When it comes to sending and receiving money, various companies exist. PayPal is one of the more well-known, not only because they’re one of the older platforms, but also they’re easy to use and accept almost any form of online payment.
Of course, as with anything, PayPal isn’t perfect for every situation or need. That’s why we have put together this list of alternative platforms to PayPal that you can use for your business and freelance needs!
For years, PayPal has been the payment processor of choice for millions of online shoppers. PayPal’s popularity is its ability to make the paying process easy and secure. However, many people prefer alternatives to PayPal, whether they are individual accepting payments, receiving payment for a service, or a company that sends out invoices regularly.
Online payments are an inevitable and necessary part of doing business online. You must have a way to accept secure payments from your customers, whether they’re registered or not. Although PayPal is currently the most prominent payment platform globally, it has a lot of restrictions that prevent you from receiving money from clients and customers from other countries and accepting payments using different currencies.
Why Would You Need A PayPal Alternative?
You may wonder why I need an alternative payment processor when I can use PayPal that is widely known and revered. Well, there are several reasons why you would need an alternative to PayPal, especially if you live in a third-world country where Paypal isn’t accepted.
As an online entrepreneur, you probably have your own experience working with online payment services. PayPal is one of the most famous names in the business, thanks to its versatility, reliability, and security. However, not all entrepreneurs like PayPal, and some prefer other services that match their preferences and needs. This is because PayPal is not perfect, and we newer payment service providers are filling the gaps where PayPal has seemingly failed.
In summary, here are some of the reasons why PayPal sucks:
- PayPal charges high fees compared to some other competitors and alternatives that offer the same services or even more.
- PayPal is not always easy to integrate with, and there are a lot of other companies that offer similar services like PayPal and are very easy to integrate with for payments and sending funds.
- PayPal has restrictions in several countries, hindering payments across such countries.
- PayPal has many rules which can be challenging to understand talk less of adhering to.
- PayPal can decide to freeze users’ accounts on their own without any prior information.
- PayPal blocks users’ accounts if they believe such a user is engaging in illegal activities without bringing such allegations to users’ notice before stopping such users’ accounts. PayPal only informs users of blocking their account after securing such user’s account.
Best PayPal Alternatives Right Now
PayPal is by far the most popular peer-to-peer alternative. Still, it comes with several restrictions for small business owners and freelancers who may not want to become financial institutions. If this sounds like you, you’ll want to check out some of these great PayPal alternatives!
Here are the best 10 alternatives to Paypal right now.
1. Stripe
Stripe provides tools for businesses to accept payments online via credit card, mobile, or desktop apps. They also provide invoicing tools that allow you to send out statements automatically to clients. The service is free and is accepted by more than 700 businesses including Twitter, Facebook, and Airbnb.
Stripe is a well-known San Francisco-based start-up that offers various payment processing solutions for businesses looking to accept credit cards online. It can be integrated with websites, mobile apps, and desktop applications and supports over 130 currencies.
As a freelancer, Stripe has apps for iPhone, iPad, Android, and Blackberry so you can accept payments anywhere. Online startups and merchants can also integrate Stripe with their platform and accept payments from customers in more than 150 different currencies.
Stripe handles all the back-end work involved with accepting credit card payments, including processing the payments, storing customer information securely, providing fraud detection features and chargebacks, issuing refunds, and accepting international cards.
Stripe enables business owners to accept credit cards and make payments in their own currency, taking just 2.9% + $0.30 per transaction. Payment processing via Stripe costs less than half as much as PayPal and it is much easier to setup a Stripe account than a PayPal account.
Additionally, when you use Stripe, you don’t have to worry about crazy fees, like PayPal’s “cross-border transaction fee” which is 3% of the amount you receive plus $0.30 USD (that’s $1,000 charged just to receive money!). With Stripe, there are no transaction fees at all!
Stripe is an easy-to-use API that connects to your bank account or credit/debit card; this allows you to manage your bank and card
Each Stripe account is required to have a verified bank account linked to it – this ensures that all transactions are legitimate and funds can be easily transferred from Stripe to the business owner’s personal bank account.
2. Wise [Transferwise]
Wise is undoubtedly one company worth mentioning among the top ten alternatives for PayPal. One of the most well-known peer-to-peer currency exchange companies out there, Transferwise allows users to send money between countries with a meager fee per transaction and a $0 fee for transactions under $500.
