Wise vs PayPal – Fees, Exchange Rates, Currencies & Cards Compared

PayPal and Wise are examples of innovative fintech technology services that provide various beneficial functions and features. But which is a better option when comparing Wise vs PayPal?

Using this side-by-side comparison, I will compare their money transfer services, available currencies, currency exchange fees, and other fees that come with them, transfer speed, card options, etc.

This comparison will give you better insights into key differences and make your decision easier when choosing which option is best for you.

NOTE: I have also compared Wise vs Revolut and PayPal vs Payoneer.

 

Wise vs PayPal

Wise is an online service that specializes in assisting users in sending and receiving money in various currencies using a single wallet. They provide rates that are among the most competitive in the industry. But what really sets them apart is the fact that Wise does not take a margin on the exchange rate.

When sending money transfers (domestic or international), I highly suggest using Wise instead of PayPal since the platform is less expensive for these transactions.

PayPal is a good option when sending funds in the same currency or performing domestic transfers. PayPal service continues to be an excellent option for various use cases, including online payments.

Because of the high fees associated with using PayPal for international money transfers, it is typically not a brilliant idea to use this service for sending money internationally and using different currencies.

Once there is a currency exchange involved, PayPal takes a hefty margin. For any currency conversions, Wise is far better option.

blank comparison
  • Name
  • Price for opening personal account
  • Price for opening business account
  • Business account bank details fee
  • Countries where you can open account
  • Countries where card is available
  • Available currencies for convert and hold
  • Receive bank details (currencies with account details)
  • Credit card payments fee
  • Currency exchange fee
  • Withdrawing money from ATM fee
  • ATM limits
  • 3D Secure payments
  • Card limits
  • Virtual cards
  • Type of card
  • Card contactless payments
  • Fee for card payments
  • Number of physical cards you can have
  • Number of virtual cards you can have
  • Disposable virtual cards
  • Integration with accounting software
  • Compatible with Apple Pay and Google Pay
  • Cryptocurrencies trading
  • Insurance options
  • Recurring payments
  • Direct debit
  • Loans
  • Group bills
  • Stock trading
  • Commodities trading
Wise vs Revolut comparison.
  • WISE (Formerly TransferWise)
  • Free
  • Free
  • One-time fee between 16–21 GBP (or equivalent in your currency).
  • 230
  • UK, Switzerland, Australia, New Zealand, Singapore, Japan, Canada, Brazil, Malaysia, most of the EEA, and US.
  • 56
  • USD, GBP, EUR, CAD, AUD, NZD, SGD, HUF, RON, TRY
    Polish zloty is usually available, but currently that option is disabled.
  • Free as long as the payment is in a currency that you currently hold.
  • 0.24–3.69%
  • Free up to £200 (or currency equivalent) and then 1.75% on anything over 200 GBP/EUR. This fees can be different for other countries.
  • Daily limit is 1500 GBP (or currency equivalent) but you can increase it.
  • Yes
  • There are different limits for cardholders in different countries. But most can be increased via app.
  • Yes
  • Mastercard and Visa
  • Yes
  • No
  • 1
  • 3
  • Not available
  • FreeAgent, QuickBooks Xero, etc.
  • Yes
  • No
  • No
  • Yes
  • Yes
  • No
  • No
  • No
  • No
PayPal vs Payoneer comparison.
  • PAYPAL
  • Free
  • Free
  • Free
  • You can open account in almost any country.
  • Depends on the type of card (PayPal has several cards)
  • You can use 24 currencies as account currency balances. But you can perform transactions in various worldwide currencies.
    PayPal allows customers to use these currencies as account currency balances: USD, RUB, NZD, HUF, HKD, CNY, EUR, TWD, GBP, THB, CHF, PLN, MYR, DKK, CAD, SEK, PHP, JPY, BRL, SGD, NOK, ILS, CZK, and AUD
  • Not available
  • No cost if paying in same currency.
  • PayPal charges 2.5% on top of the rate bank provides them.
  • Based on location and depends on card.
  • Depends on the type of card.
  • Yes
  • Depends on the type of card.
  • Yes (it is called PayPal Key)
  • Only Mastercard
  • Yes
  • Only PayPal Prepaid Mastercard has fee ($4.95 monthly)
  • I am not sure
  • I am not sure
  • Not available
  • QuickBooks, Xero
  • Yes
  • PayPal users in the United States can buy, sell and hold Bitcoin Cash, Bitcoin, Litecoin, and Etherium.
  • Yes
  • Yes
  • Yes
  • Yes
  • Yes
  • No
  • No

