Tips for using popular person-to-person payments
March 8, 2018
Online person-to-person (aka P2P and peer-to-peer) payment systems let you send money to people quickly. They're great for paying the sitter and sending money to your friend when going in together to buy a gift. The use of these payment services is a growing trend and it's estimated that more than $700 billion in P2P payments will be sent in the U.S. in 2018. We always encourage our customers to use our own trusted P2P options, available as part of our suite of online services. SMB's P2P option is secure, safe, and verUy inexpensive, and we encourage you to give it a try.
If you are not utilizing our bank's P2P service,and have chosen other options such as PayPal, Venmo, etc., the Federal Trade Commission (FTC) has shared some tips to keep in mind.
Consider additional security
P2P payment systems require access to your financial information, so check your account settings to see if you can enable additional security measures that aren't on by default. Consider turning on multi-factor authentication, requiring a PIN, or using fingerprint recognition like Touch ID.
We take security very seriously. Our P2P payments use both multi-factor authentication and PIN/Password or fingerprint recognition to access our secure P2P options.
Check permissions or settings
Some systems or apps might share information about your transactions on social media. Check social media permissions or settings—some may be set to share your information with everyone by default. Adjust your settings based on what you're comfortable sharing.
Our P2P payment services are not in any way related to social media and payment information is never shared.
Confirm the deposit went through
In many apps, when you receive a payment, the money is added to your P2P system balance. It will remain there until you transfer it to your bank account or use it for another transaction within the system. If you transfer the balance to your bank account, confirm that the deposit went through. The transfer could take a few days or even longer if it's flagged for additional review.
If you receive a P2P payment from another SMB P2P user, the funds are automatically deposited into your account. There is no need for an additional transfer to be made.
Watch out for scammers
Scammers try to get you to pay them in many different ways — including by sending money online — so make sure you know who you're sending money to. If you use the service to receive money from someone you don't know personally — maybe as payment for tickets to a concert or a game, or for an item you're selling — transfer the money to your bank account and make sure the money is there before you send any goods. Read the terms of service if you're not sure if these kinds of transactions are permitted on the service you use.
Many banks offer their own P2P services within their secure online banking. Our P2P payment services are not in any way related to social media and payments are directly deposited into your checking account. For more information about the secure online payment services offered here at SMB, visit our PowerPay page.
Check out more tips from the FTC about steps you can take to protect your personal information online.
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