TransferWise launched in 2011 as a disruptive and innovative service allowing you to transfer money internationally without being charged huge fees. Wise will enable you to send money abroad at flat, user-friendly exchange rates, making sending your international business partners money easy and affordable. With TransferWise, you no longer have to pay banks a fortune to transfer money from country to country – instead, TransferWise takes only a small fee for the services it provides.
With Transferwise, there’s no limit on the amount you can transfer. It works with business and personal bank accounts, so it’s ideal for making international money transfers. It’s a transparent and straightforward way to send money internationally – we’ll show you exactly how much your transfer will cost in advance. And it only takes a few minutes to transfer your money using our app, card, or bank account – no more high hidden fees.
Given that PayPal does have many international restrictions and charges high fees for transfers, it’s always best to compare its services with your other options. And when you do, Transferwise is sure to strike you as well worth your consideration.
Plus, by using this service for international transactions, you support a socially responsible business with its unique strategies for making global financial systems work for everyone.
In general, Transferwise is a modern service designed with the needs of both business and freelancers in mind. As a result, it’s easy to recommend this as one of the top PayPal competitors on the market today.
3. Payoneer
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After comparing Paypal to other major solutions like Adyen, Square, Stripe, and more, I think that Payoneer comes up trumps. It offers several benefits over its competitors, and the $25 free sign-up bonus is a no-brainer.
Payoneer is a PayPal alternative for receiving money online. Payoneer is an international payment platform that helps individuals and businesses obtain their money in their local currency. The platform was launched in 2007 to help expats, traveling business people, and freelancers get paid in their home currency without going through the hassle of setting up bank accounts in foreign countries.
Payoneer provides a free Debit MasterCard pre-loaded with your funds so that you can use it virtually anywhere. In addition to the primary services of PayPal, Payoneer also offers outstanding benefits to business owners. It is an online payment platform that provides a flexible solution for several aspects of financial management.
Payoneer simplifies and accelerates international payments by connecting you directly to our network of banks and instantly converting the funds you receive into your local currency. This eliminates costly bank fees and time delays, saving you money and freeing you to focus on what matters most: running your business.
Payoneer allows you to receive payments from clients all over the world. The company has more than 200 countries where funds can be sent and received easily and quickly, unlike PayPal that has several restrictions on several countries around the world.
PayPal charges high fees for international transactions and currency conversions, but this is not the case with Payoneer. The Payoneer transactions fee is much lower, and they do not charge any fee for currency conversion.
If you are looking for a PayPal alternative, the Payoneer is good. It might not be the best PayPal alternative in all aspects, but it has several benefits that can come in handy.
4. Skrill
PayPal has long been one of the most popular services for transferring money, but other great alternatives are out there. One especially compelling online payment solution is Skrill. It’s easy to use, works with various payment services, and allows you to deposit money into your account from more than 60 different countries.
Skrill is a money transfer service. It allows people and businesses to transfer money from one bank account to another, from one currency to another, or from one country to another. Skrill can be used by anyone with an email address and a bank account. You can register on the website using your existing online banking information or email address.
Skrill is one of the best alternatives to Paypal, thanks to its outstanding features not available on any other similar services. This company has Direct Debit, SEPA, Online Bank Transfer, and Credit Card options that allow users to make transfers in various currencies fast and easy. Skrill offers several features. The most important one is security.
Skrill is the leading online payments provider in Europe, with over 15 million customers and 25,000 businesses across the continent. The company offers several solutions, including PayPal alternatives and solutions to help you send money and payable easily.
The company is regulated by the Financial Services Authority and uses the latest encryption technology to protect your money. Skrill also gives you a money-back guarantee so you can shop with confidence and even use it as a payment method for in-app purchases and member subscriptions.
The best thing about Skrill is that it’s available in over 200 countries, and you can send or receive money from anyone with an email address—no cumbersome account creation process required. It’s a better choice for freelancers who want an easy way to collect payments from global clients, but there are other competitors out there with a better (and more comprehensive) service. Skrill is also an excellent alternative to PayPal because of its flexibility compared to PayPal.
5. Square Inc [Block Inc]
Square is arguably one of the best PayPal alternatives for small business owners, especially if you’re starting. Although Square is a name that has been around as long as PayPal, It still stands as one of the best Paypal alternatives right now.