 

Wise Summary

Wise, originally known as TransferWise, was first introduced to the public in 2011. Founded in England, the corporation has its headquarters in the U.K. Wise allows you to transfer, receive, and spend money. You only need to sign up for an online account.

 

Wise review pros and cons.

 

With the Wise debit card, you can spend money online, pay in physical stores, withdraw money using ATM, etc. You can receive and send money in a variety of currencies all over the world via your account.

Wise provides low-cost money transfer services, enabling customers to send money between bank accounts worldwide.

Wise’s minimal and transparent fees have made it popular for many users. Thanks to a borderless account, you even get local bank account information for various currencies.

Once you’ve signed up for a Wise multi-currency account, you’ll have full access to all accessible services. As a result, you’ll be able to do as follows:

  • Maintain funds in 56 different currencies.
  • Currency conversion is quick and inexpensive.
  • Receive bank details (balances with account details) in 10 currencies (U.S. dollars, British pounds, Euro, Canadian, Australian, New Zealand, and Singapore dollar, Hungarian forint, Romanian leu, and Turkish lira).
  •  Set USD, GBP, AUD, and EUR direct debits.
  • A Wise debit card is available in the U.S., Europe, Singapore, New Zealand, and Australia (as of this writing).
  • A debit card allows you to spend money in any currency you choose. The costs associated with transactions are kept to a minimum.

Wise multi-currency accounts are electronic money accounts. They are different from traditional bank accounts:

  • You can’t receive loans or overdrafts.
  • You can’t earn interest.
  • The bank accounts offered are only “addresses” for electronic money accounts. They aren’t real bank accounts They are still used in the same way as traditional bank accounts.
  • Money is protected and safeguarded but not guaranteed by the Financial Services Compensation Scheme (FSCS).

People use Wise because they don’t have to worry about getting charged high currency exchange rates or transaction costs when making foreign transactions.

Currency conversion, receiving, and sending are possible on the same account. Using a Wise debit card, you can withdraw money from ATMs, make online payments, or buy goods and services in numerous countries across the globe.

For more info, you can check my Wise review. But if Wise is not what you are looking for, then take a look at the best Wise alternatives.

 

PayPal Summary

For many years, PayPal has built a solid reputation as one of the most dependable means of sending and receiving money and making payments online. The company has changed how people bank online and revolutionized financial technology.

There are more than 150 countries where PayPal is accepted. It is a well-known and most used payment gateway.

 

PayPal account dashboard summary.

 

Many individuals rely on PayPal as a means of online payment. Due to its integration with multiple CRM and accounting systems, many processes can be automated.

Customers and businesses return to PayPal because of the company’s excellent digital transaction handling. However, it may not be the best option for every company and user.

With PayPal, people don’t need a bank account to purchase online since it gives a straightforward and stress-free option. If you spend your existing PayPal account balance, you can connect a credit or debit card to your PayPal account and pay using them.

But users have a lot to say about PayPal’s risk department. Because of PayPal’s security precautions, your account’s funds might be frozen at any moment, and your access is limited.

Their customer service is often not helpful too. You will likely spend most of your time in the knowledge base or discussion boards. If you’re having issues with PayPal, you’ll have to sift through a large quantity of documentation to get to the bottom of things.

