Venmo is a payment platform that enables more convenient ways to transfer money. One of the most popular peer-to-peer mobile payment services in the United States, Venmo instantly splits tabs in multiple ways for free, while also supporting online and in-store payments.
Unfortunately, Venmo is not available in Canada. However, several payment apps like it may be worth considering.
In this post, I will discuss alternative P2P payment options to Venmo like KOHO, Wealthsimple Cash, and Wise.
Key Takeaways
- While Venmo is not offered in Canada, several options are available that function similarly to the popular American app, including KOHO, Wise, Wealthsimple Cash, and Interac.
- These Venmo alternatives offer a range of features, such as P2P cash transfers, cashback on purchases of up to 10%, a budgeting app, money transfer capabilities, or CDIC insurance, depending on the payment app.
- Some are free to use while others come with a monthly fee, a transfer fee or a margin on the exchange rate. Venmo can be used to make purchases online and in-store.
Venmo Alternatives in Canada
While Canadians can’t use the Venmo app, we have several payment options that are just as convenient and safe. My top four choices are KOHO, Wise, Wealthsimple Cash, and Interac.
1. KOHO App
The free KOHO app helps users cut banking fees, save money automatically, earn cash back, pay bills, and earn high interest rates. It is an excellent alternative to Venmo.
Here’s what it offers:
Free Prepaid Card: You get a free reloadable prepaid card you can use to make bill payments, shop online, and transfer money.
P2P Transfers: Easily transfer cash between friends who are KOHO users for free. Interac e-Transfers are also free.
Earn Interest: You earn interest on your entire balance.
Earn Cash back: Get up to 10% cash back on purchases. When you upgrade to a paid KOHO account, you get more perks.
Budgeting App: The KOHO app helps with budgeting and saving towards specific financial goals, including automatically saving your spare change.
Credit Building: You can subscribe to a credit building service with KOHO and improve or repair your credit score.
Referral Bonus: Get a $20 welcome bonus when you sign up for KOHO (use our promo code CASHBACK after clicking on the link). The bonus is added to your balance after your first purchase with the KOHO card.
CDIC Insurance: Your direct deposits are held at a CDIC member institution and are protected up to $100,000. Get more details in this KOHO App Review.
KOHO Prepaid Mastercard
Rewards: Earn 1% cash back on groceries and transportation, up to 5% unlimited cash back at partner stores in Canada. Get 3% interest on your entire balance. Users also get access to a free budgeting app.
Welcome offer: $20 sign up bonus after first purchase (use CASHBACK promo code during sign-up)
Interest rate fee: N/A
Annual fee: $0 (no monthly fees)
2. Wise
If you send money internationally to friends and family, Wise (formerly TransferWise) is the way to go. It offers one of the cheapest ways to send money abroad at the best exchange rates (mid-market rate).
You can transfer money to recipients in 80 countries and hold up to 54 currencies in your Wise multi-currency account.
You can also send up to $800 CAD free when you send your first money transfer via Wise using this link.
Get more details in my Wise Canada review.
3. Wealthsimple Cash
Wealthsimple Cash is a free peer-to-peer payment app owned by Canada’s largest online wealth management company (Wealthsimple).
Its core features include:
Instant Transfers: Send cash and split bills between friends in seconds. You can connect to anyone in your contact list who has the Wealthsimple Cash app.
Zero Fees: There are no fees for sending and receiving money, and you don’t pay to deposit or withdraw funds.
Wealthsimple Cash Card: Already in beta, the cash card can be used to pay for purchases and works like a prepaid card.
Unique Usernames: Users get a unique Dollar $ign username that distinguishes them from others.
CDIC Insurance: Your deposits are protected by the Canada Deposit Insurance Corporation up to specified limits ($100,000).
Get more details in the Wealthsimple cash review.
4. Interac e-Transfers
Interac e-Transfer transactions in 2020 exceeded $763 million.
This electronic payment system was established by eight Canadian banks in 1996.
Most financial institutions are now linked with the Interac service, and users can send money electronically (instantly) to anyone with an email address and a bank account in Canada.
Asking someone to Venmo you is like asking them to send you an e-Transfer.
5. PayPal
PayPal is perhaps the most popular way to send money to friends and others after Interac. It is available in several countries, and money transfers to friends/family within Canada are free.
If you use PayPal to send money internationally, expect to pay a transfer fee plus a margin on the exchange rate.
Venmo Overview
Venmo was founded in 2009 by Andrew Kortina and Iqram Magdon-Ismail, and was acquired by PayPal via its Braintree acquisition in 2013.
The Venmo app is available on iOS and Android devices, and you can also send money on the platform by using its website interface.
In addition to splitting bills between friends, Venmo can also be used to make purchases online and in-store.
And with the introduction of the Venmo Credit Card and Venmo Debit Card, you can literally carry Venmo in your wallet and earn cashback when you spend.
As of this writing, over 70 million people use the app. As per its website, users must meet three main requirements:
- You must be physically located in the United States.
- You must have a U.S. cell phone that can send/receive text messages from shortcodes.
- You must be at least 18 years old.
Not all Venmo services are free though, and when you send money to people using your Venmo credit card, a 3% fee applies.
Alternatives to Venmo in the U.S. include Cash App and Zelle.
Venmo is not available in Canada.
Venmo vs. Wealthsimple Cash vs. KOHO
| Venmo | Wealthsimple Cash | KOHO | |
| P2P cash transfers | Yes | Yes | Yes |
| Monthly fee | $0 (3% fee when you transfer from credit card) | $0 | $0 (option for Premium) |
| Account minimum | $0 | $0 | $0 |
| Cash back | Up to 3% | 1% | Up to 5% cash back at partners; (0.25% – 2.00% otherwise) |
| Earn interest | N/A | N/A | Yes, on your entire balance |
| Credit building | Venmo Credit Card | N/A | Yes, Credit Building is available at up to $10/month |
| Mobile app | iOS and Android | iOS and Android | iOS and Android |
| Security | – | CDIC Insurance | CDIC insurance |
| Promotion | – | – | $20 cash bonus |
| Apply | – | – | Get KOHO |
Venmo Canada FAQs
No, both Zelle and Venmo are not available in Canada. They only operate in the U.S. and you can’t use Venmo to send transfers within Canada.
No. for Canada to U.S. payments and transfers, you can use Wise or PayPal.
The Cash App by Square is not available in Canada. However, you can use Wealthsimple Cash or KOHO.
No. Since you can’t open a Venmo account in Canada, this app can’t be used for money transfers from Canada to the United States.
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