July 11, 2010
Use Phone, PC to Pay Others
Burning through checks or making multiple ATM withdrawals can get costly over time.
But you might be able to save money on personal transactions -- from paying the rent to splitting a dinner bill -- with applications that let you make person-to-person payments using a computer or cellphone.
About 170 banks offer Popmoney, a service that lets you transfer money from your savings or checking account online to another person's account at any participating bank. You just need the payment amount and the person's email address and phone number. If your bank doesn't offer the service, you can't send money, but you can receive it by entering your account information at Popmoney.com.
Fees vary from zero to $3 per transaction, depending on the financial institution.
PayPal Mobile has applications for the iPhone, BlackBerry and Android phones that allow PayPal account-holders to send or request money from another individual. You can also send or request money by texting PAYPAL (729725) and entering the amount and the recipient's phone number or email. Transactions must be approved by the other party on PayPal's site.
The phone applications are free and the service is free for transfers pulled from a PayPal balance or linked to a checking or savings account. Transactions linked to a debit card or credit card are charged 2.9% of the payment amount plus 30 cents.