PayPal is much more than a mean of paying online. They also provide extra services, such as third-party payment processing, which is useful for online retailers.

PayPal is well recognized for its online payment service. You can accept bank and credit transfers with PayPal in the following ways: Payments Standard, Payments Pro, and the PayPal Checkout (previously known as the Express Checkout).

In the last several years, they have introduced several new services, including PayPal’s payment application, tactics to prevent scammers from accessing customer data, partnerships with well-known credit card companies, etc.

NOTE: Check the best WooCommerce PayPal checkout gateway plugins if you need an excellent payment gateway plugin for your store.

 

Country Availability

Both PayPal and Wise are available in many countries.

 

WISE

Wise is available in 230 countries, including the United States and many Asian countries.

The countries where a Wise account is not available are Afghanistan, Burundi, Congo Republic, Central African Republic, Cuba, Chad, Crimea (sub-territory), the Democratic Republic of the Congo, Hong Kong, Eritrea, Somalia, Iran, Iraq, India, Malaysia, North Korea, Sevastopol (city), Republic of South Sudan, Sudan, State of Libya, Syrian Arab Republic, Territories of the United States, Venezuela, United Arab Emirates, and Yemen.

 

Wise is available in many countries.
Wise is available in various countries around the world.

 

The Wise card is available for users and businesses in the U.K., Japan, Switzerland, New Zealand, Australia, Singapore, most of the EEA, and the U.S. There are a few exceptions, so check the list of eligible countries.

 

PAYPAL

PayPal is accessible in over 200 countries and supports various currencies. Check out the PayPal WorldWide Offerings page to see whether PayPal is available in your area.

You can find additional information by selecting the appropriate choice from the dropdown menu.

 

WINNER: Both options are available in a large number of countries.

 

Money Transfer

Whether you are a freelancer or a business owner, the ability to receive and send payments fast and simple is crucial to success and uninterepted business operations.

 

WISE

The time it takes to process a money transfer varies by country and the amount of money being sent. Most transfers are processed in a few hours (SEPA transfers) and international transfers (SWIFT) within two business days.

Your transfer’s arrival time will be determined by the bank’s processing speed. It’s also possible that the procedure will be affected by the payment methods that the country you’re sending funds from allows.

 

Wise money transfer feature.

 

While bank transfers sometimes take longer to process, card payments are often completed within a few minutes. Once you’ve set transfer, you can see how long each method typically takes.

Check the list of countries that you can use with Wise to send funds. The maximum amount that can be sent will be determined by the payment method used and the kind of currency sent.

You can check the limits for each currency in the Currencies article. You will be notified if you try to send too much at once.

Sending money from one Wise account to another will be completed in seconds. A fixed fee is only charged if you send money to a bank outside of Wise. To check how much the fee is, use the pricing page.

 

PAYPAL

Access PayPal’s online services via their mobile app or website. You can send money to bank accounts via PayPal’s money transfer service Xoom. Certain fees can be associated with these transactions.

 

You can send and receive money using Paypal.

 

Sending money from one to another PayPal account is usually free. But that also depends from which country is the person you are sending the funds to. These kinds of transfers are completed in a matter of seconds.

You can also send money to the transfer pick-up point for a cash pick-up or to a bank account. There are fees assessed for these operations. PayPal is one of the most widely used fund transfer services. The main factors driving the price are transfer fees and currency exchange fees.

 

WINNER: Both options provide efficient and fast money transfer options and speeds.

 

Receiving Money

Receiving money is another important aspect. You want that process to be quick and smooth.

 

WISE

Wise account functions exactly like a traditional bank account when it comes to receiving money. All you have to do is provide the individual performing the transfer of your Wise bank account information.

There are 56 currencies that you can hold and exchange. But you can have local bank account information in 10 of those currencies.

 

Wise bank details.
You can get local bank details for 10 currencies.