In 2009 Jack Dorsey co-founded and later became its CEO. Whether you are a freelancer, business owner, or startup just getting started with payments, Square will undoubtedly bring convenience for your needs in the future.
As a business, Square’s payment gateway gives your business the power to accept credit and debit cards. With Block’s secure and easy-to-use point-of-sale (POS), you can accept payment from all major cards, including Visa, MasterCard, American Express, and Discover. This POS seamlessly integrates with Square Register (available for free on the App Store) to help you track your sales and manage your business.
The Square payment hardware connects easily to most smartphones and tablets, so you can quickly and securely accept credit cards and contactless payments. Intuitive and easy to use, Square’s hardware connects to an Apple device or works with Android devices that support NFC payments.
Square creates tools that help sellers start, run, and grow their businesses. They also offer card readers and software that let sellers accept every form of payment with ease and provide powerful analytics to help them understand their business.
Square Inc [Block Inc] is the only platform we’ve come across that offers the full suite of services provided by traditional payment providers, all in one easy-to-use package. Their simplified service, missing cumbersome fees, and minimum transaction amounts make them our recommended platform for all small business owners.
6. WebMoney
Like Payoneer, WebMoney is a cross-border online payment service for individuals and businesses. It makes international money transfers easy and fast. Since 1995, WebMoney has processed over 3.8 billion usages with a total turnover of $0.3 trillion.
As one of the best alternatives to PayPal, WebMoney provides 150+ currencies and currently has 40 million users. WebMoney can be used as a PayPal alternative for personal and business transactions.
WebMoney is a financial service that allows people to transfer money from one account to another via the Internet. WebMoney is not just another virtual currency. It is a global e-payment system based on easy-to-use and secure digital wallets that can be used from PCs or mobile devices.
WebMoney is a free service that offers internet users a wide range of features. It aims to provide more excellent reliability than PayPal and instant payments. All you need to receive or send money is a WebMoney account.
Here are some of the reasons why you should use Webmoney as a PayPal alternative:
- WebMoney has a more reliable infrastructure than PayPal. Webmoney has no single point of failure. If a system of financial transactions fails, it may take down thousands of internet-based businesses, thereby affecting their clients.
- WebMoney processes transactions with an average speed of 5 seconds even during peak hours, while PayPal takes on average up to 3 days sometimes to process a transaction.
- WebMoney transactions are protected by the same security measures as those used by worldwide banking institutions.
- Unlike PayPal, you can send money to any recipient without revealing your financial account details or any other personal information.
- WebMoney allows you to make instant payments and receive funds at any time of the day or night, without the need to open accounts with the receiver or go through lengthy registration procedures.
From services like Payoneer and Skrill to global payment site WebMoney and mobile solutions like Apple Pay, there are plenty of alternatives for individuals looking to accept payments online and businesses looking for cheaper ways to make payments.
I recommend WebMoney for people who want to get paid for services or goods in an easy, seamless way with a few clicks. Though initially, it can be confusing to use, it becomes an excellent alternative to PayPal once you understand the process.
7. Neteller
If you’re a business owner or freelancer who deals in online payments, you’ll love Neteller. The company has been around since 1999 and has a reputation for providing its clients with excellent customer service.
With Neteller, you can now transfer funds to your bank account right away instead of waiting for three to five working days. You can even decide how much to withdraw each time and choose the date that withdrawal will take place.
Neteller is an online money transfer system that enables businesses to pay their employees and make online payments to other companies using credit cards, electronic checks, bank transfers, or direct bank deposits.
Neteller is an excellent alternative to PayPal because it offers the same services but charges lower fees on international transactions while providing a vast range of options for transferring money. Neteller facilitates money sending and receiving and supports a wide range of currencies and cryptocurrencies.
Neteller is a payment processing company. It is most widely known as an e-wallet and alternative to PayPal. It allows users to transfer money to and from friends, family, and other people or organizations who have accounts on the service. Neteller is available in more than 200 countries and has several different types of accounts.
Neteller works by creating an e-wallet for the user, users can then link their credit cards or bank account to this e-wallet, and you then have access to your funds at all times. You do not need another person’s bank details to make a transfer. This way, you can send money abroad quickly and easily no matter where they are located in the world.
8. FetchMoney
FetchMoney is a UK-based service that allows you to send money to anyone on any mobile phone worldwide. The recipient doesn’t need to have a FetchMoney account; they receive a text message with a code that they can then use to claim the money from any ATM in the world where MasterCard PayPass is accepted.
The transaction costs $1 per transfer, regardless of the amount you want to send. This payment method is a perfect alternative to PayPal because its transaction cost is very minimal and fixed at $1 per transaction regardless of what amount you are transferring.
FetchMoney can be described as one of the most cost-saving services ever seen in the industry. The service gives you a free account through which you can send and receive money worldwide at any time and from any location.
The website has an easy-to-use interface that will let you get started within minutes after registering. The website also offers a mobile app for Android and iOS phones to download for free on Google Play and Apple Store, respectively. FetchMoney is a great online money transfer platform with some of the best exchange rates amongst its competitors in the industry.
When you send or receive money through FetchMoney, your information is encrypted using SSL technology, ensuring that your data remains secure. When you register for an account on their website, you choose a username and password, which allows you to log in at any time to manage your account and make transactions. Passwords must be between 8 and 20 characters in length and contain both letters and numbers.
9. Dwolla
If PayPal isn’t your cup of tea, one alternative might be Dwolla. This company offers many services like PayPal, with a comparable low transaction fee.
Dwolla is a company that allows you to send and receive money online. It’s free to open an account and free to use for everyone except the person who sends you money. Dwolla lets your customers pay with a credit card or bank account without taking any percentage of the total transaction even if you’re a business. You can send money to anyone in the U.S. with a Dwolla account, as well as people with a linked checking account, prepaid card, or U.S. bank account.
With the Dwolla API, you can create a branded payment experience that fits seamlessly into your website design. You also have full access to the details of every transaction so that you can build custom business logic around them. Dwolla allows users free transfers up to $1000 per month, making Dwolla a better alternative to PayPal.
The most important thing about Dwolla is simple, fast, and secure. No matter what type of account you or your recipient have, the transfer will be instant, and the money won’t be deducted from your account until it reaches the recipient. You and your recipient never have to share your banking information or anyone else; instead, you verify each other by using social media accounts like Facebook and LinkedIn or by phone number if you don’t want to share your social media info.
The Dwolla API is easy to work with and has all the tools you need to transfer funds quickly [it is free and easy to use]. With just a few lines of code, you can send payments between Dwolla users in minutes. You can even build powerful business tools that make it easy for your customers to pay with their bank account or credit card.
With the Dwolla API, your customers can make recurring payments, schedule payments at a future time, add notes and other details to transactions, and much more. The Dwolla API uses simple HTTP calls, so you don’t have to guess your bank balance by sending requests over XML or SOAP web services that can be tricky to set up and slow to respond to.
With Dwolla, you can link directly from your bank account to the person you’re paying. So if you get paid via Dwolla, your money is instantly available in your bank account. It’s nothing short of awesomeness!
10. Payza
Payza is one of the fastest-growing payment solutions on the web. With Payza, you can accept credit cards, send and receive money, and pay invoices online in your local currency with close to zero fees.
Payza may not be the first alternative for businesses and freelancers that you think of, but it should. The site provides multiple avenues of payment, including online money transfer and interactive online tutorials, making it one of the most versatile platforms out there. Customers can also use the platform to send payments securely to their vendors or partners at the touch of a button.
Payza is an online payment service provider that offers a wide range of services to customers worldwide. The website is available in 25 languages and is entirely secure, providing customers with the best possible service and security. Payza can be accessed via the website or mobile application. It has an easy-to-use interface, and it is pretty user-friendly too.
Users can quickly transfer funds between their accounts without any restriction; they can even easily send money internationally. When you sign up for an account with Payza, you get a free MasterCard prepaid card that allows you to withdraw cash from ATMs worldwide without paying any fees (except the ones charged by the ATM operator).
Payza offers several essential features, including fees that cost less than PayPal, worldwide transactions that cost $3.99 or less, and fraud protection for the business’s online transactions. Payza is our top pick for companies and freelancers interested in working with alternative, online payment methods. It offers the best services and functions needed to process payments online in today’s digital economy.
It offers its users an easy way to receive payments from over 200 countries worldwide. Since Payza is not a bank, it does not charge any fees for making or receiving payments from its clients. You can do free withdrawals from your account into your local bank account or a free deposit from your local bank account into your Payza account via an ACH transfer.
Bitcoin: The Best & Fastest PayPal Alternative
With the surge of business people, freelancers, and other professionals accepting and transacting online payments, alternatives to traditional payment systems are popping up every day. PayPal is no longer the only game in town when transferring money.
