Full Cash App Guide – Your Questions Answered
If you do not have an app on your phone, please stand up… One would be hard-pressed to find someone without an app on their smartphone nowadays. Almost all companies worth their name are conducting their business through apps. Square Inc., which owns the Cash App is no exception.
Like all apps, the Cash App is a self-contained software program to enhance functionality minus the cumbersomeness of some online banks and is user-friendly.
One can categorize the Cash App as a financial and online banking app. You can choose to log in via the Cash App website on your desktop computer or portable device. You can also download, install and access the services via the Cash App.
The Cash App offers a simple way to access its services and an excellent user experience. The Cash App is easier to sign in as personal details are saved for the next session, easy to access your balance and is more readable.
Cash App is popular with its users because of the unique services and benefits that it started rolling. The benefits include; buying and selling Bitcoin, investing in stocks and the free cash card, and making savings on purchases through ‘cash boost.’
Cash App makes it simple, safe, and fast to do transactions such as sending and receiving money and making online purchases at almost no cost. The Cash App services, including Cash cards, are issued by either Lincoln Savings Bank or Sutton Bank are FDIC members.
Cash App is used not just by individuals but also by organizations and businesses. One can navigate the Cash App in English and French languages.
Cash App – 4 Primary Functions
1. Payments
Users can donate money to their favorite cause, tip at the restaurant or any professional, and send to and receive money from anyone. All one needs is the phone number, Q.R. code, or enter a $cashtag of the person you are making a transaction to make payment.
2. Cash Card and Boost
You can use the Cash Card debit card to pay in your favorite stores and online. The Cash card will enable you to get ‘Boosts’- discounts that work in places where you shop.
3. Investing in Stocks and Bitcoin
With the Cash App, one can invest in stocks for as little as $1. Cash App describes itself as the ‘fastest’ way to have your dollars converted to bitcoin. You can also have an overview of what Bitcoin is from the Cash App
4. Banking
With your account number and Cash app routing, you can receive direct deposits, retail payments, paycheck, tax returns up to two days earlier.
Who Needs Cash App?
You need a Cash App if;
1. You are impatient with slow services from your current bank when Cash App transactions are faster
2. You are worried about your transactions’ security via your current bank or online banking app when you could be more secure using Cash App
3. You have been levied fees and high charges than the standard market rate when most transactions are free with Cash App
Why Did Square inc Introduce Cash App?
Cash App sought to bridge the market gap where users of online banking apps needed cheaper if not a free, secure, and fast way to make transactions.
Fast
If you thought McDonaldization is just about fast food, you would be forgiven…first, and fast seems to be the motto of the Cash App. One can send and receive money instantly. When you sign up, you can make a transaction in minutes.
With your account number and Cash App routing, you can receive direct deposits, paycheck or tax returns up to two days earlier. Waiting for days or hours to complete a transaction is now considered stone age by gen Z and millennials.
Secure and Safe
With the Cash App, one can set up a FaceID or TouchID and have a passcode to make secure transactions such as investing in stocks or bitcoin or sending money to a friend. If you ever lose your Cash card, you need not worry-with one finger tap, and you can pause/freeze spending.
Free
Good news for enthusiastic stock investors-you can put your Cash App to fair use. With even $1 one can invest in stocks commission-free. Besides, one can get a free virtual Cash card in minutes valid for making purchases. One can also send and receive money at no cost…yey, you heard it right!
Setting Up and Using Cash App
To use a Cash App first, you have to download it from the app store depending on your smartphone type(iPhone or Android). After installing the Cash App, signing up takes just minutes, and you can instantly start using the app. Don’t we all like that?
However, before you can make any transaction, you will need to create a user account. Among other details, you must create a username also known as $Cashtag.
You will then have to link your active bank account to the Cash App user account. Are you raising your eyebrows about connecting the Cash App to your bank account? No worries, your bank information is secure. Even, other Cash App competitors like Venmo and Paypal can link a bank account to send money.
Next, you will have to add funds to your Cash App account via the free debit card you received connected to your current bank account. You will then be ready to make purchases using the Cash App.
The Cash App is intuitive and will direct you in the process of setting up your account and ensuring everything runs smoothly.
Remember you can send and receive money to anyone who is in the same country as you.
How the Cash App Works – 4 Easy Steps
In sending or receiving money;
Step 1
First, you must be signed in to your Cash App account. Tap the ‘$’ sign at the bottom of the Cash App screen.
Tap either ‘Pay’ or ‘Request’ to pay someone or request payment from someone. Type and enter the amount you want to send as payment or are requesting to receive. Tap ‘Pay’.
Step 2
You will then enter the $Cashtag for the person you want to send payment to or are requesting money from. One can also use a mobile phone number or email address instead of the $Cashtag to make the transaction.
Step 3
Next, you will have to state why you are sending the payment or are requesting to be paid.
Step 4
Then finally tap on ‘Pay’ or ‘Request’.
It is good to note that one has to be careful when entering their details or those of the money recipient.
Be sure to countercheck that the $Cashtag, email, or phone number is correct. Any error means the money may not reach the recipient or you may not receive the funds requested, it could end up in someone else’s Cash App account.