 

You can get bank details for United States dollars (not available in all countries), Romanian leu (only available to Switzerland and EEA residents), Turkish lira, Euros, Australian dollars, Polish zloty, Singapore dollars, New Zealand dollars, British pounds, Canadian dollars, and Hungarian forints.

 

PAYPAL

To receive money with PayPal, you only need to provide your PayPal email address. Someone can send you money even if you don’t PayPal account. But, you will need to create an account to claim it. As long as the sender correctly inputs your email address as the recipient, the funds will be waiting for you.

PayPal doesn’t provide local bank information like Wise, so you cannot receive money that way.

 

WINNER: Wise allows more options to receive money.

 

Transfer Speed

It is critical to ensure that money is received promptly. Let’s see which is a better option regarding timely transfers.

 

WISE

The amount, the currency, how you fund transfer, and when you set up transfer all have a role in determining how quickly money will arrive at the destination.

With a bank transfer, the money will often arrive within a couple of hours if the transfer is scheduled to take place on a weekday within standard banking hours.

You should prepare for slower transfer speeds if you initiate a transfer during the weekend, on a bank holiday, or sending exotic currency.

Transfers from a card to a bank account are done much quicker, often in a few hours to a day. On the other hand, the costs associated with these transfers are higher.

Sending money from one Wise account to another is instant.

 

PAYPAL

You can send money from one PayPal account to another instantly if you have money in your PayPal account to cover the transfer.

Depending on the currency of your recipient’s account, a PayPal to PayPal international transfer might take a few hours to appear in their account.

There is a 3-5 day delay in receiving funds sent from a PayPal account to a bank account using Xoom (PayPal’s international money transfer service).

The time it takes to transfer funds from your PayPal account to your checking or savings account varies from bank to bank. There is also a charge for immediate withdrawals (1-3%, based on location).

 

WINNER: Wise is a faster option when sending and receiving money.

 

Card Options

Wise and PayPal provide cards. You can use the card to withdraw cash from an ATM and purchase at conventional brick-and-mortar shops and online merchant websites.

 

WISE

Wise provides Visa and  Mastercard cards. Which one you will get depends on your country. Use the money in your account to make purchases using a credit card.

The card doesn’t have transaction fees, and the conversion fees are low. The card is available to the U.S., U.K., Switzerland, Singapore, New Zealand, Australia, Japan, Canada, Brazil, Malaysia, and EEA residents.

 

Wise debit card.
Wise debit card can be used to pay in any currency.

 

Depending on where your card is based, there are restrictions on how much money you can withdraw for free. All limits can be tracked via the Wise app. They are as follows:

  • You receive two free monthly withdrawals of up to 200 EUR/GBP if you have a card issued in the U.K. or Europe. After that, 1.75% is charged for withdrawals over 200 GBP/EUR. Additionally, if you make more than two ATM withdrawals in a month, you will be charged a 50p/withdrawal fee.
  • You receive two free withdrawals of up to 350 SGD/NZD/AUD monthly if you have a Singapore, Australian, or New Zealand-issued credit card. Over 350 SGD/NZD/AUD will be charged 1.50 SGD/NZD/AUD + 1.75%.
  • You’re entitled to two free withdrawals monthly, up to $100, using U.S.-issued cards. On withdrawals exceeding 100 USD, they charge 1.50 USD + 2%.
  • If you’re using a different currency, the sum will be equivalent to your card’s currency.

Debit cards can be used to pay for goods and services at almost any establishment that accepts them. Online purchases are also possible with these cards. The Wise app, a text message, or a phone call may be required to confirm or authorize an online payment in certain situations.

Specific sites require an extra security step known as 3DS online payment. After the verification procedure is complete, payments are handled as normal.

The debit card can also be used at most ATMs to withdraw funds. Wise debit card can be replaced for a charge if you lose or damage your current one. Depending on where the card was issued, there are different card limits.

Adjusting the spending limitations on a card can be done using either the mobile app or the website. Additionally, Wise provides virtual cards.

