Zelle shatters records with unrivaled growth

Zelle, the person-to-person payment network operated by Early Warning Services LLC, was the payment network of choice for 151 million consumers and small businesses last year. Combined, those customers sent over $1 trillion across the network – the most ever sent via a P2P payments service in a single year, according to EWS.

The user base represented an increase of 16 million, and the transaction total grew 25 percent, Zelle said in a press release. The fourth quarter was the "best in the history of Zelle" in terms of total dollars sent, driven in part by rising user growth and holiday gifting.

"Zelle is not just a popular way to send money, it's a vital tool that's transforming how money moves across America," said Denise Leonhard, general manager at Zelle. "We remain intently focused on expanding access to Zelle because it unlocks opportunity for individuals, small businesses, community banks and credit unions.

EWS is owned by seven of the largest banks in the country: Bank of America, Capital One, JPMorgan Chase, PNC Bank, Truist, U.S. Bank and Wells Fargo. However, any bank or credit union can link into the network, and many do through third party processing partners.

In a press release issued Feb. 12, 2025, EWS said more than 2,200 financial institutions link to the Zelle network, and 95 percent of those are community banks and credit unions. In fact, Zelle said its surveys indicate the network has "positively affected" consumer attitudes about their FIs, and one in three Zelle users said they would open a new account at an FI that offered Zelle if their current FI dropped off the network.

Helping small businesses

EWS, said small business owners across the United States rely on Zelle to provide customers with flexible ways to pay, to settle with a local vendor, or reward employees with on-the-spot bonuses that go directly into their bank accounts.

During the fourth quarter of 2024, almost one in four Zelle senders directed a payment to a small business, totaling 23 million such payments, EWS said. These transactions amounted to $283 billion, a 32 percent increase over the fourth quarter of 2023.

"From farmers markets to the local handyman, Zelle empower small business owners with a secure and reliable way to get paid and access their funds immediately – so they can reinvest in new supplies, pay their employees, or put food on the table for their families," EWS wrote.

Not surprisingly, the EWS press release made no mention of Zelle users' vulnerability to fraud and scams, although it did mention that the network "empowered over 73 million consumers with information about the risks of fraud and scams."

Zelle and some owner banks have made headlines over the past few years regarding fraud perpetrated over the network and the reactions of banks. In December, the Consumer Financial Protection Bureau sued Zelle and three of its owner banks – Bank of America, JPMorgan Chase and Wells Fargo Bank – for failing to protect consumers from widespread fraud. According to the lawsuit consumers racked up over $870 million in fraud losses over a seven-year period.

Hundreds of thousands who filed complaints with their banks were largely denied assistance. The banks not only failed to investigate but bucked the law (the federal EFT Act) which requires reimbursement for fraud and errors on electronic networks.

Chances are slim the lawsuit will progress however, as the Trump Administration is attempting to shut down the consumer watchdog agency, and employees have been told to stand down from all investigations and legal actions.

Whether you want to upgrade your POS offerings, find a payment gateway partner, bone up on fintech regs or PCI requirements, find an upcoming trade show, read about faster payments, or discover the latest innovations in merchant acquiring, The Green Sheet is the resource for you. Since 1983, we've helped empower and connect payments professionals, starting with the merchant level salespeople who bring tailored payment acceptance and digital commerce tools, along with a host of other business services to merchants across the globe. The Green Sheet Inc. is also a proud affiliate of Bankcard Life, a premier community that provides industry-leading training and resources for payment professionals.

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