If you use Zelle and came across the issue “Unable to Process Payment“, you are on the right post to get the reasons and potential solutions for this problem. You are not alone and many people have got this message when the Zelle transfer does not go through.
Zelle transfers are usually convenient and hassle-free, but you may run into issues like this from time to time. It can be a frustrating experience when you get the error even when the money is deducted from your account and transfer does not go through.
There can be multiple reasons for the Zelle payment failure. Broadly, it could be an issue with the either of the banks involved in the transaction i.e. sending bank or the receiving bank of the recipient.
Let’s get into the details for why Zelle shows this message and dig into the main reasons and potential solutions.
What causes Zelle Unable to Process Payment issue
Zelle may be unable to process payments due to issues with the sending or receiving bank, incorrect details of recipient, transfer exceeding bank limits, mobile app cache or connectivity issues. It could also be a rare issue of Zelle network being down causing payment failures.
Let’s explore the details.
Reason 1: Issues with Sending or Receiving Bank
Frequently, the issue is with the banks involved in the transaction either the sending bank or receiving bank. It may be that the bank server is down, transfer is put on hold due to security issues, or problem with the Zelle enrollment or registration at the sender or recipient’s bank.
At such times, you can check with the bank -google on “bank name + Zelle not working” to ascertain if it is a wider issue with the bank.
You can get in touch with the bank customer support team in such cases.
Reason 2: Incorrect details of recipient or Recipient not enrolled
Many times the issue of payment failing could be with respect to the details entered for the recipient i.e. US mobile number or email address of the recipient either not being correct or they have not enrolled with Zelle.
You can double check with the recipient to confirm, if they have been receiving Zelle transfers from other persons on these details.
Alternatively, you can also have the recipient send you a request for payment, rather than attempting to send money by entering the details manually.
Reason 3: Transfer Exceeding Zelle Limits
A common reason is where the transfer amount exceeds the Zelle limits of the bank. This problem should occur at the sender’s end, as there are usually no caps for receiving on Zelle.
Banks usually set their individual limits-daily or monthly limit for sending money via Zelle. Few examples for banks are shared below:
- Ally- $500/day (Monthly limit- $10,000/30 days)
- Bank of America – $2,500/day (Monthly limit-$20,000)
- Capital One – $2,000/day (Monthly limit-$10,000)
- Charles Schwab – $1,000/day (Monthly limit-$5,000)
- Chase – $2,000/day (Monthly limit-$16,000)
- Discover-$600 per day
- PNC Bank -$1,000/day (Monthly limit-$5,000)
- TD Bank – $1,000/day
- Truist – $2,000/day
- U.S. Bank -$2,500/day
- Wells Fargo – $2,500/day
The limits shown above are for personal account and may be changed by the banks. Banks also have a separate limits for business accounts. So do check the limits for your bank at the time of initiating transfer.
If you are using the Zelle App to initiate the transfer, meaning your bank or credit union does not offer Zelle within their own mobile banking app and is not on Zelle network – then the limit is only $500 per week.
Reason 4: Receiving Bank/Credit Union not on Zelle Network (for transfers via Zelle App)
If your bank or credit union is not on Zelle, you can still use Zelle by downloading the Zelle App and then adding the debit card of bank (or credit union) for registration with Zelle.
But for such transfers to work, at least one of the banks on the sending or receiving end needs to have native Zelle i.e. meaning their bank or credit union needs to be on Zelle network offering Zelle on their banking app or website.
So if both the sender and receiver’s bank are not on Zelle network and they only have debit card added in Zelle App, the transfer may not go through.
Reason 5: Issues with your mobile app cache
One of the common reasons for Zelle not working can also be cache issues with your mobile banking app.
If you are not using the latest version of your mobile banking app, try updating it and see this resolves the issue.
You can also try clearing your mobile app cache data which solves the problem with few users.
Reason 6: Network Connectivity Issues
Another reason that can cause the Zelle payment failure is when you have a weak internet signal.
Usually happens when you are on the go and have a weak mobile data signal or even in case of poor WiFi connectivity.
Reason 7: Zelle Network down
There can also be rare instances where the Zelle network is down or where there is Zelle service outage.
Reason 8: Zelle Payment blocked due to security issues
Given the increasing rate of frauds with Zelle, the Zelle payment are subject to screening and can be blocked in some cases, due to security concerns.
This is common when you are attempting to send money to someone for the first time. It can be based on the parties involved in the transaction, the transfer amount involved etc.
In such cases, it is better to use alternate channels of payment like payment wallets i.e. Venmo, Cash App. You can also do a test check with a smaller amount.
What happens when Zelle payment not does not go through
In most cases where the Zelle payment does not go through, the money will be returned back to the sender (when deducted) in some time.
Do avoid attempting the transfer again immediately. Give it a few minutes in case of bank server issue.
If things do not work even after that, you can try alternate peer to peer payment apps like Apple Cash, Cash App, Venmo etc., that support instant transfers. Both you and recipient need to be on the payment app for this to work. You can connect or link your bank account to these apps and then make instant wallet to wallet transfer e.g. Venmo to Venmo which is instant.
The recipient can do a wallet to bank cash out at their end. But do note that an instant deposit or instant cash out from wallet to bank will cost the recipient a fees of up to 1.75%.
So from time to time, you may run into issues make an instant transfer with Zelle. As you can see, there can be a number of reasons why this issue happens. It is better to have a back up option like payment wallet Apple Pay, Cash App etc.