Zelle® for your business: How it works, Zelle® tags and key tips
Presented by Chase for Business.
Quick insights
- Zelle® lets small business owners send and receive payments directly through their business bank account with enrolled customers, vendors, suppliers or independent contractors using an email address or U.S. mobile number.
- Businesses can also set up Zelle® tags, so they can accept payments without sharing contact details. A Zelle® tag functions like a customized business username, which may be easier for customers to remember than a phone number or email address.
- Small business owners can enhance cash flow while benefiting from added customization and features by using Zelle® together with Zelle® tags for their business.
Zelle® can provide small businesses with a method to send and receive money without the need for checks, cash or third-party hardware. If you are a business owner who wants to speed up your receivables process, you may be curious about how Zelle® works for business payments.
This guide explains what Zelle® is, how to use Zelle® tags to identify your business on the platform and the potential benefits of incorporating Zelle® into your business banking activities.
What does Zelle® offer for businesses?
Zelle® is a digital payment that allows businesses to send and receive payments to vendors, suppliers or independent contractors through their bank’s online or mobile banking services using an email address or U.S. mobile number. Unlike traditional payment options, payments sent with Zelle® go directly between bank accounts.
How does Zelle® work for businesses?
If your bank or credit union offers Zelle® to its small business customers, you can enroll an eligible business checking account through your bank’s online or mobile platform and begin sending and receiving money using just an email address or U.S. mobile number.
During enrollment, you can also create a Zelle® tag—which is a unique identifier much like a username, which allows you to get paid with Zelle® without having to provide your enrolled contact information.
Once you have opened an eligible business bank account and enrolled with Zelle®, you can send payment requests to customers, vendors or suppliers who are also enrolled in Zelle®. Customers also can find your business and pay using the Zelle® tag, email or U.S. mobile number. Money typically appears directly in your account within minutes of being paid.
Tips for using Zelle® for your business
To use this service, both your business and the party you are sending payments to or receiving payments from must have a U.S.-based bank account and be enrolled in Zelle®. Chase business banking customers have access to this service, but not all banks offer Zelle®.
Keep in mind that your bank may set daily or monthly sending limits. You may want to confirm with your bank for the most accurate information about daily or monthly limits and Zelle® availability.
Some additional tips for using Zelle® for your business include:
- Keeping business and personal transactions separate
- Tracking relevant invoice numbers and customer names
- Reconciling in bookkeeping regularly
- Following safety guidelines, including verifying the recipient and beginning with a small test payment
- Understanding ways to avoid potential peer-to-peer payment scams, like imposter scams and phishing
How to set up Zelle® tags
Zelle® tags can provide a practical way for your business to accept payments without sharing contact details. A Zelle® tag functions like a customized username for your business, which may be easier for customers to remember than a phone number or email address.
To set up a Zelle® tag, you can pick a unique identifier between 6 and 40 characters using only letters, numbers or hyphens (special characters and spaces aren’t allowed). Zelle® tags are not case sensitive.
It can be helpful if your Zelle® tag clearly reflects your business name. This can help ensure customers know exactly who they are paying and may cut down on accidental payments to the wrong account.
Zelle® tag tips
A well-crafted Zelle® tag can help your business get noticed and make it easy for your customers to pay you. Some guidelines to consider include:
- Using your real business name or a close version
- Keeping the tag simple, easy to spell and memorable so customers can find you
- Using hyphens to separate words for clarity (for example, frost-hill-auto)
Note that accounts with generic tags may be restricted. To help avoid this and build trust with customers and vendors, keep the following tips in mind when making a Zelle® tag:
- Don’t use general industry terms only (such as landscaping or plumbing)
- Don’t use the name of another major business, university or brand you don’t own
- Don’t include “Zelle” in your tag (such as zelle-frost-hill-auto)
If these guidelines are not followed, your tag or Zelle® access may be restricted by the network.
What are the benefits of using Zelle® and Zelle® tags for your business?
Incorporating Zelle® into your payment options may provide some benefits for small business owners, including:
- Access to funds: Zelle® provides another way to send and receive funds in addition to traditional methods like ACH or wire transfers.
- Widespread adoption: With many people already familiar with using Zelle® for peer-to-peer payments, customers may find it a familiar and easy-to-use digital payment option.
- Integration with your bank account: The integration of Zelle® with your business bank account may help reduce time spent navigating multiple payment systems or apps.
- Privacy: Recipients will be able to see your business name and the account’s associated email or U.S. mobile number. Sensitive banking information is not shared.
- Custom notifications: Zelle® payment alerts can help keep you informed of all account activity, which may help you monitor your finances.
Frequently asked questions
What types of businesses can use Zelle®?
Small businesses with an eligible business checking account at a participating bank can use Zelle®, provided their bank supports this option.
Is Zelle® safe?
Zelle® does not include sensitive account or financial information in transaction details, which can make it a great option for business transactions. You should always confirm the recipient’s payment information before sending and familiarize yourself with common peer-to-peer payment scams.
How do customers pay my business using Zelle®?
Enrolled customers can pay your business by entering your Zelle® tag, business email or U.S. mobile number through their own banking app.
Is there a fee to use Zelle® for your business?
Check with your bank to confirm any possible fees or restrictions.
Can I change my Zelle® tag?
Yes, you can change your Zelle® tag after you initially create one. Specific instructions may vary depending on your bank, but you can often log into your bank account or mobile app and navigate to Zelle® settings to update it.
Can I use Zelle® to pay vendors or suppliers for my business?
Yes, Zelle® lets you send payments to vendors, suppliers or independent contractors who are also enrolled in Zelle®.
Are Zelle® payments reversible?
Payments sent with Zelle® can’t be reversed if the recipient is already enrolled, so always be sure to confirm the recipient’s name, payment amount and other details before sending.
