Build a Peer-To-Peer Payment App

A peer-to-peer payment app is essential for making fast and online payments. This app helps in rapidly sending and receiving money with a comfortable and safe payment mode.

Are you looking for building such an app?

Let’s get started to discuss the ultimate guide to build a P2P payment app. This blog will discuss how to build a peer-to-peer payment app.

What is a P2P payment app?

Before P2P payment app development, it’s crucial to know this application. This payment application plays the role of a middleman that helps money sender send money from their bank account to the receiver’s bank account.

P2P applications are prevalent in this modern technological era, specifically among the youths. They prefer to use this latest app for money transfer rather than visiting a bank or using old money transfer techniques.

There are various types of P2P payment apps. They are the following:

Standalone Services:

Standalone P2P application vendors possess private P2P apps mobile devices that help transfer money. They offer a wallet system where users can store money before sharing it to the accounts of their peers. PayPal and Venmo are the top Standalone service provider applications.

Bank centered services:

There are some peer-to-peer payment app where bank accounts are one involved party. Bank-centric applications have two working processes; in the first one, the bank has their mobile app, and next is P2P bank transfer via financial sectors. Zelle is an example of a bank-centric P2P application.

Social media-centered services:

Various social media have developed P2P payment apps. Facebook, Snapchat, Google have their payment applications. People who are users of these social networking sites can use them for sending or receiving money.

Mobile OS focused systems:

Previously customers had mobile handsets that didn’t support the NFC technique and contactless payments. But in recent mobiles, OS systems have made transactions faster and simpler for consumers. But with a mobile OS service, the service provider may face many cyber risks. However, it reduces the chances of embezzlement of payment.

How does P2P Payment Apps Work?

Peer-to-peer payment works in a particular way. Let’s check out how the P2P payment app works:


At first, users need to register themselves under a P2P platform they like. The registration process is not a big deal. One needs to provide all personal details, bank details, and identity proof numbers. Then they need to create a hard pin to protect this information.

Add recipient:

After successful registration, users need to complete KYC formalities. After that, they need to enter the person’s details to whom the money will be transferred. Here users need to add the bank information of the payee for bank transfer, and in some P2P payment apps, payment can be made by adding phone numbers.

Entering the amount and explaining it:

After adding the payee, the sender needs to add the transferrable amount. Then the sender needs to explain the amount and add a reason for the money transfer. But this step is not a must to perform; so, the sender may skip it.

Enter the pin to make payment:

The app now will ask to enter the pin to confirm a transaction, or the sender may ask for a transfer by generating OTP. However, the users can set a security question for extra security or in case they can’t remember the pin.

Transaction History:

After the payment is completed, the user will receive a confirmation message from the app that the money is sent. Then automatic records will be generated and saved in your app, and you can check the details of all your transaction at any time. In any case, if the operation failed the app will also notify you.

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Must-have features of peer-to-peer payment applications:

Any mobile app needs to have some features. These features will decide the success of your app. These features are:


Notification is essential for any mobile application. The peer-to-peer application notifies the users where the transaction has been successful or when the payment has been initiated, etc. Ask your mobile app developing team to include this feature as it is an inevitable feature.

Fingerprint security lock:

As bank account details are involved with the P2P payment apps, there are many risks. So, the app developers need to offer the users high-end security features. The app’s fingerprint security lock will ensure none but the user can access the payment app. So, try to include this feature.

Transaction History:

Ask your app developers’ team to include a transaction history feature. Customers always want to check their transaction records and present them to the receivers if they deny receiving payment. So, without this feature, nobody will accept the payment app.

Unique ID:

Unique ID feature is required for the senders to check the payment before the payment is completed. It also ensures the safety of peer-to-peer payment apps. So, don’t forget to include this feature in your P2P payment app.

Bank transfer feature:

The P2P app you develop must have the capability to transfer money to bank accounts. Various P2P apps use different business models; some charge for making transfers, but in some apps, it is free.

Buying & selling of crypto currency:

Your P2P app needs to allow users to buy and sell cryptocurrencies quickly and effortlessly. Having this feature will make your app stand apart from others.

How to Build a Peer-to-Peer Payment App?

Let’s discuss the mobile app development process for the P2P app:

Select the P2P app type:

For developing the P2P app, first, you need to decide the type. We have already discussed the styles. You can select anyone from them. Besides, you may also create an app for real-time payment. This is the first step to making the app successfully.

2. Choose a platform:

The next stage is to select the platform where you want to introduce your app. There are Android and iOS platforms. You can choose one of them or launch your app on both platforms to reach a broad audience.

3. Add essential security features:

While developing a P2P payment app, always ensure that all essential security features are included. Face scan, finger security lock, OTP, etc., should be there for protecting users’ detail. If any user’s device doesn’t support these features, then there should be at least two-factor authentication.

4. Create a user-friendly interface:

Create an app that users can use seamlessly. The users always don’t have much time to understand what is going on. So, create a user-friendly interface for all.

5. Check your app correctly:

Before launching the app, test it properly. It would be best to launch an MVP at first. You can check users’ responses and add features or correct your flaws. It will enable you to offer better customer service.

6. Hire app developers:

To ensure the success of your app, you can hire expert app developers from a reputed mobile app development company. The cost to hire an app developer varies depending on the company’s experience. You can select one as per your budget.

Cost to develop a P2P payment app:

There is no fixed cost to develop a P2P app, and it depends on various factors. But nearly it can cost something between $20,000 to 140,000. The number of developers, their location, charges, app features will decide the cost of this app development.

SEE ALSO: How Much Does It Cost To Develop An App


P2P payment apps are top-rated among users as it helps them make and receive payments from anybody anywhere. In recent pandemic situations, it has become more popular among the mass. So, this is the best time to create such an app with great features to ensure its success.