Here’s How To Avoid Unexpected Fees With Payment Apps

Payment apps have come under scrutiny by lawmakers and regulators as their usage skyrockets. It only takes a tap to instantly send money to friends and family. Customers also use them to quickly buy goods online. That ease of use has 80% of Americans using mobile payment apps, according to a recent survey by NerdWallet. What’s more, 50% of those respondents said they use these apps at least once a week.

Transaction volume across all payment app service providers in 2022 was estimated at about $893 billion, according to the Consumer Financial Protection Bureau. That agency also estimates tap-to-pay transactions from digital wallets will soar by 150% between now and 2028.

Meanwhile, there are growing concerns about financial safety for consumers. The CFPB is focused on “erecting guardrails and some requirements and obligations for non-traditional players who are offering services very similar to a bank-based product,” said Amy Zirkle, the CFPB’s senior program manager for payments….Story continues…

By:  Stephanie Dhue & Sharon Epperson