When cash used to be king, people exchanged cash or paper checks to settle debts. But times have changed. Whether paying the babysitter, splitting the rent with a roommate or sending a birthday card to the grandchildren, electronic forms of payment are increasingly used instead of cash or check. And one of the most popular electronic forms of payment is person-to-person (P2P) payments that allow funds to move from one person’s bank account (payer) to another person’s bank account (payee). But when it comes to sending money, security is always top-of-mind.
According to a 2017 eMarketer forecast, the transaction value of all U.S. P2P payments will exceed $156 billion in 2018 – rising to more than $244 billion by 2021.
To keep up with consumer demand, PNC, together with a group of U.S. banks, launched a P2P payment network called Zelle® in 2017.
P2P payment capabilities are convenient, easy to use and offer fast transactions when the recipient is registered with the network. They are popular among consumers needing to split a lunch bill, share the cost of a ride, or pool together on a coworker’s gift.
“While P2P technologies can be a great way to send money to people you trust, as with any financial product, there are bad actors who seek to part consumers from their money with creative scams using this technology,” said Tom Trebilcock, senior vice president of digital at PNC. “Consumers need to be careful that they’re using electronic payment systems in the safest possible way.”
Consumers should always read the P2P terms carefully to understand what, if any, recourse is available when payments are misdirected or made in error. Overall, it’s important to trust your instincts when using P2P payments, Trebilcock says. He offers three tips when using P2P payments:
“When used as intended, P2P services offer a quick, convenient and safer way to make payments to those you trust without the need to have cash on hand. By paying attention to detail, consumers can help to ensure those payments make it to your friends or family and out of the hands of cyber-scammers,” said Trebilcock.
Learn more about using Zelle® at PNC »
eMarketer projected that by the end of 2017, 63.5 million U.S. adults would be using P2P payment apps at least once per month.
PNC Point of View
Real People. Real Perspective. Real Insights. »
1. "P2P Payment Transactions to Exceed $120 Billion This Year," eMarketer, July 2017 https://www.emarketer.com/Article/P2P-Payment-Transactions-Exceed-120-Billion-This-Year/1016187
These articles are for general information purposes only and are not intended to provide legal, tax, accounting or financial advice. PNC urges its customers to do independent research and to consult with financial and legal professionals before making any financial decisions.
This site may provide reference to Internet sites as a convenience to our readers. While PNC endeavors to provide resources that are reputable and safe, we cannot be held responsible for the information, products or services obtained on such sites and will not be liable for any damages arising from your access to such sites. The content, accuracy, opinions expressed and links provided by these resources are not investigated, verified, monitored or endorsed by PNC.
Bank deposit products and services provided by PNC Bank. Member FDIC
Zelle and the Zelle related marks and logos are property of Early Warning Services, LLC.