Vendor Management Best Practices: How to Optimize Supplier Relationships & Cash Flow
Are you looking to learn effective vendor management? In this article, we'll detail the best practices for both paying and work with vendors.
Zelle is often associated with sending money to friends and family. Maybe you want to split the bill at dinner or pay your half of the internet costs that month. It’s become so popular that Zelle has become a verb.What you might not know is that Zelle can also be used by small businesses, so long as their financial institution offers it for your business account.
In this article, we’ll be going over how to set up recurring payments on Zelle, how to manage them, and other alternatives. We’ll also go over the costs of withdrawal so that any fees won’t come as a surprise. Throughout the article, you will also learn about Wise Business which offers a great way for small businesses to make global payments without all the fees.
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A recurring Zelle payment is a way for businesses to schedule money transfers on a specific schedule. Rather than having a transfer only occur once, like with a one-time payment, a recurring payment happens, for example, on the same day every month or every week. These transactions repeat automatically, so you don’t have to waste time and effort initiating them manually.1
Zelle automatic payments are applicable to a variety of business use cases, whether incoming or outgoing. For example:
The recurring payment model is ever-popular nowadays in many sectors, breaking free of the traditional transaction model that is commitment-free but administratively taxing. Here’s why:2
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Set up scheduled global transfers
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As mentioned, the Zelle platform doesn’t have a native feature for recurring payments—you’ll have to set them up through your financial institution.
Zelle is compatible with a long list of banks and credit unions, over 2,000 banking apps, to be exact.6 You’ll want to search for your bank on the Zelle site to make sure you can use its services.
Click on the name of your banking institution, and you’ll be taken directly to the website, where you can log in as you would to access online banking. On your respective platform, you can search for Zelle recurring payment options on the dashboard and enroll in the service.
Now, it’s time to add a recipient, whether a client or customer or a contractor or service provider. So long as the recipient is also signed up with Zelle, you can simply provide their phone number or email address.7
Depending on your bank, there might be different Zelle payment schedules. There could be options including weekly, bi-weekly, semi-monthly, monthly, every other month, quarterly, semi-annually, or annually, where you can select a specific date.8
The most important part is to check and double-check that you’ve input the correct information and set up the correct payment schedule. This will prevent any mishaps, like sending payments to the wrong person or taking money out of an account at an incorrect date.
Looking to make or receive payments internationally? Learn more below.
If you ever need to edit or cancel a recurring payment, banking apps make it seamless to do this as well.
Perhaps you’ve changed the terms of your contract, or a customer prefers a different payment schedule. Start by navigating to the recurring payments section on your banking platform or app, then select the payment you want to edit. From there, you can update the details and save your changes.
Canceling works similarly, but is a lot more straightforward. From the recurring payments section, select the payment you want to cancel and confirm the cancellation. This should stop all future payments immediately.
While Zelle is convenient and presents an easy solution for receiving and sending recurring payments, it does come with considerations, just like any other financial service.
Looking to make a fast and convenient transfer?
Set up scheduled global transfers
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If you find that Zelle doesn’t align with your business needs, there are other alternatives out there that could do just the trick.
Zelle is a simplistic service that focuses on the ease of sending and receiving money. With its stripped-down nature, businesses may enjoy the no-frills convenience, while others might be left wanting more. Zelle recurring payments can eliminate the hassle of manual transfers, letting businesses streamline their cash flow and make transfers so long as you have a recipient phone number or email address. However, its limitations might mean looking for a more robust payment solution like Wise.
Although Zelle doesn’t offer a recurring payment option natively, many banks and credit unions offer Zelle as a product in their banking ecosystem for individuals and businesses to send and receive payments. Whether recurring payments are part of those services depends on the bank itself.
If your bank offers the option to make automatic payments, you should be able to go into the payments section and select a recurring payment option. From there, you can enter your recipient or customer details, the cost of the transaction, and when you’d like to schedule the automatic payment.
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*Please see terms of use and product availability for your region or visit Wise fees and pricing for the most up to date pricing and fee information.
This publication is provided for general information purposes and does not constitute legal, tax or other professional advice from Wise Payments Limited or its subsidiaries and its affiliates, and it is not intended as a substitute for obtaining advice from a financial advisor or any other professional.
We make no representations, warranties or guarantees, whether expressed or implied, that the content in the publication is accurate, complete or up to date.
Are you looking to learn effective vendor management? In this article, we'll detail the best practices for both paying and work with vendors.
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