If due to your error, the money land in someone else’s account, there is no way Cash App support can help you… other than hoping whoever received the money will act in good faith and send it back to you.
One can also delete their Cash App account and install the app from their phone if they do not need it for whatever reason.
Cash App Transactions – A Complete Overview
1. Bitcoin (BTC)
With Cash App, one can trade Bitcoin; depositing, withdrawing, selling, and buying Bitcoin quickly. Even with just $1 you purchase bitcoin and track the Bitcoin price in your Cash app. Once your Bitcoin is deposited in your Cash app, it is up to you to withdraw it or store it in your app.
2. Stocks
With the Cash App, one can invest in stocks and track stock prices as well. Also, the Cash App functionality enables one to create a list of companies one follows to keep abreast with the current stock performance/news. You will also be able to watch your stock investment portfolio from the Cash App closely.
However, the Cash App is quick to give a disclaimer – Your stock investments via the Cash App are not FIDC insured. One has to be aware that they can lose their money as investing involves risks. However, the brokerage services are conducted by Cash App LLC, member FINRA/ SIPC.
3. Cash Boost
When one makes purchases with their Cash card, they can unlock instant discounts known as cash boosts. Cash Boost is famous, and all one has to do is choose from the Cash App the Cash Boost they want and pay transactions using their Cash App. The discount is automatically effected.
4. Cash Card from Cash App
With Cash App, one can order a Cash card. The Cash card is a debit card which Cash App issues at no cost. One can get both a virtual Cash card that you can use to make purchases instantly online and the physical Cash card that comes later to be us.
5. Receiving and Sending Money via Cash App
With Cash App, one can send, receive and request money from their peers. Do you need to split bills? Then Cash App is the solution. Enter and tap the amount to be paid, in an instant, you will have to take care of your part of the invoice you share with a friend.
6. Receive Your Money Early
One can receive their payout directly into their Cash App two to three days earlier than one would receive with other banks. All you need is your Cash App routing and account number. One can pay bills as well as using the same routing and account number.
Some of the payouts you can receive earlier via Cash App are tax returns, government stimulus payouts, and deposit paychecks unemployment benefits.
7. Filling Tax (Coming Soon)
In its belt, the Cash App also has a tax-filling service acquired in 2020 that will soon be integrated into the app. The feature is not yet in place but very much anticipated by Cash App users.
Advantages of Cash App
1. Cash App is free for most of the transactions. One does not have to pay anything to receive and send money. There is no basic services fee, neither monthly nor inactivity fee charges
2. One can make an instant purchase with the virtual Cash Card (free debit card). With the physical Cash card, you can withdraw money from the ATM
3. One can make instant savings by using their free debit card to make purchases. One selects a boost, and when you pay with the Cash card, you instantly have your discount effected
4. Cash App will offer you $5 as a bonus for people who join Cash App using your referral code and link. These people also get a bonus of $10
5. With Cash App one can invest and trade in stocks commission-free
6. One can also sell and buy bitcoin from within the Cash App
7. Instant money transactions
8. Secure transactions
Disadvantages of Cash App
1. If you send money to the wrong person or for the wrong amount using Cash App, that money could be gone permanently as the payments are instant and cannot be canceled. There is no recourse or intervention from Cash App customer support
2. The money in the Cash App account is not FDIC insured
3. If one withdraws money from the ATM with their Cash card, one is charged a 3% fee
4. One cannot reach customer service via phone or email. One can only use the app or via the Cash App website to contact Cash App customer support
5. Unlike investing in free stock, selling and buying bitcoin is not free on the Cash App. One pays a fee determined by the volatility of price on the exchanges. Also, one pays a service fee for each transaction
6. Even though Cash App allows you to sell and buy Bitcoin, Cash App LLC itself does not trade bitcoin
7. Your stock investments via Cash App are not FIDC insured. One has to be aware that they can lose their money as investing involves risks
8. Unsuspecting users are prone to scam and phishing attacks, mainly due to the popular giveaway campaigns. Users’ scammed through fake referrals, gift cards, and phishing scams that the Cash App management acknowledges being aware of on its website!
How To Avoid Cash App Scams
1. Avoid replying to messages promising to give out gift cards on social media from strangers
2. You should not share your sign-in code with anyone.
3. Do not give out your email, phone number, or $Cashtag to anyone that sends messages stating you have won a reward that they need to send.
Things to Consider About Cash App Before Using It
1. Cash App does not offer credit cards.
2. Withdrawal limits on the Cash card. One can withdraw up to $1250 per month, $1000 per week, and $250 per day.
3. One is charged a fee of 3% when you use a credit card to transact via Cash App.
4. It is essential for users to be informed that FDIC does not insure Cash App’s Cash card.
Conclusion
Our article was about What is Cash App? The Full Guide. As expected, just like an inherent app, it is user-friendly and has extended functionality that makes the user’s life easier and offers a smooth experience.
We have explicitly looked at who needs the app, why Square inc introduces it, setting up and using the app, how the app works, transactions, as well as a complete overview, advantages, and disadvantages.
We have also looked at how to avoid Cash App scams and what to look out for before using it. Overall Cash App is worth a try with many financial features that aid one in making smooth transactions.