Cash App has four main functionalities: sending money, receiving money, mobile banking, and investing. Here’s how each one works...

💲Sending money


All you need is the recipient’s email address, phone number, or $Cashtag to send cash. The $Cashtag is the name that each Cash App user sets up within their app profile.

After entering the person’s information, the app will ask where you want to withdraw money from to make the payment. The money can come from your Cash App balance, linked bank account, or credit card. Cash App accepts Visa, MasterCard, American Express, and Discover.

Sending payments from your Cash App balance or bank account is free. If you use a credit card to send a payment, there’s a 3% transaction fee.

You can send up to $1,000 within a 30-day period, but that limit will increase if you verify your name, date of birth, and last four digits of your Social Security number.

💲Receiving money


When you receive money, it goes into your Cash App account first, and then you can withdraw to a connected bank account or debit card.

A standard deposit shows up in your bank account within one to three business days, whereas an instant deposit to your debit card happens instantly but has a 1.5% rush fee.

If you don't want to transfer money out to a bank account, you can also request a Cash Card. The Cash Card is a Visa debit card that lets you use Cash App funds to purchase items online or in retail stores. There’s a $2 fee if you use the Cash Card at an ATM, plus the ATM servicer may charge a fee as well. 

On the flip side, having a Cash Card gets you access to Cash Boosts. These are discounts you can add right in your phone to save money on everyday purchases like at restaurants and stores.

💲Banking


Besides receiving payments from friends, you can deposit other funds — such as your paycheck direct deposit and tax refund check — using Cash App banking.

You must order a Cash App card to unlock the banking feature. According to the website, setting up direct deposits into your Cash App account could help you get your paycheck up to two days faster than direct deposit to another bank.

Cash App doesn’t come with Federal Deposit Insurance Corp. coverage though. FDIC insurance guarantees up to $250,000 of your cash if a financial institution goes belly up. A Cash App representative says that the team “is actively working to address this coverage.” So although there are banking features, it’s not an account where your money has federal backing.