3 Most Common Cash App Clearance Fee | Sugar Daddy Clearance Fee Scam

You will often get a message, that your payment is pending and you need to pay a clearance fee to get that money into your Cash App Wallet. The clearance fee might be as little as $10 or it could be $100 for the clearance of $1000 funds. Tempting as it may sound. High on adrenaline, you might want to pay this money to get $1000 in your account.

Well, I will advise you to do the otherwise. Cash App has no clearance fee. They will never ask you to pay any money for the clearance of your funds.

So Why are you getting this message?

This could be the infamous Cash App Clearance fee Sugar daddy scam, or it could be a fraudster from somewhere around the corner, hoping to get your money and enjoy free donuts.

Don’t fall for this scam, Cash App only charges a 3% fee if you have linked your Credit Card to your Cash App account. Does Cash App Charge a clearance fee? No, this is not a clearance fee, This fee is charged to the sender only, not the receiver.

Cash App also charges another fee that is for instant deposits. This fee is 1.3% of the total amount that you deposit.

So what you are being asked to pay could be a Cash App Clearance fee for Sugar Daddy.

Let’s discuss all the fee that is charged by Cash App so that you know what charges are legit and what is a scam.

Let’s Dive in…

Is there a clearance fee on Cash App Business Accounts?

Cash App charges the merchant’s business account a 2.75% fee every time it receives money through a business account, So you can call that a sort of clearance fee, but it is not exactly the Cash App clearance fee. Because in the scenario where you are required to pay a clearance fee your money is withheld by the bank.

These are just the standard charges a merchant has to pay for having a Cash App Business account, this can not be categorized as a Cash App Clearance fee.

Does Cash App Charge a fee on a personal account?

As mentioned above Cash App charges a fee of 2.75% on a business account, It is not a clearance fee because the payment is not withheld by the Cash App. You only have to pay this fee if you have a business account.

For Cash App users who have personal accounts are exempt from the 2.75% receiving fee. Personal account users are subjected to a 3% transaction fee if their Cash App account is linked with a Credit Card. Note: This is also not a Cash App Clearance fee, It is the fee to send money.

Receivers don’t have to pay anything.

Cash app clearance

Why is Cash App Charging Me a Fee to Receive Money?

Things get complicated when you get the message from Cash App, or Email in particular asking you to pay a clearance fee to receive money.

This actually happens, and it happened to many of the people using the Cash App. If you have received such an Email, and you are looking for the answer to Why is Cash App charging me a fee to receive money?

You are at the right place, I want you to do something for me, Just go to the email that you have received and check out the Emal Address, If that address is something like CashApphelp@gmail.com or help.cashapp@gmail.com, mark it as spam because that’s not from Cash App. No Gamil ID for Cash App, remember that.

You can thank me later for this.

Cash App Clearance fee Sugar Daddy Reddit

Social media forums like Reddit and Twitter are full of such posts where people are saying that they have just won a prize, a lottery, or a giveaway of some sort. Now the company is asking them to pay a Cash App clearance fee to get that prize money.

Now the amazing thing is they never participate in that lottery, and they won… Come on! Now all they have to pay is a $100 Cash App clearance fee and they will get a $1000 reward. For those who are very excited, Hold Your Horses!

Cash App never charges a clearance fee from the receivers. This is nothing but a scam. Do you want to lose your money to some suckers sitting in the basement?

Let me clear some very basic concepts

What is a Clearance Fee?

A clearance fee is usually charged by the banks, Customs, and brokers. It is charged for the completion of any transaction or clearance of goods. The money is usually withheld by the authorities until the fee is paid.

A clearance fee is a small percentage of the total value or amount of the money.

Your broker may also charge a clearance fee before delivering the service or payments. It is basically his cut to help you complete the job.

Does Cash App Charge a Clearance fee?

Cash App will allow it’s users to connect either their Credit Card or a Debit Card from their bank. Now if you have linked your Debit Card, all your basic transactions and funds transfers are free of cost. There is no Cash App fee.

If you have linked your Credit Card to your Cash App Account and you are not making transactions from your Cash App balance either you will be subject to a 3% fee for sending money. That’s it, no more than that.

Cash App also charges 1.3% if you are doing an instant deposit to your Debit Card. Do you know you can also Deposit a Paper check to your Cash App?

Does Cash App Charge a fee to receive money?

No, Never, Cash App doesn’t charge a fee to receive money. These are all basic features of Cash App, It facilitates transactions, and funds transfer if there is a fee to receive money who would use Cash App?

Note: There is no monthly or annual fee for Cash App

If you are a Cash App user, you can send money to any other Cash App account, you can also do online purchases and Cash App will not charge a fee for it. You can also receive money on Cash App for free.

Does Cash App have a Clearance fee?

