We have been using Venmo for many years to send and receive money from our friends and family. But the one with a checking account on Venmo might want to know what banks it goes under.
The company advertises itself as more than a payment-sharing platform, and in fact, it is. It offers a debit and credit card and allows users to invest in cryptocurrency for as low as $1.
Since Venmo is not any bank, it’s a fintech company that uses third-party banks to provide banking services to its customers.
So, in this article, we’ll know what Venmo bank’s name and address are, so you can use them to set up the Direct Deposit feature.
What is Venmo, and how does it work?
Venmo is the most popular social payment app by Paypal. At its core, it allows users to pay and receive cash instantly with friends and family. Currently, it is available in the U.S., with over 80 million active users at the time of this writing.
Apart from that, it lets users bank and invest in cryptocurrencies and share bonds. It offers a Mastercard debit card to spend Venmo funds globally and set up a direct deposit account.
It offers eligible users a credit card with benefits like automatic cash back and spending tracking, including other perks.
Since Venmo is not a bank, it’s just a fintech company that works with third parties to provide services.
Is Venmo a bank?
No, Venmo is a fintech company, not a bank. It offers financial services with the help of third-party banking partners, Synchrony Bank, Bancorp bank, and Member FDIC. Both banks offer different services, such as Mastercard debit cards issued by Bancorp bank and Visa credit cards issued by Synchrony bank.
With a Mastercard, users can use their Venmo balance and earn cashback wherever they go. If approved, a Visa Credit card will let you send, spend, and automatically purchase crypto from the cashback funds each month. None of the cards levies any monthly or annual fee, which could be one of many perks that Venmo offers.
Venmo’s debit card comes with Member FDIC coverage, which means, your Venmo wallet will be under FDIC protection in case your money is stolen. Your Venmo funds are unsecured without a debit card, as you don’t receive FDIC insurance. However, to secure your funds, your Venmo account balance must be eligible for FDIC pass-through insurance.
Its banking partners do not provide cryptocurrency programs, nor are they responsible for it. You are offered a debit and credit card and all the other services associated with them.
Since Venmo is not a bank, it’s a PayPal subsidiary, so you don’t receive any interest or credit, nor it takes any deposits itself. When you deposit any funds or cryptocurrency or receive any direct deposit to your Venmo account, your fund is placed in one of its program banks for FDIC pass-through insurance if eligible.
Here are the names of the Venmo or PayPal program banks:
- The Bancorp Bank
- Goldman Sachs Bank USA
- Wells Fargo Bank, N.A.
What Bank Does Venmo Use for direct deposit?
Direct deposit will only be made if your benefits provider sends a paycheck two days before payday. Venmo works with Bankcorp Bank to provide banking services or a debit account you require to set up direct deposit.
While Venmo almost functions as a bank because it has its routing and account number, you can receive your paycheck up to two days earlier if you’ve already passed the identity verification required for direct deposit.
So if you want to know your Venmo account information, you can find it in your app’s settings. If you’re eligible for direct deposit, you can access the direct deposit features or see your Venmo routing and account number.
You must send this information to your employer to enable early payday benefits. Once you’ve completely set up direct deposit, you can add funds to your Venmo account using check deposits through the app.
Note: Venmo’s banking partners are not subject to any offering of checking accounts or cryptocurrencies.
How to set up direct deposit on Venmo?
Setting up direct deposit on Venmo is a straightforward process. First, you’ve to make sure if you’re eligible for direct deposit or not. At this time, The Direct Deposit option is available only for users who have a Venmo debit card.
You’re eligible for the Direct Deposit feature if you’ve already applied for a debit card. Simply follow the instructions below to copy your account info and give them to your benefits provider or employer.
- Launch the Venmo app.
- Tap the Menu icon or You tab.
- Tap the Settings icon in the right corner of the screen.
- Tap Direct Deposit.
- Now, tap to show your Venmo routing and account info, and copy them.
- These pieces of information are to be submitted in a direct deposit form by your employer.
Once all set, you’ll be able to get your direct deposit up to two days earlier than most standard banks. However, your first direct deposit might take up to two pay cycles to take effect.
What bank is Venmo on Plaid?
This question is fundamentally wrong cause Venmo is not a bank – You won’t find Venmo anywhere on the Plaid banks’ list.
Plaid, on the other hand, works with Venmo to verify and link your financial accounts. So when you Link any payment source on Venmo, Plaid will help you connect it securely and easily, giving you the flexibility to manage your financial accounts.
Without the Plaid, your financial data might risk being shared without your permission. So Plaid adds layers of security and privacy between your financial accounts and fintech apps.
If you’re curious about which bank Venmo uses for direct deposit, It’s the Bancorp Bank, FDIC. The amount you have in your checking account is eligible for FDIC coverage of up to $250,000 per person.
You don’t need to pay any fee to Plaid when connecting accounts on Venmo. You simply have to select your bank and enter your credentials and submit. Plaid will ask you to verify your identity by sending a security code to our phone number. Since Venmo is not any bank, you’ll not find it in the Plaid bank’s list.
In case it says, “Venmo lost connection with bank,” you can try to delete and add your bank again using Plaid or manually – It could happen for several reasons.
What is Venmo bank address?
As we know, Venmo offers banking services through Bancorp Bank and Synchrony bank. If you’re enabling the Deposit feature, you need to send the account number, routing number, and bank address to your employer to submit in the direct deposit form.
In case you’re asked to submit a bank address in the Direct Deposit form, you have to send your FDIC-Insured bank partner or Bancorp Bank’s address.
- The Bancorp Bank
- 6100 S Old Village Pl
- Sioux Falls, SD 57108
You can only use your routing and account number to receive payments through Direct Deposit or cash a check.
Venmo also has a synchrony bank as its partner that provides Visa credit cards with perks like cash back and spending tracking features.
Wrapping it Up
That’s all there to it. We’ve piled up all the Venmo bank names you need for Direct deposit. Also, we’ve mentioned other banking partners that Venmo uses for credit cards and deposit funds.
Knowing that you’re sending the correct bank address to your employer is crucial so your direct deposit can be successfully directed to your Venmo account. We hope you find this article interesting and helpful.
Frequently Asked Questions (FAQ)
What bank does Venmo go through?
For credit card operations, Venmo is affiliated with Synchrony Bank. While debit cards and Direct Deposit are affiliated with The Bancorp Bank, Member FDIC. To deposit funds, it has different banking partners.
Why Can’t I see my account number?
If you cannot access the Direct Deposit feature on Venmo, maybe you haven’t applied for the Venmo debit card or don’t meet the criteria.
Do I need a debit card to set up Direct Deposit on Venmo?
Yes, you must have a Venmo Mastercard debit card before accessing the Direct Deposit feature. You can apply for the debit card through the app, and if approved, you can easily access the feature.
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