For non-business users, Venmo is a great way to send and receive money for small things like when you split the bill over dinner, owe someone for lunch the other day, the rent, bills, etc. However, if you are a small business owner or have personal business at the same time, you will soon be able to use your personal account to sell merchandise.
This means that instead of having to create a special Venmo account just for your business, you will be able to use a personal account. However, this is obviously not free and charges will apply. These are the same fees Venmo charges to business accounts, meaning you’ll have to pay 1.9% plus a 10-cent fee.
During the checkout process, users can indicate whether the transfer is for business. According to Venmo, payments marked as commercial will be eligible for purchase protection. This is similar to what PayPal has done where they allow users to send invoices to other users and where fees are charged.
Some have tried to get around this through the Friends & Family feature, but if you’re dealing with someone you don’t know, this could be an easy way to get ripped off as there is no protection offered there. Venmo is slated to launch this feature on July 20, so keep an eye out if this sounds like something you might be interested in.
Deposit wsj. Learn more about Paypal and Venmo. Source: