PayPal Alternatives Foreword:

PayPal is almost synonymous with online payment systems. It used to be one of the most revolutionary technologies in the world. PayPal still great, but it is not your only option now.

Almost every consumer market is moving online, consumers turn to online payment systems in record numbers every year, and PayPal is not alone in the growing digital currency area.

The main reason PayPal is still so popular in 2021 is that people are so used to it. But quite a few other PayPal alternatives can provide lower rates, better customer service, and even better interfaces.

PayPal Alternatives: Wise (TransferWise)

PayPal Alternatives_Wise

Wise bills itself “The cheap, fast way to send money abroad.” Yes, it is an outstanding PayPal alternative if you make lots of international transfers. Wise is my first choice for international transactions, owing to its meager fee and use of the mid-market rate for transfers.

Another great feature is that the transfer amount is directly deposited into the recipient’s bank account. The sender can pay via bank account or debit/credit card (may incur debit/credit card fees, depending on the bank).

Here’s how it works: Let’s say you (in the US) want to send $1,000 to your friend (in Japan).
First, your $1,000 will be deposited into Wise’s US account. Then, they would deduct some fees and use the mid-market rate to send the equivalent ¥(Yen) from Wise’s Japan account to your friend.

Therefore, the money never really crossed borders! This also makes international transfers relatively fast.


  • Meager and most accepted international money transfer fee.
  • Radically transparent pricing: you can use their calculator to see the low-cost and transparent fees for transfers in advance.
  • Mid-market exchange rate.
  • Supports many countries where PayPal is unavailable or limited, such as Bangladesh, India, or Pakistan.
  • Their multi-currency account allows you to hold and transfer between 50+ currencies.


  • Does not support automatic recurring transfers.
  • The debit card cannot be shipped to all countries.
  • Professional foreign exchange providers may be cheaper for more significant amounts( e.g., buy investment properties abroad).

PayPal Alternatives: Payoneer

PayPal Alternatives_Payoneer

Payoneer is another good choice for international payments. They pay particular attention to market sectors such as e-commerce, online advertising, freelancing, and vacation rentals. In addition, they are integrated with partnered marketplaces like Upwork, Airbnb, 99Designs, iStock, and more. Thence, Payoneer is very popular with freelancers.

The transactions are free between Payoneer accounts. Otherwise, you’ll be charged 3% for credit card payments, and ACH bank debit is 1% for all currencies.

Like Wise, Payoneer provides a Master debit card for your online account so that you can withdraw funds from ATMs around the world. However, when you withdraw money in your local currency, there is a 2% withdrawal fee.


  • Very suitable for payments between Payoneer accounts.
  • Can easily send invoices to customers through Payoneer.
  • Cheaper withdrawal fees.


  • Account inactivity fees.
  • It cannot be used to receive payments or funds from personal bank accounts and can only process payments from corporate accounts.
  • Currency conversion is only intended for business transactions.

PayPal Alternatives: Stripe

PayPal Alternatives_Stripe

Stripe is the best option for online credit card processors of online businesses. But, unfortunately, for people without a coding background, understanding all features may require extra effort, and the transaction fees are very similar to PayPal’s.

Stripe can also help you with the subscription business. Invite customers to subscribe, and Stripe will handle the rest. The platform’s technology helps manage these subscriptions for you and adjust them based on your customers’ behavior.

Stripe also provides ACH transfers. But, most importantly, they are more secure than other services. For example, when you send an invoice via Stripe, the platform will automatically generate a virtual account number to protect your bank information from being transmitted to your customers.


  • Help companies beat fraud, send invoices, issue virtual and physical cards, get financing, manage business spending, and much more.
  • Painlessly processes payments from your clients and gets funds directly to your bank account.
  • Always know what you paid: pricing is pretty transparent, no setup, hidden, or monthly fees.
  • Support Apple and Android pay.


  • Need some programming knowledge to link the API.
  • Stripe does develop things very fast, and sometimes it’s hard to catch up with what’s new if you don’t have a developer team.
  • The payment failed/credit card declined message lack more detail.
  • Fees/pricing is high. 2.9% + $0.30 per transaction, and international cards require an additional 1% transaction fee.
  • You usually have to wait a few days after the transaction to get the money.

PayPal Alternatives: Skrill

PayPal Alternatives_Skrill

Skrill‘s payment method is a lot like PayPal. You attach a bank account or debit/card to your Skrill account and send/receive money.
The service only charges a 1.9% fee for a transfer between Skrill wallets. It is still much less than PayPal, and there are no dedicated rates for different countries/currencies.

However, the problem is that the accounts use international remittances in different currencies. In addition, Skrill charges a 3.99% currency conversion fee, so the fee for international transfers may be close to 6% of the total amount.

Things will worsen if your bank currency isn’t supported by Skrill (40 currencies are supported). Both receiving and withdrawing money to your bank account will involve currency conversion. And your bank may even add some fees as well. All of this can result in up to 12-15% fees just receiving/sending money.


  • Make payments to online gambling using your Skrill funds.
  • Low fees for transfers in the same currency.


  • Account inactivity fees.
  • Lower acceptance by merchants in Asia.

Summary for PayPal Alternatives:

If you are a/an

  • Freelancer: Wise, Payoneer, Skrill
  • Startup or Small and Medium Enterprise: Payoneer
  • Large enterprise: Stripe

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