To get a virtual card, you’ll first need to order a physical card. You’ll be able to use up to three different virtual cards at once. You can instantly replace these card details if needed or delete them.

Ordering a Wise card costs 5 GBP, and a replacement card is charged 3 GBP. For more info about Wise card, you can check my in-depth Wise debit card review.

 

PAYPAL

PayPal gives users several different alternatives when it comes to using their credit cards. Credit cards offered by PayPal include the Extras MasterCard and the Cashback MasterCard.

Additionally, they provide a virtual credit line known as PayPal Credit that isn’t linked with a credit or debit card.

 

PayPal Prepaid Mastercard review.
Transfer money from your account at PayPal to your PayPal Prepaid Card so you can shop in store or online, wherever Debit Mastercard is accepted.

PayPal Cash Mastercard rview.
Access funds with a debit card linked directly to your PayPal Cash Plus account.

 

1. PayPal Extras Mastercard

With this Synchrony Bank credit card, you can open a PayPal credit account from which you can borrow money. You’ll have to meet certain requirements to get this card, just like you would for any other credit card or loan. PayPal will ask you about your credit history and income.

With the PayPal MasterCard, you can get points every time you spend money, and some transactions can earn between one and three points per transaction. Then, you can turn those points into cash that goes back into your PayPal account or buy gift cards and travel vouchers.

This card does not come with any annual fees. If you don’t pay off your monthly balances on time, you may have to pay interest and other fees.

 

2. PayPal Cashback Mastercard

Like the Extras MasterCard, you must apply and be accepted for this MasterCard. To apply for the Cashback card, you must also have a PayPal account.

Every purchase with this card results in cardholders’ 2% cash back reward. Cashback rewards can only be redeemed into your own PayPal account. This card has no annual fees, purchase limitations, or redemption thresholds.

PayPal does not permit the simultaneous use of Extras MasterCard and Cashback MasterCard.

 

3. PayPal Prepaid Mastercard

This MasterCard is a prepaid debit card. Like many other standard debit cards, money must be loaded onto the card before it can be used to make purchases.

PayPal has a mobile app that lets you manage your cards. You can transfer money from your PayPal account to your prepaid card account. However, the card does pull cash straight from your PayPal balance. But you can transfer funds from that account to your prepaid card account.

This card has specific fees associated with it. A $4.95 monthly subscription is required to keep your account active and allow you to make as many purchases as you wish. Depending on the location of the ATM, you may be charged for checking your balance or withdrawing cash.

 

4. PayPal Cash Mastercard

Using the PayPal Cash MasterCard is similar to using a bank debit card. Using this card, you can use your PayPal Cash Plus account balance to pay for purchases.

To use the card, you must have money in your PayPal Cash Plus account from either transfers or payments received. If there is insufficient money in the account to fund the transaction, it will be refused.

This card has no minimum balance requirements or monthly fees. Fund transfers and withdrawals can be subject to fees. All domestic ATM withdrawals will be subject to a fee of $2.50. Using the PayPal app to add funds to the balance will cost $3.95.

 

Currencies Available

A service that lets you accept numerous currencies and offers reasonable costs and conversion rates will be a great choice.

 

WISE

A total of 19 currencies are available for depositing money into your Wise account. These include USD, AUD, CAD, CZK, EUR, HRK, JPY, NZD, RON, SGD, BGN, CHF, DKK, GBP, HUF, NOK, PLN, SEK, and TRV. The Brazilian real (BRL) cannot be kept in your Wise account, but other currencies can be added and paid for using BRL.

Wise multi-currency account lets you save funds in over 50 different currencies. You can use real-time exchange rates to convert between these currencies.

It’s also possible to obtain bank account information in the following currencies: AUD/EUR/GBP/USD/HUF/NZD/CAD/TRY/RON (only accessible to residents of the European Economic Area and Switzerland).

