Venmo and PayPal are two of the leading money transfer apps in the United States. You may be surprised to learn that PayPal actually owns Venmo, although they’re generally used for different purposes.
That being said, when deciding which money transfer service you should download and use, safety is an important factor to consider. So, you may wonder: is Venmo safer than PayPal? This article will tell you all you need to know, so keep reading!
Is Venmo Safer Than PayPal in 2024?
Venmo generally isn’t as safe as PayPal in 2024. PayPal has more security measures and protection in place to combat scams and fraud. In addition, PayPal is designed to be used for business transactions, so there is more security in place. Venmo is meant to be used between friends and family and has very little scam protection.
There are several differences and safety measures between Venmo and PayPal that are important to note, so keep reading to learn more!
What’s the Difference Between Venmo and PayPal?
Although Venmo is owned by PayPal, the two are very different apps and companies.
PayPal is designed as an online payment portal for businesses and has many of the same features as a bank.
On the other hand, Venmo is primarily meant for personal use between people who know each other and is not meant to be used between strangers.
While both apps use data encryption and security measures to keep your information safe, PayPal has stronger security and protection.
Overall, Venmo is secure but risky to use for business transactions due to the limited purchase protection.
Will Venmo Refund Money If Scammed?
In general, Venmo isn’t able to reverse payments or refund money to you if you get scammed.
You can still report scams and fraud to Venmo’s support team, but it’s unlikely that you will be refunded if you paid the money to a personal account and not an authorized business.
If Venmo can’t issue a refund for an incident, you can try disputing the payment with your bank itself.
Also, if you want to avoid permanently losing your money, using a credit card with Venmo is a better option, since it’s easier to dispute credit transactions and get your money back.
Can Someone Steal Your Bank Info From Venmo?
Although someone can hack your Venmo account, it’s unlikely that they could steal any information about your bank credentials from there.
If someone hacks your account, you should freeze any cards that are linked to it, since they could potentially transfer money out of your accounts using Venmo.
However, Venmo uses bank-level data encryption to keep your bank information safe, so hackers won’t be able to get into your bank account through your Venmo account.
To prevent hackers from logging in to your account, you can enable multifactor authentication and a PIN for added security.
Can I Get Scammed on PayPal?
Just like any money transfer app, PayPal is popular with scammers. You may get suspicious emails or text messages claiming to be from PayPal.
Don’t reply to these messages or open any links, as your personal information could be stolen.
To avoid PayPal scams, be sure to only manage your account within the PayPal app, and contact customer support if you’re unsure about an email or message.
Unexpectedly receiving a message or email from PayPal is a sign that you may be looking at a scam.
Therefore, be sure to delete these messages and contact customer support if you have questions.
Will PayPal Refund Me If I Scammed?
PayPal has purchase protection for buyers.
This means if you buy something from a business using PayPal and it turns out to be fake or the item is damaged, you can contact PayPal, and you may be eligible for a refund.
In addition, if the transaction is still pending and you realize it was a scam, or it was unauthorized, you can cancel the payment before it goes through.
If you suspect that someone has gained access to your PayPal account, be sure to change your password and contact customer support.
PayPal allows you to submit a refund request 180 days from your purchase date.
Can Money Be Stolen Through PayPal?
If your PayPal account is compromised and someone is able to log in, they will be able to withdraw funds from your bank account or create new PayPal accounts.
This may happen if a hacker is able to guess or steal your password, or if they receive it via a phishing email.
So, be sure your password is strong, and don’t share any login information through email.
As well, you can enable multifactor authentication and a PIN to protect your account upon sign-in.
Is It Safe to Put My Bank Account on Venmo?
Venmo uses bank-level encryption to keep your data and bank information safe and hidden, so it’s safe to link cards and bank accounts to your Venmo account.
However, Venmo can be hacked and is the target of many scams.
So, if someone gains access to your account, they will be able to transfer money out of your linked bank account through Venmo.
If you’re concerned about this, it’s safer to link a credit card to Venmo, since unauthorized credit card transactions are easier to dispute and get your money back.
Venmo and PayPal are both relatively safe, but with PayPal’s many security protocols and safety measures, it’s generally considered safer than Venmo.
PayPal is designed to be used for business transactions and people who don’t know each other, whereas Venmo is designed to be used between friends and family and therefore has more limited fraud protection.