Mistakes happen. That’s life.

Fortunately, with today’s update, Dwolla is solving one of the more popular mistakes we’ve seen: The accidental transfer.

Whether you added too many “zeros” or sent money to a non-existent email address, Dwolla now provides users with a few more scenarios, and a bit more leniency, to correct accidents. No administration or cancellation fees either.

Altogether, you can now stop or cancel:

  • a transfer or deposit FROM your bank account going TO your Dwolla account that has not yet been exported from the bank
  • money sent to a wrong email address or phone number, so long that is not connected to a Dwolla account
  • money sent to a Facebook, Twitter, or LinkedIn account, so long that the profile is not connected to a Dwolla account

In the end, these scenarios represent a lot of the common accidents that we can have the power to fix. They do not alter the traditional structure of a Dwolla payment, so if a recipient receives the money, you (aka the sender) cannot cancel or withdrawal the transaction (they could ask for the money back though!).

To do so, simply head to your online “account summary,” find the transaction you’d like to stop and click the “Details” link. From here, you’ll be easily “Cancel the Deposit” or “Cancel the Transfer.” Here’s what it looks like from a visual angle:

Find the pending transaction:

Click “Cancel This Deposit”

And it’s done

  • cyx

    Can’t I game the system then?

    Example: I buy a book at pragprog, and immediately after getting the goods, I cancel the deposit.

    Will this work?

    • CaityJones

      No, because you can only cancel a transaction before the bank has exported it. The bank will generally export your transaction within one business day, at which time you will not be able to cancel the transaction.

  • Rich

    I just tried to cancle a deposit but the option was not there.

    • CaityJones

      You are able to cancel the deposit only before it is exported from the bank. If the bank has exported your transaction, you will not be able to cancel the transaction.

Financial institutions play an important role in the Dwolla network.

Dwolla, Inc. is an agent of Veridian Credit Union and Compass Bank and all funds associated with your account in the Dwolla network are held in pooled accounts at Veridian Credit Union and Compass Bank. These funds are not eligible for individual insurance, including FDIC insurance and may not be eligible for share insurance by the National Credit Union Share Insurance Fund. Dwolla, Inc. is the operator of a software platform that communicates user instructions for funds transfers to Veridian Credit Union and Compass Bank.