New users will not have access to PLN bank account information at this time. Those who already have PLN bank details can continue using them.

All funds in your Wise account can be transferred to a bank account anytime. A conversion fee and a fixed fee are charged when transferring money from one currency to another.

 

PAYPAL

PayPal allows customers to use these currencies as account currency balances and pay using them: USD, RUB, NZD, HUF, HKD, CNY, EUR, TWD, GBP, THB, CHF, PLN, MYR, DKK, CAD, SEK, PHP, JPY, BRL, SGD, NOK, ILS, CZK, and AUD. But you can perform transactions in various worldwide currencies.

 

WINNER: Both options provide a solid number of currencies you can hold.

 

Exchange Rates

The value of one country’s currency in relation to the currency of another economic zone or country is known as the “exchange rate.”. A better understanding of currency conversion rates might save money when traveling or doing business.

 

WISE

Wise never hides exchange rate, and they always provide you with the actual rate, which has been independently verified. To see how much your money is worth in different currencies, use Wise’s currency converter. You can simply and rapidly convert more than 140 foreign currencies.

 

Wise borderless account review.

 

A conversion charge is applied when money is converted from one currency to another. To check how much the fee is, use the pricing page.

When converting foreign currencies for overseas transactions, Wise matches the mid-market rate as closely as possible. Wise will provide the currency conversion rate on the first stage of a money transfer so that customers can compare the rate before proceeding. ‘

As a result of its commitment to complete openness, Wise has emerged as a market leader.

 

PAYPAL

Unlike Wise, which uses the mid-market range for currency conversion, PayPal depends on rates obtained from banks. This is not ideal in terms of currency exchange rates because most bank rates aren’t transparent, nor do they provide reasonable rates.

 

PayPal currency calculator option.

 

Additionally, a 2.5% fee is added on top of the rate that banks provide to PayPal. Banks and PayPal benefit from this, but consumers can pay a high price.

 

WINNER: Wise is an absolute winner in this aspect, and PayPal is well known for its high currency conversion rates.

 

Costs & Fees

When comparing different services, the various fees and costs are vital. Discovering which services are provided at no cost and which must be paid for is always good to know.

 

WISE

You don’t have to pay anything to get started with Wise. Wise uses mid-market exchange rates. It also applies transfer fees for each transfer transaction outside of Wise.

Depending on the currency you want your receiver to receive, what currency is being sent, and where you are located, the fees will be calculated based on various factors. There are no hidden costs at Wise, and they are always clear about them. You’ll be informed of the transfer costs in advance.

If you use your Wise card to make a transaction and the currency is one that you have on hand in your account, you will not be charged a fee.

If you don’t have enough money in the currency you wish to transfer, Wise will apply a conversion fee ranging from 0.24–3.69%.

The first 2 ATM withdrawals per month are free for up to £200/month (or currency equivalent).  After that, a fee will be charged according to where your Wise card was issued from.

That fee is usually 1.75%. If you pass the two free ATM withdrawals/month, there is a 50p/withdrawal fee (or currency equivalent). Visit their fee section for multi-currency accounts to learn more.

Depending on the currency being sent, the exchange rate is guaranteed for a period ranging from two to seventy-two hours. Wise will tell you how long your specific exchange rate is guaranteed when you set up the transfer. They’ll use the current live exchange rate if your money arrives after your guaranteed rate lock expires.

You can choose to be notified when the exchange rate hits a certain level that you specify. You can also sign up for daily updates on the currency exchange rate via email.

No matter how much money you transfer, you’ll always get the real exchange rate when using Wise. A monthly volume discount is available to those who send significant sums often.

 

PAYPAL

International transfer fees are determined by how the transfer is funded and where the money is sent. Sending money to family and friends in the United States and Canada is free. If you’re using a connected bank account or your PayPal account to transfer money to another country, you’ll be charged an extra 5% fee.

