Snapcash Release Date, Peer-To-Peer Cash Transfer News: Snapcash Launched by Snapchat

When Snapchat launched its disappearing photo messaging service, users probably never thought that it would eventually offer a peer-to-peer cash transfer service, but it has in the form of Snapcash.

The Snapcash service was developed by Snapchat in association with Square. It was launched officially a few days ago with a "breezy" advertisement. It featured a full song and dance routine, complete with glitzy costumes and catchy phrases that seemed to be more suitable for a Broadway musical.

As for the Snapcash service, users just need to type the dollar amount preceded with the dollar sign into a chat message window and send it to a friend who they have already messaged. This "one touch" sending of cash is described by many reviewers as very easy. Right now, however, only those U.S. users who are 18 years and over and have a functioning debit card can avail themselves of the Snapcash service. Others will have to wait to use it, but the company is indicating that it could roll out the service to a wider audience if it is successful.

As with Snapchat messages no financial or personal data will be stored on the company's servers. Instead Square will take over the task of handling and storing bank and the necessary debit card information of the sender and recipient.

Mashable, in its review of the Snapcash service, notes that a sender will be prompted to enter his debit card information when he first sends money to a peer, and it will then be stored. The peer receiving the money will also have to enter his debit card information to successfully receive it. Also unlike Snapchat messages that disappear within 10 seconds of it being received, money will remain in the recipients account for 24 hours. If it remains unclaimed after that, it will be refunded to the sender. Snapcash also limits the amount of money users can send to $250 per week.