Dwolla

First there was bartering, then there was coinage, and of course paper tender followed with checks right behind. Finally, there was the plastic credit card. The way we exchange value for goods has always evolved, so why should the 21st century be any different?

 

With Dwolla, you can use your phone, computer, as well as your social networks and physical locations to send and receive cash, for the cheapest price and the most convenience.

 

 

First and foremost we are a cash based payment network, just in a way that many aren’t used to seeing, yet. See, we allow you to pay for goods and services on our payment network, while also giving you the freedom to send and receive cash with whomever via our peer-to-peer payment platform; however, we do it without the expensive fees, debt-inducing policies, and antiquated plastic credit cards.

 

What’s unique is what we’ve done on top of that network. We’ve built a family of technologies that make it quick, easy and secure to send and receive money the way you want. Whether that means buying a latte with your phone at your favorite coffee shop, paying for a new pair of shoes online or sending money to a Facebook friend, Dwolla represents a whole new payment experience that we believe is the future of cash.

Just a few things that Dwolla can be used for: 

• Retail purchases - Check out www.dwolla.com/spots to see a map of all the businesses that accept Dwolla
• Peer to peer transactions - Do you owe your friend money? Send them money through Dwolla!
• Online - There are a number of online businesses that accept Dwolla
• Donations - Send your favorite charity or non-profit your donation through Dwolla!

 

Dwolla isn’t only safe, it’s safer than plastic!

The numbers on your card correspond with a bunch of private information that can easily be stolen and used fraudulently. Every time you flash your card or hand it to a waiter, you're jeopardizing your financial security. With Dwolla, none of your information is transferred/released/captured/transcribed during a transaction. Furthermore, our mobile and online payments are layered with security features that not even banks or the credit card industries have. Simply put, we allow you to move your money the way you want to without exposing or sharing your personal information to a third party.

 

 

Take out your plastic card. See that little Visa logo (or any other card logo) in the bottom right-hand corner? Now, think of that image as your membership ID to send money on that corresponding network. Unfortunately, businesses and services must pay the card company fees and monthly costs to accept your payment and is why a lot of small businesses refuse to take cards. These “swipe fees” cost between 2% and 7% of the purchase, plus an additional $.30 cents per transaction processing fee (along with a host of other charges). To offset the annual $48 billion in fees, merchants raise the price of goods and services to compensate.  Naturally, Dwolla is building the solution to this problem, which means we must avoid these “plastic” networks.

 

 

 

 

Dwolla’s low-cost for merchants has led to pretty rapid growth all over the country. You can currently use Dwolla with merchants online and in retail stores, as well as with your social network connections or any email or phone number.

 

 

Like many other popular location-based technologies, Spots roots Dwolla’s virtual activity into brick-and-mortar locations and real-world environments. By adding a proximity element to digital-based transactions, the new technology allows users to find Dwolla merchants, confirm payments, and share their transactions with your friends on social networks, all based solely on your location. This increases convenience for the consumers and financial value for the merchants. Be sure to check out the video of our Spots feature in action.

 

 

Yes, compared to the average 3% + $.30 processing fee per transaction with the use of credit and debit cards and other online payment networks, we are incredibly affordable.  How do we do that, you ask?  We’ve created our own hybrid ACH network with our technology partners and investors. The result is a new, safer and more secure way to transfer money that works on and with social behaviors you engage in, on a daily basis.

 

 

As is typical of most payment transactions, the recipient is responsible for covering the quarter. However, there is an online feature that will allow the sender to “assume the cost” of the $.25 (we see this a lot with donations to charities and non-profits).
 

 

Yes! At Dwolla, we recognize that you want to exchange funds with the people you know, without having to create yet another contact list. That’s why we use social networks, to help build your database. By linking your Dwolla account to your Twitter handle, Facebook or LinkedIn profile you’ll have the ability to send money to any follower, friend or connection. Be sure to check out the video of our first social payment.
 

 

No!  Dwolla will safeguard those funds, in our financial institution's account, until the designated recipient/end user registers an account. Once they are registered, they can link their account in which the original funds were sent and the money will instantly appear in their Dwolla account.

 

 

That depends on how the funds were originally sent. If money was sent to someone’s Twitter handle, the recipient will receive a direct message with a specific link. Facebook profiles will receive a message on their wall, informing them that funds were sent and are waiting to be claimed. LinkedIn connections will receive a message prompting them to sign up for a Dwolla account in order to claim the funds. These notification messages will only appear once. Funds that go unclaimed will be redirected back to the sender after 30 days of the recipient not collecting the funds.

 

 

Not necessarily. You have the send and receive money capability, from other Dwolla users without touching your financial institution. However, adding a bank is necessary if you wish to add or withdraw funds to and from your Dwolla account. If you choose to verify your bank, we’ll make two small deposits into your bank account that should appear within 2-3 business days.

 

 

Dwolla currently works on the bank transfer network, which allows you to move your funds to and from your bank with Dwolla accounts. If your financial institution has been FiSync-enabled, load and unload times could be instantaneous. Otherwise, moving money from your bank account into Dwolla or to another Dwolla user takes 3-4 business days, and withdrawing funds from Dwolla to your bank account takes 2-3 business days. Find out more about transaction timing.

 

 

FiSync is unlike any other technology on the market. When implemented within a partnering financial institution, the product will provide members quicker and easier access to their funds.  How fast depends on your bank or credit union’s integration level. Some partnerships will provide instantaneous access to your funds, allowing you to spend the money in your bank account via your Dwolla account instantly, while others will bypass the verification steps involved in signing up a Dwolla account. Feel free to contact your institution about their level of integration, and if they've never heard of FiSync, tell them about it!

 

 

Dwolla on smartphones provides a versatile and convenient medium to send and receive money. Currently, our applications are available on iOS and Android.