The Zelle peer-to-peer payment network maintained its momentum in 2021, with total transaction volume rising 60% to $490 billion sent by consumers and businesses, according to the network's operator, Early Warning Services.
Total transactions sent over the bank-backed Zelle network last year rose 50% to 1.5 billion, the Scottsdale, Arizona-based payments network said Wednesday.
During the fourth quarter, transaction volume rose 52% to $137 billion, while total transactions rose 41% to 506 million, Early Warning said.
Small businesses including property managers, contractors and beauty salons were strong drivers of Zelle’s growth last year, Early Warning said. Payments received by small businesses increased 162%, it said.
Early Warning said it added 3,000 financial institutions to the Zelle network in 2021, bringing the total to 10,000.
Smaller banks and credit unions continue to join the Zelle network, though some community banks have opted to explore alternative P2P services, including
Bank of America, Capital One, JPMorgan Chase, U.S. Bancorp and Wells Fargo collectively own Early Warning Services, which launched Zelle in 2017.
