Is Cash App safe? 2025 full guide

Cash App is a digital wallet that allows you to send money, bank (through Cash App's partners), and even buy stocks or bitcoin.¹

Since it's an online financial services platform, not a bank, you may wonder, "How safe is Cash App?".

Generally speaking, Cash App is safe. However, there are important nuances that you should be aware of about how Cash App works and what the provider does to keep your money safe.

Here's everything you need to know.

💡 You can't send money abroad with Cash App, so you'll need to use a different provider like Wise.² Wise allows you to send fast and secure money transfers to 140+ countries with low fees and no exchange rate markups.

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Table of contents
Is Cash App safe to use? What are Cash App's safety features?³ Is it safe to link my bank account to Cash App? Pros and cons of Cash App What’s the best way to send money internationally? Tips and tricks for avoiding scams Bottom line: Is Cash App safe?

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Is Cash App safe to use?

Yes, Cash App is a legitimate financial services provider with several protection measures in place. The platform uses security features like 24/7 fraud monitoring, data encryption, and SIPC protection of up to 500,000 USD for investment accounts.³

So, generally speaking, Cash App is as safe to use as other reputable financial services platforms.

However, Cash App works differently from banks in important ways. It's a peer-to-peer platform, so transactions are usually permanent. You typically can't dispute charges or recover money sent to the wrong person like you may be able to with a bank.

Moreover, your Cash App balance may not have FDIC insurance unless you satisfy certain conditions.⁴ FDIC insurance is a federal government protection that guarantees your money if a bank fails up to a certain limit, typically 250,000 USD.

FDIC insurance is standard at banks, but with Cash App, you only get it if you have a debit card or a Sponsored Account, or if you sponsor one or more Sponsored Accounts.⁴

These differences don't make Cash App unsafe, but they do mean that you need to handle transactions carefully and understand how your money is protected.

What are Cash App's safety features?³

So, is Cash App safe to use? Cash App has multiple security layers to protect your money and personal information. Here's how it works.

Fraud protection

Before sending money to new contacts, Cash App will ask you for extra confirmation steps. The app also alerts you immediately when someone changes your security settings or PIN so you can catch unauthorized changes quickly.

You will also experience regular security checks. Cash App will periodically ask you to confirm your identity to help prevent unauthorized access to your account.

When you log in from a new device or try to send an unusual transaction, Cash App will also verify your identity through questions only you can answer.

Privacy protection

The app encrypts all your payment information and personal data so that it's secure even when you're using public WiFi. Cash App also doesn't sell your personal information to third parties.

SIPC insurance for stocks

If you use Cash App for investing, your securities are protected by SIPC up to 500,000 USD. However, when you sell stocks or ETFs, the proceeds automatically move to your Cash balance, which doesn't have SIPC protection.

Is it safe to link my bank account to Cash App?

Generally, yes, linking your bank account to Cash App is safe. The app needs this connection to let you move money in and out of your Cash App balance.

Sharing these details might seem risky, but Cash App is a legitimate financial service that has securely processed many similar transactions.

💡 If you're concerned, you can create a separate bank account specifically for Cash App transactions. This way, you can limit your exposure by only keeping small amounts in the linked account.

Pros and cons of Cash App

Cash App comes with useful features for domestic money transfers and investing, but there are important pros and cons to consider.

Pros

• Easy peer-to-peer payments with other Cash App users
• Investment options for stocks and bitcoin
• No monthly fees⁵
• Free cash withdrawals at in-network ATMs⁶
• SIPC protection up to 500,000 USD for investments³

Cons

• Limited FDIC protection - it's only available with the Cash App Card or a Sponsored Account, or if you sponsor one or more Sponsored Accounts⁴
• No international transfers - only US residents can create Cash App accounts and you have to create a Cash App account to receive payment²

The biggest limitation is Cash App's US-only restriction. Domestic transactions are easy, but you can't transfer funds to people outside of the country unless they're US residents with a phone number or email address they can use to create a Cash App account.²

So, if you need to send money abroad, you'll need an alternative.

What’s the best way to send money internationally?

Banks are certainly one option for sending money internationally, as are services like PayPal. But the problem with banks is they can often be slow, expensive and inconvenient. Luckily, there’s a better alternative out there.

You can send money worldwide with Wise for low fees and the mid-market exchange rate. It’s easy and quick to set up a payment online, and you’re guaranteed secure transfers even when sending large sums.

Wise is a money service business (MSB) regulated by 12 international financial authorities, and uses sophisticated security features to keep you and your money safe.

Open a Wise account, and you can send, spend and convert between 40+ currencies whenever you need to. You can even receive money from all over the world using your own local account details.

As if all that wasn’t enough, there’s a Wise Multi-Currency Card too. For a one-time fee of just $9, you can spend in over 150 countries in the local currency. Your USD is automatically converted at the mid-market rate, for just a small conversion fee.*

Open a Wise account today

💡 Need to make a business payment? With the Wise Business account, you can send up to 1,000,000 USD per transfer from licensed states.

Some key features of Wise Business include:

Better visibility and organization of business finances. This is helpful for account reconciliations and audits Major local account details for a simple one-off fee to receive international payments with ease No monthly account fees or minimum balance requirements Receive payments from e-commerce platforms such as Amazon or via Stripe Create invoices using the free Wise invoice generator or invoice templates Accounting integrations, including a QuickBooks Bill Pay connection Access to BatchTransfer: Signing up to Wise Business allows access to BatchTransfer which you can use to pay multiple invoices in one go.

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Discover the difference between
Wise Business vs Personal

Tips and tricks for avoiding scams

Cash App transactions are usually permanent. This means that once you send money, you typically can't get it back, even if you've been scammed.

Preventing scams from happening is mostly your responsibility, so make sure to follow these tips:

• Never send money to strangers: Be especially wary of people promising deals that seem too good to be true. Legitimate businesses rarely request payments through Cash App

• Verify payment requests: If someone claims to be a friend needing money, contact them through a different method to confirm. Scammers can impersonate people you know

• Protect your account details: Never share your sign-in code, PIN, or Cash App tag publicly. Cash App support will never ask for this information or request payments from you

• Be cautious with investment advice: Don't trust investment tips from random Cash App users or promises from strangers

• Watch out for fake support: Only contact Cash App support through their official app or website. Scammers can send you texts or emails with fraudulent links

Overall, just do your best to think critically when using the Cash App and double-check everything before sending money to someone or clicking on a link.

Bottom line: Is Cash App safe?

So, is Cash App safe to receive money from strangers or send funds? The answer is that it generally is.

That said, it's important to know that your money only gets FDIC protection if you have a Cash App Card or meet other eligibility requirements.⁴

Moreover, while the Cash App has strong cybersecurity measures in place, it's mostly your responsibility to protect yourself from scams. So, just like with any other platform or service, be careful about who you're sending money to.

If you need to send money abroad, use Wise. You can securely send high-speed, low-fee transactions to 140+ countries with no exchange rate markups.

Sources

1. Cash App
2. Cash App - Send money
3. Cash App - Security and safety
4. Cash App - Is my Cash App balance eligible for FDIC pass-through insurance?
5. Cash App - Mobile banking
6. Cash App - Free ATM withdrawals

Sources checked 02/06/2025