Zelle App Shuts Down: Why it happened and how users can still transfer money

Zelle, the widely used peer-to-peer payment platform, has officially discontinued its standalone mobile app as of April 1, 2025. Originally launched in 2017 and supported by around 2,200 financial institutions, Zelle began phasing out app-based transactions in October last year. Users can now access the service solely through their bank or credit union's mobile app or online banking platform.
The decision to discontinue the app comes after Zelle reported that only 2% of its transactions were conducted via the standalone app. Most users already rely on their banking apps to send and receive money, making the standalone app redundant. Zelle's shift aims to enhance security and streamline operations, as transactions through banking systems are considered more secure and less prone to fraud.
For those who previously used the Zelle app, transitioning to a bank or credit union that supports Zelle is necessary to continue using the service. Users can register their email address or mobile number with their financial institution to enable Zelle transactions. Payment history from the standalone app will remain accessible until August 11, 2025, allowing users to retrieve records before the app is fully decommissioned.
If you're looking for alternative online money transfer services, platforms like Venmo, PayPal, Cash App, Google Wallet, and Apple Pay offer convenient options for sending money. These services provide features such as instant transfers, social engagement, and international payment capabilities, catering to a variety of needs.
In December 2024, Zelle faced a lawsuit from the Consumer Financial Protection Bureau and three major US banks over inadequate fraud safeguards that led to customer losses exceeding $870 million. However, the case was dropped last month by Trump administration which is less inclined toward financial regulation. Amid rising scam concerns, Chase Bank has also reportedly started canceling certain suspicious Zelle transactions.