Using a debit, credit, or PayPal account to pay for your transfer incurs extra fees. Fees can range from 3.4 to 3.9% in some cases, depending on the currency chosen. Another small fixed fee may be charged on top of that, depending on the currency used.

Opening a PayPal account is completely free of charge. Using a bank account, PayPal account or a combination of both to receive money from individuals in the United States is also free.

PayPal can be used to make in-store or online purchases. You can be charged a transaction fee if you receive money from selling products or services, such as items on eBay or other comparable websites.

Fees are also applied to international payments sent to or received from third parties. Withdrawing funds to a bank account will also have a fee, and certain banks can add separate additional charges for PayPal withdrawals.

A reversed payment fee will be charged on any refunds given to customers. After PayPal keeps a predetermined charge, you receive the rest of your money. PayPal’s fee page contains further information on the various costs. You should check out that website since there are too many costs to include within this post.

 

WINNER: Wise is the clear winner here. PayPal has so many fees that it is hard to count them all.

 

Business Account

Having a business account is essential if you conduct business with other companies or own a business.

 

WISE

WiseBusiness account is free to open. Payments can be made using real-time currency rates from anywhere in the world. You can even use it to handle payroll, pay invoices and purchase inventory in more than 70 countries.

A business account can be used for many businesses, from major corporations to small businesses and freelancers.

 

Wise business account review.

 

Personal transfers are allowed in all countries in which Wise is legally allowed to do business. There may be various prohibitions or restrictions on certain business transfers. You can check the business transfer restrictions section page for additional details.

Wise business debit card can be used to make in-store and online purchases and pay business costs. Check in which countries is the Wise card for businesses currently available. You can have Wise business accounts for each company that you manage.

To receive international bank account details, there is a minor setup charge. This is a one-time fee. The charge cost is generally anything from 16 to 21 GBP (or currency equivalent). After the verification process is complete, you will receive bank account information. If Wise is unable to authenticate your company, the money will be returned.

A small fee is charged for currency conversions. You’ll be charged when you use your Wise debit card to purchase a currency other than the one you have in your account. The real exchange rate is always used when converting funds.

 

PAYPAL

You can use any PayPal account to send and receive money. Personal and business PayPal accounts are also supported.

Personal accounts are suggested for people who pay bills and shop online. They can be used to receive or send payments by individuals or casual sellers who want to receive payments for the items they sell or buy goods and services online.

 

PayPal business account features.

Paypal business account review.

 

Organizations working under a corporation or group name should get a business account. These accounts have more features, such as a customer service email.

PayPal Business accounts provide business owners with two options for processing payments. PayPal Pro and PayPal Standard.

You don’t have to pay fees to maintain a PayPal Payments Standard account. All means of payment are accepted, except the virtual terminal, fax, and telephone payments.

Simple PCI compliance functions, free support via phone, and other standard PayPal business account features are included.

Start-up enterprises and businesses looking for a simple way to collect payments on their website or e-commerce platform can consider this option. To complete their transactions, customers will be sent to PayPal’s website. Afterward, they will be returned to the company’s site.

PayPal Payments Pro is a more advanced option. It has all of the basic account features plus allows you to receive payments by the virtual terminal, phone, and fax.

It is also possible to manage checkout pages with a Payments Pro subscription. Those who desire to stand out from the rest of the pack will find this quite beneficial.

Customers can pay for their products without being redirected to PayPal’s website. This plan has a monthly maintenance cost of $30.

 

WINNER: It all depends on what business features you need. If you need a payment gateway for your business, then PayPal is a great choice. But if you need effective service to send and receive transfers, pay employees, and have IBAN for several currencies, then Wise is your pick.

 

Other Services

Besides mentioned features, each service offers some additional options.

 

WISE

Concerning transferring money between Wise accounts and bank accounts, Wise is your best choice because of its low fees. They’ve got a mobile app for iPhone and Android, allowing you to access your funds on the go. You can always check on the progress of a transfer and, if necessary, cancel it.

