Facebook to Roll Out Feature Allowing Friends to Send, Receive Money

Justin Sullivan/Getty Images(NEW YORK) — Facebook will roll out a new feature in its Messenger app that will allow users to send or receive money.

In a move that seems to be a strike at money-transfer app Venmo, Facebook will allow its users to open a conversation with a friend and add their debit card to either accept or send money to their friends. The feature will be rolled out in the U.S. in the coming months.

“The money you send is transferred right away,” Facebook said in a press release. Still, “it may take one to three business days to make the money available to you depending on your bank, just as it does with other deposits.”

Facebook will also prompt users to create a PIN once they add a debit card that will provide extra security for future money-sending attempts.

Tech site Mashable says that the choice to only allow debit card use — for now — was made to “minimize fraud and avoid fees.” The Venmo app allows users to transfer money using credit cards, but charges a three-percent fee on those transactions.

“These payment systems are kept in a secured environment that is separate from other parts of the Facebook network and that receive additional monitoring and control,” Facebook’s blog post said.

Adding to that protection is an anti-fraud team that will monitor for suspicious activity to make sure users’ financial information remains secure.

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