Amazon is removing PayPal's Venmo as a payment method for Amazon.com and its mobile app on January 10, an Amazon spokesperson told Kiplinger in an email.
“Customers can still use nearly a dozen other payment options, such as debit cards, credit cards, checking accounts or installments to pay for their orders,” the spokesperson said. She did not provide details about why the Venmo decision was made.
A PayPal spokesperson told Kiplinger in an email that the company has a strong relationship with Amazon and that it looks forward to continuing to build on that.
From just $107.88 $24.99 for Kiplinger Personal Finance
Become a smarter, better informed investor. Subscribe from just $107.88 $24.99, plus get up to 4 Special Issues
Sign up for Kiplinger’s Free Newsletters
Profit and prosper with the best of expert advice on investing, taxes, retirement, personal finance and more - straight to your e-mail.
Profit and prosper with the best of expert advice - straight to your e-mail.
"Customers can continue to add their Venmo debit card or credit card to their Amazon wallet to pay on Amazon," the PayPal spokesperson said. The debit card, through Mastercard, is connected to a user's Venmo balance, according to the Venmo website. The credit card is a Visa credit card issued by Synchrony Bank.
Venmo became available as a payment option on Amazon in October 2022.
Sector faces scrutiny
The news comes amid the growing popularity of digital wallets and payment apps, which face federal scrutiny. Last month, the Consumer Financial Protection Bureau (CFPB) proposed holding these payment services to the same standard of consumer protection as their more established banking counterparts.
"Payment systems are critical infrastructure for our economy. These activities used to be conducted almost exclusively by supervised banks,” CFPB Director Rohit Chopra said in a statement. The agency's proposed rule would "crack down on one avenue for regulatory arbitrage by ensuring large technology firms and other nonbank payments companies are subjected to appropriate oversight," he said.
In June, a CFPB report found that billions of dollars stored on payment apps such as PayPal, Venmo and Cash App may lack federal insurance.
Users of payment apps can take steps to better protect themselves from hidden risks, the CFPB said. These include reading the user agreement, considering pass-through insurance that may be offered by the apps, and regularly moving your money out of the apps and into an FDIC-insured account.
Related Content
-
Original Medicare vs Medicare Advantage Quiz: Which is Right for You?Quiz Take this quick quiz to discover your "Medicare Personality Type" and learn whether you are a Traditionalist, or a Bundler.
-
Ask the Editor: Capital Gains and Tax PlanningAsk the Editor In this week's Ask the Editor Q&A, Joy Taylor answers questions on capital gains tax rates and end-of-year tax planning
-
Time Is Running Out to Make the Best Tax Moves for 2025Don't wait until January — investors, including those with a high net worth, can snag big tax savings for 2025 (and 2026) with these strategies.
-
Texas Sales Tax-Free Weekend 2025Tax Holiday Here's what you needed to know about the Texas sales tax holiday.
-
Here's Why Walmart Deals is Better Than Amazon Prime DayWith sales for Walmart Deals and Amazon Prime Day running comparable on price, one factor separates them.
-
How Amazon Will Deliver Your Prime Day 2025 Orders — From Vans to DronesAmazon Prime Day returns July 8–11 with 96 hours of deals, and a wide range of high-tech and flexible delivery options to match the shopping surge.
-
Hallmark Price Increase Due to Tariffs: What You Need to KnowTariffs Even some companies with U.S.-based manufacturing are impacted by the Trump administration’s trade dispute.
-
12 Books That Taught Us About FinanceFrom classics to recent bestsellers, here are some of the best money and personal finance books you can find on Amazon, according to Kiplinger's editors and writers.
-
Get Apple AirPods Pro 2 for the Lowest Price Ever on Amazon Prime DayScore the AirPods Pro 2 for their lowest-ever price this Amazon Prime Day. Plus, shop for other Apple products on sale.
-
Five Amazon Prime Day Deals We LoveHere's a look at five Amazon Prime Day deals we love this October Prime Day.
-
Starlink's Internet Beamed From Space Is Taking OffThe Kiplinger Letter Satellite broadband provider Starlink is taking over the space market. Amazon’s mega-constellation will soon join the fray, adding to the unprecedented disruption.
