In order to compete with the easy mobile transfer capabilities of Venmo, major banking institutions in the US announced they will offer the same capabilities through the Zelle app.
Banking institutions like JPMorgan Chase & Co., Bank of America Corp., and 17 other banking and credit institutions will offer easy transfers between accounts in 2017 with Zelle. Consumers using Zelle will be able to send and receive payments to chosen recipients quite easily. Since Zelle will be featured on the associated bank's mobile apps and websites, banks are aiming to draw consumers away from other instant payment networks, like Venmo, in favor of using one associate with their banking institution.
The widespread use of payment apps like Venmo, and potentially Zelle, is part of the growing movement away from the use of cash and checks as forms of payment.