15 Zelle Quick Answers (Read This Before Sending Money!)

using Zelle

Updated & Verified: May 7, 2021

Want to know what you can and can’t do with Zelle?

If you’re a Zelle user already or considering using Zelle for sending money to others, you’ve probably wondered about things like buyer protection or if you can use a credit card with the Zelle platform (which you can’t).

Find quick answers to these important common Zelle-related questions and more below!

Zelle has an average of over 65,000 new users registering for the platform on a daily basis. 

Before you sign up for an account or if you are new to using Zelle, there are some important things for you to know.

Table of Contents

Does Zelle Have Buyer Protection?

Zelle does not offer its users any buyer protection or fraud protection services for authorized payments through the platform.

This means that if you buy something with Zelle, and the seller doesn’t send the item or the item is broken when you get it (for example), Zelle won’t help you with getting your money back.

This is why it’s extremely important that you only send money to people that you know and trust when using Zelle (such as friends or family). (1)

Without any buyer protection, you are running the risk of being scammed and losing your money completely if you send money to someone you don’t really know.

Does Zelle Report to the IRS?

No – Zelle does not report to the IRS.

Because Zelle is a money transferring platform, it doesn’t meet the definition of a Payment Settlement Entity and consequently, Zelle doesn’t have to submit a 1099-K with the IRS.

That being said, however, it is important that you report any and all income that you generate to the IRS whether you are being paid using Zelle, by check, or any other means of payment. (2)

Failing to do so could result in you needing to pay backed taxes and fees to the IRS.

How Can I Clock Someone on Zelle?

Blocking someone from sending you payment requests in Zelle can be difficult. 

If you use Zelle through your banking app (like most people), you can try to delete the person from your Zelle from within your bank’s app or on your bank’s website – but this may or may not prevent that person from sending you payment requests.

If this still doesn’t help, you can try to call your bank’s customer support to ask them if they can block the person on their end since there currently isn’t a simple way to do it yourself.

Otherwise, your last option may be to disconnect and uninstall Zelle completely.  

Does Zelle Work on Weekends?

Yes – transferring money to or from someone using Zelle will work on weekends.

Money sent through Zelle is typically received within minutes no matter the time of day or day of the week it is including on holidays.

Does Zelle Work with Green Dot?

At this time, Zelle does not work with Green Dot prepaid debit cards.

Unfortunately, there is a lot of information online reporting that you can use Green Dot prepaid cards with Zelle, but that information is inaccurate.

Can I Have Multiple Zelle Accounts?

The Zelle support site anyway says you can’t have multiple Zelle accounts.

However, if you have multiple bank accounts, you can in fact have multiple Zelle accounts.

In order to have multiple Zelle accounts, you’d need to set up each account with a different email address or phone number.

To clarify, you can’t have multiple Zelle accounts for the same bank account.

Does Zelle Accept Prepaid Cards?

For the most part, prepaid debit cards will not work for sending money using Zelle. (3)

However, you can use the Chase Liquid Card and the PNC Smart Access card with Zelle – but they are the exceptions to the rule really and you have to have an account with Chase or PNC to use them.

Otherwise, if you try to use a prepaid debit card with Zelle, you’ll get an error message saying that the card you are trying to use is ineligible.

Can I Use a Credit Card on Zelle?

You can not use a credit card with Zelle. (4)

Your Zelle account is tied to your bank account so you can only use a debit card that is tied to your bank account or your bank account itself to send money using Zelle.

Does Zelle Accept American Express?

Zelle does not work with American Express.

You can only use the Visa or Mastercard debit card associated with the bank you have your Zelle account already associated with. 

Can a Zelle Payment be Reversed or Can I Charge Back on Zelle?

Depends on the situation really.

If fraud is involved and can be proven, a Zelle payment could potentially be reversed. (5)

That being said, Zelle does not offer any buyer or seller protection and is intended to be used for sending money to people that you trust like friends and family so getting them to reverse payment may prove difficult.

In some cases, you may be able to cancel a payment you made with Zelle in essence reversing the payment.

This most frequently occurs when you Zelle someone and that person doesn’t currently have a Zelle account. 

That person has 14 days to set up a free Zelle account to claim the funds that you sent them.

During this 14 day window, you are able to cancel the payment if you choose to do so.

Can I Dispute a Zelle Payment?

If you think you were the victim of fraud or have an unauthorized transaction on your account, you can report it to Zelle by calling 1-844-428-8542 and in doing so, dispute the transaction.

However, Zelle does not provide buyer or seller protection services so they may or may not actually reverse the transaction depending on the situation.

That’s why it’s crucial to ensure you are only sending money to people you know and trust with Zelle.

Does Zelle Work with PayPal?

Yes, Zelle does work with PayPal.

Download the Zelle app and install it. Then set up an account on Zelle like you normally would if you don’t have one already.

When it asks you what bank you want to use with your account, just start typing anything (it doesn’t matter what).

A button will show up that says “Don’t see your bank?”. Click on it.

It will take you to a screen where you can enter a debit card. Enter your PayPal debit card information and you should be all set.

Can Zelle Send Money to Netspend?

At this time, you can’t Zelle money to a NetSpend card. Your best option for sending money to a Netspend card is to use FlashPay.

What Happens if You Zelle Money to a Closed Account?

If you try to Zelle money to a closed account, in most cases the transaction simply won’t go through.

If for some reason it does go through and then you realize the account was closed, your best option is to contact Zelle to find out if there is anything you can do to retrieve the money.

They might recommend that you reopen the closed Zelle account (if you can) so you can retrieve the funds – but it just depends on your specific situation.

References

1. Zelle – https://www.zellepay.com/support/im-unsure-about-using-zelle-to-pay-for-goods-or-services-from-someone-i-dont-know

2. Internal Revenue Service – https://www.irs.gov/newsroom/heres-what-people-should-know-about-reporting-cash-payments

3. Quora, https://www.quora.com/Does-Zelle-accept-prepaid-cards

4. Zelle – https://www.zellepay.com/support/im-receiving-an-error-message-that-my-card-is-ineligible

5. Zelle – https://www.zellepay.com/support/can-i-cancel-a-payment