Bitcoin is a decentralized cryptocurrency. Decentralized means that no one person or company runs it all. It relies on peer-to-peer networks and cryptography to function correctly. The Bitcoin protocol is a consensus network that enables a new payment system and completely digital money. It is the first decentralized peer-to-peer payment network powered by its users with no central authority or mediators.
What makes Bitcoin especially interesting is that it is decentralized in every respect. A government doesn’t create the currency. Bitcoin is run on a public ledger called the Blockchain. The Blockchain is maintained by thousands of volunteers called miners; they use Bitcoin mining software for this purpose. The Blockchain uses robust cryptography to maintain its integrity and security.
It is essential to understand that the Blockchain does not handle Bitcoins itself. Instead, it holds records about ownership that are guaranteed to be accurate and secure by cryptography. People who own bitcoins store them in digital wallets, which keep track of their balance on the Blockchain.
Transactions on the bitcoin network are processed almost instantly with super fast speed, more enormous sums of money can be moved across the bitcoin network, unlike PayPal that has a limit. Billions of dollars are moved across the globe using Bitcoins quickly; this is not possible using PayPal.
This is Because thousands of independent volunteers maintain the Blockchain instead of a corporate entity. The Blockchain remains more or less free from censorship, and transactions are carried out without any middlemen. Users can send bitcoins directly to each other over the internet without going through banks or payment processors like PayPal.
Everyone using Bitcoins can see what’s going on with their money because all transactions are publicly visible on the Blockchain. Bitcoins payments are arguably the best PayPal alternative as it ensures anonymity and a high-security network of cryptography.
Frequently Asked Questions About The Best Alternatives To PayPal
Since its inception in 1998, PayPal has been the dominant online payment option for businesses and consumers. Consumers can use it to make purchases on the internet, and merchants can accept payments for their products and services.
However, Paypal sucks sometimes. Most people looking for an alternative payment processor to PayPal are usually perplexed by multiple choices. Here’s are some of the most popular questions concerning Paypal alternatives and their answers.
What Is The Best Paypal Alternative For Personal Use?
Many people prefer Skrill over PayPal mainly because it’s effortless to set up and start using immediately. All you need to get started with Skrill is an email address and an initial deposit of at least $10 (you can make your initial deposit with either a credit card or bank account). Once you submit your information, you’ll be ready to go!
What Is The Best Paypal Alternative For People Under 18?
The best PayPal alternative for minors is Bitcoin. There is no age restriction in buying and selling cryptocurrency or a central authority like Central Banks that create policies concerning the buying and selling Bitcoins and other Cryptocurrencies. This means that anyone can buy and sell cryptocurrency even if under 18.
However, People under 18 should be aware that bitcoin is considered “property” by the US government and that if they make bitcoin transactions, those transactions may be taxable.
What Is The Best Paypal Alternative With Buyer Protection?
Amazon Pay Buyer Protection is a service that protects your eligible purchases if they do not arrive or are not as described, you did not authorize the transaction, or the seller does not respond to your request for a refund.
You can learn more about Amazon Pay refunds here.
What Else Can I Use Instead Of Paypal?
Here are some of the best services you can use to make payment and get paid without relying on PayPal: Bitcoin, WePay, Stripe, Skrill, Wise, Venmo, Google Pay, Apple Pay, or Payeer.
What Is The Best Paypal Alternative For Dropshipping?
Another excellent option for Dropshippers who want a simple solution for accepting payments online is Stripe. Stripe is secure and straightforward, making it perfect for taking payments from customers on your website or online store.
What Is The Best Paypal Alternative For Donations?
Stripe is a tool for accepting credit cards on the Internet, making it perfect for accepting donations and charity from your audience and customers.
In conclusion, PayPal seems to be the best choice for many small businesses and freelancers. It’s cheap, easy to use, and can scale to fit any business’s needs.
PayPal has been around for years, creating a global monopoly on payment processing systems. The dominance of PayPal in the payment processing industry has continued to reduce even though PayPal still has a good portion of the market under its control.
People have become unsatisfied with the lapses in the service delivery of PayPal and its inefficiencies. Hence the search for alternatives to PayPal that offer the same services provided by PayPal with better terms and conditions, some of these services provide even more than PayPal.
However, for those looking for alternatives, there are plenty of companies available that offer competitive services.
