Zelle, the popular peer-to-peer payment service, faced significant outages on May 2, 2025, affecting users' ability to send money transfers across various banks. Reports of the service being down began to flood in early that morning, with users turning to DownDetector to voice their frustrations. By 1:56 p.m. ET, there were 772 reports of issues, and that number peaked at 988 reports later in the day.
According to a Zelle spokesperson, the outage was attributed to a problem with a third-party provider, specifically Fiserv, which offers payment processing services to several financial institutions. “We are aware that certain Zelle users at some financial institutions are not able to use Zelle at this time,” the spokesperson noted. “This situation involves an independent third-party that provides services to particular financial institutions. We are working diligently with our partners to resolve this matter as soon as we can. Zelle users may see transactions marked as ‘payment pending’ in the meantime.”
The trouble reportedly began around 6 a.m. ET, although some users claimed they experienced issues starting the night before. As the day progressed, users reported varying levels of service disruption, with many unable to send or receive payments. Affected banks included Truist and Navy Federal Credit Union, among others. One frustrated Truist customer expressed their concerns on DownDetector, stating, “I feel like my money is just floating and no one will help with anything or take any accountability!”
Matthew Card, a spokesperson for Bank of America, confirmed that some clients were experiencing delays with Zelle, attributing the issues to the vendor-related problem. He stated, “Earlier today some clients experienced a delay in sending and receiving certain payments. This was a vendor-related issue that affected multiple banks. The issue has been resolved.”
Fiserv acknowledged the disruption, explaining that they experienced an internal issue that temporarily impacted service. “The issue has since been resolved, and we are now working to process the backlog,” a Fiserv spokesperson told CNN. They also reassured users that the problem was not due to any malicious activity and that they are taking steps to prevent similar occurrences in the future.
As the day wore on, reports of outages began to decline. By 5:45 p.m. ET, the number of reported issues on DownDetector had dropped to under 500. However, sporadic spikes in reports continued throughout the afternoon, indicating that some users were still experiencing difficulties. By 9:39 p.m. ET, reports had further decreased to around 311.
Zelle, which is owned by Early Warning Services (EWS), connects approximately 2,200 banks and credit unions. The service allows users to send and receive money via their bank accounts, typically without incurring fees, making it a popular choice for quick transactions. In 2024 alone, Zelle processed about $1 trillion in payments, reflecting a 27% increase from the previous year.
Despite the challenges, users have alternatives for sending money. Other payment apps, such as Apple Pay, Cash App, and Venmo, can serve as temporary solutions while Zelle works to stabilize its service. With the recent closure of its standalone app in April 2025, Zelle's integration into bank apps has made it a convenient option for many users, but this outage has highlighted potential vulnerabilities in their system.
The situation has raised questions about the reliability of digital payment services, especially as more consumers rely on them for everyday transactions. As Zelle continues to recover from this outage, many users remain hopeful that their pending transactions will be processed promptly.
In the aftermath of the outage, Zelle's communication with users has been crucial. The company has encouraged anyone facing issues to reach out to their banks directly for assistance. While the immediate crisis appears to be resolving, the incident serves as a reminder of the complexities involved in digital payment systems and the importance of transparent communication during service disruptions.
As the digital payment landscape evolves, users will be watching closely to see how Zelle and Fiserv address the challenges posed by this incident and work toward ensuring a more reliable service in the future.