Do you think that the Sugar Daddy Clearance fee is from Cash App? No way, Cash App prides itself on being transparent, Your Sugar daddy clearance fee is from your Sugar Daddy not from Cash App, More about it in a moment,

There are no hidden charges or fees that you have to pay to Cash App for money clearance. If you have won #CashAppFriday giveaway, you will not be asked to pay any clearance fee to receive your prize money.

If you are receiving messages on Instagram and Facebook that you have won #CashAppFriday sweepstake and to get your money to submit the clearance fee, This message is a scam. Do NOT respond, I repeat, Do NOT respond.

Does cash app have a clearance fee

Cash Apps Fee is applicable for these two scenarios

1- Sending Money through Credit Card – If you are sending money from Cash App that is linked to a Credit Card, and the money that you are sending is NOT from your Cash App balance, You will be charged a 3% fee.

It is because the transactions from Debit Card are free while the Transactions from a Credit Card are not.

2- Instant Deposit – If you are using the Instant Deposit feature of Cash App and adding money to your Debit Card, you will have to pay 1.3% of the total amount to Cash App as a fee.

Note: It is only for Instant deposits. No charges are applicable for standard deposits.

What is a Clearance Fee on Cash App?


It is the Scammer Clearance Fee on Cash App, there is a fraudster who is trying to convince you to send him the money.

You will often be contacted by the fraudsters who will send you a very professional-looking message, They will add their LinkedIn profile, a fully functional website of their “Company”, to make you believe that they are legit.

You might believe it, and then they will add that you have won a random Giveaway by the company, the reward money is $5000 and you will get it in your Cash App Wallet. You just have to pay a Cash App clearance fee to get it.

this is where you pause and think “why is cash app charging me a fee to receive money?“.

Yes, that’s right, this is a scam.

Cash App 4

Cash App Clearance Fee Sugar Daddy Scam

Sugar Daddy scam is very very very common on Cash App. You must learn every detail about this scam if you are using Cash App. I have written an in-depth research-based article on Cash App Sugar Daddy Scam, look it up.

So for a summary as we are talking about Cash App Clearance Fee Sugar Daddy Scam. I would like to say that there are genuine people out there, who would actually be honest and will pay to have good company.

But a painful reality is that this world is cruel and scammers play with already establish norms and practices so that people fall for them.

Here is how it works, You will find someone on social media, who would love to be your Sugar Daddy and pay for your bills, help you out financially. They will send you money and you will receive an email from them that your Cash App balance has been credited with $500 by your “sugar daddy”, you have to pay the Cash App clearance fee sugar daddy to receive that money in your wallet.

Beware, that is a scammer trying to get your money. The real sugar daddy will never ask for a clearance fee.

Cash App Business Account Fee

If you own a business and you have a Cash App account, you will definitely register it as a business account. All Cash App business accounts are subjected to 2.75% fee for receiving money.

Just like a personal account, there is no monthly fee or annual fee for a business account.

There is no Cash App Clearance fee for a business account too.  All you have to pay is an extra 2.75% whenever a customer makes a purchase through Cash App.

Other charges are the same as any other Cash App account. If your account is linked to a debit card, all standard Cash App transfers are free, but if you make any transaction using your Credit Card you will have to pay a 1.5% fee on that transaction.

Keep in mind clearance fee helps you clear your funds that are on hold by the bank or the company. Cash App never holds your payments so there is no Cash App Clearance fee.

cash app sugar daddy scam

Avoid Cash App Clearance Fee Scams

Cash App is full of scammers, who knows that your account is already hacked, but the hacker is waiting for the right moment to attack. Here is how someone can hack your Cash App Account. These are the must follow instructions

  1. Never, ever, pay a clearance fee.
  2. Never participate in Cash Flip schemes
  3. Learn about a $100 to $750 scheme.
  4. Send money to those you know.
  5. Never Click on anonymous links.

Does Cash App Charge a Clearance Fee on Gift Cards?

You might have a gift card that you want to add to your Cash App and are wondering, will I have to pay a clearance fee? No, you don’t. Cash App does not charge a clearance fee.

But do you know that Adding a Gift Card to Cash App is possible? You can add your gift Card using a workaround. Check it out, it might save a few dollars on that VISA Gift card of yours.


Let’s wrap it up, it was a long read, but it was necessary to debunk the Cash App Clearance fee sugar daddy scam. Now you know that Cash App does not charge any clearance fee. All you have to pay is 2.75% when you have a business account. 1.5% on all the instant deposits. Lastly, you will have to pay a 3% fee if you are sending money through a Credit Card.

Other than that, there is no hidden fee from Cash App. Whoever is asking you to pay a clearance fee, whether it is a sugar daddy or a legit company, they are just a bunch of scammers.

I hope this article was helpful. Share if you have received any messages or emails from the scammers in the comments section.