Zelle is a U.S.-based digital payments network owned by Early Warning Services, a private financial services company owned by the banks Bank of America, BB&T, Capital One, JPMorgan Chase, PNC Bank, US Bank, and Wells Fargo. The Zelle service enables individuals to electronically transfer money from their bank account to another person's bank account (within the United States) using a mobile device. The Zelle service was launched in 2017.
Early Warning Services has also operated a somewhat similar service called clearXchange that offered payment services through member financial institutions and a website. Launched in April 2011, clearXchange was originally owned by Bank of America, JPMorgan Chase, and Wells Fargo, and after Capital One and US Bank joined as additional partners, was sold to Early Warning Services in January 2016. In December 2017, all clearXchange accounts for person-to-person payment services were deactivated and the web interface was discontinued. However, clearXchange continues to operate as a payment service for companies and government entities.
Video Zelle (payment service)
History
- clearXchange was launched in April 2011, and it was originally owned and operated by Bank of America, JPMorgan Chase, and Wells Fargo. clearXchange enabled users to send money to anyone else with a bank account in the United States that had also signed up for the service. Users accessed the network within the websites and apps of member financial institutions, and through clearXchange's website. The network connected with existing bank accounts, so consumers would not need to fund a separate account to use the service. This feature and the lack of fees for using the service were highlighted as advantages for competition with other person-to-person payment services such as PayPal, Popmoney, and Square. The system associated each user bank account with an email address and mobile phone number, so only the recipient's email address or mobile number was needed to send money directly from a bank account to the bank account of another person who had signed up for the service. In the clearXchange system, transactions could take as much as five days or longer to be completed.
- Over time, the number of financial institutions that were affiliated with clearXchange grew to include various other banks and credit unions. Capital One and US Bank were added as additional owner-members.
- clearXchange was sold to Early Warning Services in January 2016.
- In September 2017, Early Warning Services released the Zelle payment system and mobile app and announced that all clearXchange "person-to-person" payment service accounts would be deactivated in December 2017. After that, clearXchange stopped supporting person-to-person payments but has continued to provide payments from companies and government entities to certain customers. The company encouraged the former users of clearXchange to sign up for the new Zelle service. As in the former clearXchange service, payees are identified in the Zelle service by an association between the recipient's bank account and an email address or mobile phone number. Money sent to a registered payee using Zelle is typically available to the recipient "within minutes".
Maps Zelle (payment service)
Partners
The Zelle Network includes the following participants:
Network partners
- MasterCard
- Visa
Processor partners
- CO-OP Financial Services
- FIS
- Fiserv
- Jack Henry & Associates
Participant financial institutions:
- Ally Financial
- America First Credit Union
- Bank of America
- Bank of Central Florida
- Bank of Hawaii
- Bank of the West
- Bank of York
- BB&T
- BECU
- BNY Mellon
- Capital One
- Chase Bank
- Citibank
- Citizens Bank
- City National Bank
- Collins State Bank
- Comerica
- Connect One Bank
- Dollar Bank
- Fifth Third Bank
- First National Bank
- First National Bank of Central Texas
- First Tech Credit Union
- First Tennessee
- FirstBank
- Franklin Synergy Bank
- Frederick County Bank
- Frost Bank
- Guadalupe National Bank
- Home Street Bank
- Huntington Bank
- KeyBank
- M&T Bank
- MB Financial Bank
- Morgan Stanley
- PNC Bank
- Provident Bank
- Quontic Bank
- Regions Bank
- Renasant Bank
- SchoolsFirst Federal Credit Union
- Seacoast Bank
- Star One Credit Union
- SunTrust
- Surrey Bank & Trust
- TD Bank, N.A.
- United Bank
- US Bank
- USAA
- Wells Fargo
References
External links
- ClearXchange official website
- Zellepay official website
Source of the article : Wikipedia
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