Another revolutionizing application
has made it in the every day use of young adults all over the country. Venmo is
a money transferring application that simplifies the problem of paying a friend
or family member back. The application directly links to your bank account and
can transfer money into anyone who also has the applications bank account. This
has become increasingly popular on college campuses. I have personally used the
application to pay back friends when they have loaned me a few dollars.
This application simulates how
consumers interact with businesses and make it possible for two normal people
to interact in the same way. Usually now everything you buy from a large
business is through a credit card, no money is involved. This application
allows for no money to be involved when paying another person.
This application has huge personal
and societal implications. Paper money continues to seem more and more obsolete
with the creation of applications like this. This can be heavily related to
when the credit and debit cards were invented. It made the process of a
transaction quick and easy and Venmo is improving that process in a different
aspect. The need for ATMs is going to continue to decrease with the ability to
transfer money electronically to anyone in any situation. This is going to
discourage people from every having any paper money on them, and is going to
continue to shift more and more power to your smart phone.
This may seem amazing, however, a
few security problems have risen from this. It has become easier for hackers to
gain access to peoples bank accounts through this application. It isn’t 100
percent clear as of now how most hackers are able to gain access, but a
solution needs to come quick if people are going to continue to trust this application
and if Venmo wants to continue to revolutionize how Americans use money. If the
power of your money is all going to be on your smart phone security is going to
have to greatly increase.
Even with these problems Venmo has
the potential to connect communities from all over the world. It can make
buying tickets from someone across the country an instant transaction. It is an
amazing technology that needs to continue to develop.
OriginalSource: http://www.thedenverchannel.com/news/front-range/denver/theres-a-new-popular-money-transfer-app-called-venmo-but-is-it-safe
As you mentioned Venmo offers many features that make it a very convenient means of transferring money between bank accounts. However the same features that make the app so fast and efficient are also the reasons it has so many security issues. To avoid allowing a new start up company to handle your money, you can use similar applications on your cell phone through just your own bank account. For example chase offers Chase quick Pay, Wells Fargo uses Wells Fargo Sure pay, and Bank of America also has a similar version. These applications offer the same service and can transfer money just as quickly as Venmo but offer higher security and reliability. The only downside to these applications through your personal bank is that if the person who you are transferring money to is not with the same bank you might have to input additional information into the application (routing numbers, account numbers, etc.). While this process can be more time consuming, at least you will be assured your money is in good hands. Furthermore if you transfer your money through your bank, you do not need to make a new account. Venmo will require you to release important personal information to a third party, while if you transfer with your bank's application you already have an account set up and ready to go. Personally I think it is in everyones best interest to take the extra time and utilize their personal bank's app to transfer money so they are not vulnerable to social engineering and phishing attacks.
ReplyDeletesource: http://lifehacker.com/whats-the-best-way-to-send-money-online-1342156640