Venmo has buyer protection and protects the buyer. They can investigate claims, determine their eligibility for the protection program, and fully refund the buyer or seller if the transaction qualifies for the buyer protection program. Venmo will reimburse you for the full amount and shipping costs.

Wondering “Does Venmo have buyer protection?” In this article, we’ll tell you all about Venmo’s policies regarding purchases for a safe user experience.

Venmo is a peer-to-peer e-wallet, but how suitable is it for purchasing goods? Can you safely buy or sell products on Venmo?

This all leads us to inquire about Venmo’s buyer protection policy (if it has any).

Read: Is Venmo Safe for Buyers? Yes and No, Here’s Why

Does Venmo Have Buyer Protection

Does Venmo Offer Purchase Protection?

Venmo has a purchase protection program, and there are particular types of transactions that are eligible for it. These are purchases with an authorized merchant, Venmo debit card purchases, or purchases via Venmo’s Pay and Request feature.

Still, there’s more ground to cover. For instance, what marks an authorized merchant? What are Venmo’s Pay and Request features? What happens if your transaction falls under the protection program? And what happens if it doesn’t?

These are all questions that we’ll answer below.

What Is the Venmo Purchase Protection Program?

Venmo Purchase Protection Program protects the buyer or seller of a qualifying payment against scammers. If the buyer is scammed, Venmo refunds them for the items and any shipping costs. Alternatively, if the seller was wronged, the protection program entitles them to the full purchase amount.

Of course, if Venmo deems your transaction not eligible for the program, that means you’ll be responsible for the losses. But if you believe there’s an error or come across new information that could tip the scales, you can file an appeal of the decision with Venmo.

As you see, the key here is eligibility. Venmo investigates users’ claims to determine their purchases’ eligibility for a refund, and the number of viable transactions isn’t limited as long as the terms apply to them.

Read: 9 Reasons Your Venmo Card is Not Working at ATM & How to Fix It?

Is Your Payment a Qualifying Payment?

A qualifying payment is limited to Venmo Debit Card purchases, purchasing products or services from authorized merchants, and payments via the Pay and Request feature. Since Venmo Debit Card purchases are self-explanatory, we’ll move on to the two other types.

Purchases From Authorized Merchants

It’s safe to pay authorized online merchants for services or products with Venmo. But what is an authorized merchant? They’re merchants with a business profile that choose Venmo as a payment method for their goods, and Venmo authorizes them to do so.

That means they enable Venmo payments for purchases through their website, the phone app, or QR codes if it’s an in-person dealing.

The Pay and Request Feature

You can use the Pay and Request feature safely by sending it to a business profile or ensuring that the purchase is identified as for goods and services. This way, it’s eligible for Venmo’s buyer protection program.

Tagging the payment for goods and services with personal accounts is a good option for users who don’t exactly run a business and don’t want their account to be a business account but want to sell a product or service occasionally. Also, Venmo prohibits merchants from using this feature via the standard P2P system.

And we should mention that sellers must be able to offer adequate documentation of the transaction to avoid Venmo reversing the payment in case of a claim.

Tip: Note that payments to business profiles via the Pay and Request feature aren’t by default payments to an authorized merchant.

After investigating this type of purchase, Venmo will refund you fully if yours is a qualifying payment.

How to Conduct Venmo Transactions Safely

Venmo was designed to exchange payments among family and friends, and using it for purchases with strangers can be risky. But the app has added new features to make purchases safer in July of 2021, so make sure you have the latest version of Venmo to access them. Here’s how to make your way through a purchase safely.


If you’re the seller, you already know you should become an authorized merchant. After asking the buyer to send the agreed-upon price, you should transfer it from your Venmo account to your bank account. Note that the sender can reverse the payment up to that point. So, don’t ship the product before transferring the funds.

If any complications occur, you may contact Venmo so that they can investigate the transaction. You’ll pay 1.9% and $0.10 of the transaction as a fee, which Venmo automatically deducts from the amount sent to your account.


As a buyer, you should only work with someone you know or an authorized merchant. Then, you should tag the payment to the personal account as a purchase (for goods or services) so that the protection program can cover it. You’ll find a button on the payment note screen that allows you to identify the transaction for goods or services.

This two-sided protection will cost the seller a fee of 1.9% of the payment and $0.10. Afterward, initiate the withdrawal via your credit card or bank account. But remember that the funds will only be taken from your balance when the seller transfers them to their account.

If the transaction is problematic, you can contact Venmo’s support team requesting a refund. That can be not receiving the item you’ve purchased or receiving something different from that described. You’d have to file what Venmo classifies as an “Item Not Received” claim or a “Significantly Not as Described” claim.

In the latter case, Venmo might require you to return the purchased item to the seller or someone else as a step in the claim resolution process.

Final Thoughts

Ultimately, Venmo is designed for sending and receiving payments between friends, but it has been expanding and listening to users’ demands. Accordingly, it has added a purchase protection program, which protects both the buyer and the seller.

Venmo can investigate claims, determine their eligibility for the protection program, and fully refund the buyer or seller.

However, the transaction would have to qualify for the buyer protection program, which means it should be Venmo debit card purchases, purchases from authorized merchants, or purchases using the Pay and Request feature.

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