Was PayPal Right Raising Venmo Prices? Our Thoughts
by Matt Gregory - October 15, 2018
You may not have heard but PayPal recently acquired the payment service Venmo, a fast-growing payment app which many people use around the world. It's a fast, handy way of paying people and some gamblers use it at mobile casinos.
It has come to light, however, that PayPal will be increasing all Venmo fees by 1% in an effort to make more money. This has caused a lot of backlash from avid Venmo customers, who say that the increase is both unfair and unnecessary.
How does this affect mobile gamblers? Should we be worried about further increases? Find out our thoughts by reading on.
What Is Venmo?
While not widely used by mobile players, Venmo is handy for making quick, easy payments. In principle, it's very similar to PayPal but unique in that users can share and like payments and the purchases they make. Think of it as a financial transaction/social media hybrid.
It's very popular among young people, especially millennials, who have reported the service to be extremely convenient and simple to use.
Here are the sort of things you can do with Venmo:
- Make payments by linking your bank account, debit/credit card to your Venmo balance
- Transfer Venmo balance to your bank account balance
- Transfer money quickly with just a phone number, email address or username
- Split payments with friends and family
- Share payments and purchases on a social feed with a quirky comment so the whole business seems less dry
Many have taken to this new development with less than kind opinions. Indeed, a lot of loyal Venmo users took to Twitter to protest PayPal's decision to raise the price on using it, some even going as far as deleting the app altogether.
.@venmo Starting to charge fees on transfers means I’m deleting the app. Too many free ways to send and transfer money to pay
— Matt Davis (@MatthewKDavis) 13 October 2018
— Alexandra Rosen (@rosen_alexandra) 13 October 2018
— Hunt for Rad October 🎃🏄🏻♀️🎃 (@margarita) 12 October 2018
In an effort to defend themselves, PayPal responded with the following statement:
“The change reflects the value that Venmo’s services offer […] There’s a lot left in front of us. It’ll be a multiyear journey.”
It would seem that this is a multiyear journey not many Venmo users want to share.
While few mobile gamblers may be impacted by this fee (as this largely affects US users for the most part and it's not clear what kind of transactions will be charged), it does seem an awful way of PayPal trying to squeeze more money out of users.
Venmo users aren't too pleased with it. Yes, convenience is a priority but should that come with an increase in transaction fees? We honestly don't think so. Unless you're exchanging money overseas then there shouldn't be any hidden transaction fees from the consumer.
We here at Fable Casino prize transparency above all else. Check out our mobile casino and make a deposit yourself and see!