Wise offers an option which they call jars. Jars are a unique Wise feature that you can use to accumulate funds. In jars, you can put funds aside, and that balance is separate from your Wise account balances.

Money in jars cannot be used to pay direct debits and can’t be spent with your debit card.

Your Wise account can be integrated with FreeAgent, Quickbooks (check how to connect WooCommerce with Quickbooks), or Xero account (see WooCommerce Xero integration). It’s also compatible with Apple Pay and Google Pay.

Wise has the following:

  • Borderless Account: This account supports over 50 different currencies and comes with local bank accounts.
  • Debit card: This card makes purchasing simple, whether online or in physical stores. Additionally, you can use it to withdraw money straight from an ATM.

 

PAYPAL

PayPal offers various additional features:

  • PayPal Checkout –  This feature integrates with Smart Payout Buttons. You’ll add these buttons to your store to make it easier for customers to make purchases. Customers will not need to fill out lengthy order forms that ask for personal information.
  • Loans & Working Capital for Small Businesses – Companies can use this option to raise more capital for business expansion.
  • Marketing Solutions – Customers’ interactions with your checkout process, the amount of money they spend on your site, and the frequency they visit your store can all be checked thanks to this feature.
  • Social Media Selling –  In the absence of a website, you can use an integrated payment link on your Twitter, Facebook, and other social media profiles to sell items or services. In addition to using Instagram Shopping Tools, you can utilize your Instagram profile to sell products by enabling “Checkout on Facebook and Instagram.”
  • Pay in Installments – PayPal created it to compete with Klarna and other similar services. Using Pay in 4 enables consumers to spread the cost of goods into four interest-free payments.
  • Shipping Discounts –  When generating online shipping labels, you can use UPS discounts and USP Commercial base pricing.
  • Cryptocurrency Support –  Litecoin, Bitcoin, Bitcoin Cash, and Etherium are all available as payment options for users in the United States.
  • Q.R. Code Payments Accept In-store payments using Q.R. codes.
  • PayPal Here –  Mobile payment app for smartphones and tablets.
  • POS Work with PayPal POS partners to connect with your business.
  • Payflow Payment Gateway Easy to use payment gateway.
  • PayPal.me –  This is a comparable service to Venmo in terms of how it works. It can be used to send and receive payments from and to customers, friends, and family.
  • LoanBuilder –  PayPal has launched a new lending service where short-term loans are available.
  • Virtual Terminal – Accept payments over the phone where a browser window will let you enter key card numbers in the virtual terminal.

 

PayPal vs Wise Conclusion

As a currency management tool, Wise is ideal for frequent foreign travelers, freelancers, and small businesses in the United States, United Kingdom, Australia, and the European Economic Area (EEA).

For businesses that need a good and reliable payment gateway, PayPal will be the best choice.

As loyou’reyou’re making transactions in the same country, PayPal is an excellent option. It’s perfect for transferring money to loved ones and for making purchases.

International PayPal transactions can be costly. The transfer fees associated with currency exchanges are relatively high.

PayPal has a wide range of practical business features. It is capable of handling payment integrations and sending emails and invoices.

PayPal’s cost structure is convoluted and difficult to comprehend in contraWise’sWise’s percentage-based charge system.

For so long, PayPal has been the preferred method of accepting money. It still is, to a significant extent. But Wise is a significantly more cost-effective way to transfer mPayPal’syPal’s costs are much higher than those charged by Wise. Due to their lower fees and the fact that they use mid-market rates as a basis for their exchange rates, Wise is an excellent choice.

Use PayPal only if you need additional service options that it offers. For all other use cases, I recommend Wise.


DISCLOSURE: Posts may contain affiliate links. If you buy something through one of those links, I might get a small commission, without any extra cost to you. Read more about it here.

Leave a Comment

Your email address will not be published.

Follow on Social Media to keep up with latest content
Follow on Social Media for latest published content
Scroll to Top