In the Internet e-commerce market, Dwolla is an online payment management and transaction system that allows users to send, request, and receive payments securely. Dwolla securely links to a user's bank or credit union account, instead of utilizing credit cards, which helps to reduce the cost of each transaction by eliminating costly credit card fees.
Started in December 2009, Dwolla began providing their e-commerce payment system, with a goal of saving users money and reducing payment fraud. Transactions of $10 or less are free; transactions over $10 are 25 cents each. Dwolla accounts offer great accessibility as users may transfer funds in and out of their account at any time. Payments made to a business are instant.
Payments can be made through the Dwolla website or through the use of their mobile app, which is available on iPhone and Android devices. Some retailers also accept Dwolla payments and offer this option at their kiosks and their checkout counters.