment]] <br/> | ||
| + | [[Square, Inc.]] | ||
==References== | ==References== | ||
Revision as of 18:56, 18 February 2016
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Venmo is a mobile payment application where users can instantly send and receive money through the application or web to other Venmo users. This is done by either putting money into a Venmo account or linking a bank account or debit card. The money can then be sent from Venmo to a bank account very quickly.[1] Braintree acquired Venmo in 2012 for $26.2 million.[2] Then, in 2013, PayPal acquired Braintree for $800 million in an all-cash deal.[3]
In Quarter 2 of 2015, company earnings showed that people sent $1.6 billion over Venmo.[4]
Contents
History
The founders of Venmo are Andrew Kortina and Iqram Magdon-Ismail. The two met at the University of Pennsylvania in 2001 where they were randomly assigned to be each other's roommates. Throughout senior year and a few years coming out of graduation, they began working on various projects and ideas. Venmo was launched in August 2009, however the originally idea was a music startup where people could send a text to a band and then receive an [MP3] via email. The idea for sending payments with technology supposedly came from a night where Magdon-Ismail forgot his wallet and owed Kortina money. The original design was for users to send and receive payments via text message. [5] This idea eventually has evolved into Venmo today where users can send money using the mobile application or web.
Service
How it Works
Users begin to set up their Venmo account and must choose how they want to pay other users. There are three options for this:
- Venmo balance
- Credit/debit card
- U.S. Bank account
Users can then pay and receive money using their Venmo account and the pay option that they have chosen. It is possible to have the money in a Venmo balance be transferred to a bank account. The user must add a bank account (savings or checking) to their Venmo account. Transfers to a user’s bank account will take about 1 business day.
There is a 3% fee on credit cards and some debit cards but receiving money through the Venmo app is always free.[6]
Ethical Implications
Personal information and financial information is protected by Venmo's security systems and data encryption. Financial information is protected on secure servers. [7]Because Venmo is a mobile application, its security goes beyond just the application. Phone security remains an issue because it is the platform for the application. There has been debate about how secure Venmo really is. Unlike other mobile applications, Venmo experiences another level of security due to the fact that it deals with bank accounts and confidential and sensitive information. Venmo does not have a phone line to deal directly with customer issues regarding stolen funds or other security concerns. [8]
Security Hack
In one case, Chris Grey, a 30-year-old Web developer from New York City saw a notification from Chase bank that debited his account $2850. He opened his Venmo account to see that his password no longer worked. After resetting his password, he was able to see that a new address was entered under his account and notifications had been disabled. The payment was made to a user he didn't know. Venmo did not notify Grey of any of this suspicious activity. Grey said, "I never got an email that my password had changes, that another email was added to my account, that another device was added to my account, or that a lot of my settings had changed." [9]
See Also
References
- ↑ https://venmo.com/about/product/
- ↑ http://www.bloomberg.com/bw/articles/2014-11-20/mobile-payment-startup-venmo-is-killing-cash
- ↑ http://techcrunch.com/2013/09/26/paypal-acquires-payments-gateway-braintree-for-800m-in-cash/
- ↑ http://thenextweb.com/apps/2015/07/16/people-sent-1-6b-over-venmo-in-q2-2015-more-than-double-this-time-last-year/#gref
- ↑ http://www.businessinsider.com/venmo-origin-story-facts-andrew-kortina-2014-6
- ↑ https://venmo.com/about/fees/
- ↑ https://venmo.com/about/security/
- ↑ http://www.slate.com/articles/technology/safety_net/2015/02/venmo_security_it_s_not_as_strong_as_the_company_wants_you_to_think.html
- ↑ http://www.slate.com/articles/technology/safety_net/2015/02/venmo_security_it_s_not_as_strong_as_the_company_wants_you_to_think.html
