Zelle is shutting down its app, but you probably don’t need to worry

Zelle is shutting down its standalone app on Tuesday, according to a company blog post.

This news might be alarming if you’re one of the over 150 million customers in the U.S. who use Zelle for person-to-person payments. But only about 2% of transactions take place via Zelle’s app, which is why the company is discontinuing its standalone app.

Most consumers access Zelle via their bank, which then allows them to send money to their phone contacts. Zelle users who relied on the standalone app will have to re-enroll in the service through another financial institution.

Given the small user base of the Zelle app, it makes sense why the company would decide to get rid of it — maintaining an app takes time and money, especially one where people’s financial information is involved.

Zelle launched in 2017 with backing from 30 banks to be a more efficient alternative to Venmo. On Venmo, users can receive payments into their own Venmo wallet, which they can then deposit into their actual bank account — but if you don’t want to wait a few days for the deposit to process, you’ll have to pay a fee for an instant transfer. Because of Zelle’s connections with banks, it’s able to offer instant transfers without charging additional fees.

Zelle said that in 2024, users sent $1 trillion in payments, breaking the records of any other payment app. This might be the case because consumers tend to use Zelle for larger payments like rent. Venmo, on the other hand, is designed for more social use, like reimbursing a friend for dinner.