Zelle vs GunTab
What is Zelle?
Zelle is an alternative to GunTab. It is a payment platform that transfers money from one party to another through your banking app or the stand-alone Zelle app. Zelle describes itself as "an easy way to send and receive money with friends and family."
|Allows gun-related transactions||X||✓|
|Credit card payments||X||✓|
|Bank account payments||✓||✓|
|Payment limit||Depends on your bank||No limit|
How good is Zelle?
Zelle is fairly popular online. But it prohibits gun-related transactions and makes users vulnerable to various scams.
Guns and ammo prohibited
Like all the payment platforms, Zelle strictly prohibits gun-related transactions. It requires: "you will not use the Service to request, send or receive money related to ... firearms, ammunition or other weapons". If Zelle catches you violating its policy, it can permanently ban you and may even seize your money.
Buyers extremely vulnerableZelle does not protect buyers. In fact, it isn't supposed to be used by "buyers" at all, only friends and family. The Zelle user agreement puts this warning in all-caps:
YOU SHOULD NOT USE THE ZELLE® SERVICE TO SEND MONEY TO PERSONS WITH WHOM YOU ARE NOT FAMILIAR OR YOU DO NOT TRUST. ZELLE® DOES NOT OFFER A PROTECTION PROGRAM FOR AUTHORIZED PAYMENTS MADE WITH THE SERVICE (FOR EXAMPLE, IF YOU DO NOT RECEIVE THE GOODS OR SERVICES THAT YOU PAID FOR, OR THE GOODS OR SERVICES THAT YOU RECEIVED ARE DAMAGED OR ARE OTHERWISE NOT WHAT YOU EXPECTED).
If you do get scammed, it's not even clear if you could file a chargeback. "Since you authorized the payment, you may not be able to file for a chargeback with your bank. It depends on the institution and its policies."
Sellers may be vulnerable
Sellers may be vulnerable to chargebacks. Zelle does not mention "chargebacks" or "disputes" in its user service agreement, but it is reported that buyers can issue chargebacks with the cooperation of their bank.
Which is better?
In short, using Zelle for guns or ammo is a big mistake. You have no protection from scams, and you even put your money at risk of being seized by Zelle. GunTab is totally safe, and even helps you complete your transactions. GunTab is clearly the better choice.