PayPal Business Price Comparison Research
Is your business using PayPal to pay or get paid internationally for goods and services? If so, you could save on average nearly 19x by opening a Wise Business account*. That’s according to independent research agency Alderson Consulting. The details of the research, including raw data, are available below.
Research methodology
The research was carried out between 6 Janaury 2021 and 14 January 2021 by market research agency, Alderson Consulting (AC), in partnership with Wise. The data was ascertained via a series of transfers carried out by AC and partners in the UK, the US, France, and Australia.
For each route, a business payment^ was made from one PayPal Business Services account to another.
The fees recorded for this price comparison were the upfront international money transfer fee, the markup added to the exchange rate+, and the recipient fee charged when a business received the international payment.
The date and time, rate offered, and fees to be charged were captured using the Transaction Confirmation provided by PayPal. Researchers then obtained a comparative quote from the Wise website in their home country+. Each transaction pair was undertaken on the same working day, less than 1 hour apart, to minimise any impact of market fluctuations. Rates were then compared to “to the minute” accurate mid-market rates provided by Refinitiv, formerly Reuters, to provide the retail margin information.
Research took place on 12 routes. Date and exact timestamps are provided.
- Route 1: Sending 2,000 AUD to EUR
- Route 2: Sending 2,000 AUD to GBP
- Route 3: Sending 2,000 AUD to USD
- Route 4: Sending 2,000 EUR to AUD
- Route 5: Sending 2,000 EUR to GBP
- Route 6: Sending 2,000 EUR to USD
- Route 7: Sending 2,000 GBP to AUD
- Route 8: Sending 2,000 GBP to EUR
- Route 9: Sending 2,000 GBP to USD
- Route 10: Sending 2,000 USD to AUD
- Route 11: Sending 2,000 USD to EUR
- Route 12: Sending 2,000 USD to GBP
*This was calculated by averaging all of the savings of each of the routes for both sending and receiving business payments. The calculation for savings of each route is: (sum PayPal sending fees) + (Wise recipient fee / PayPal exchange rate) / (sum Wise sending fees) + (Wise recipient fee / Wise rate)
^*PayPal Business Services is defined as sending/receiving funds that have been sent using the “paying for an item or service option.” All payments except for UK payments were funded by money loaded into the account; UK payments were funded by AC's bank account.
+*Wise uses the real, mid-market exchange rate. Since the PayPal and Wise research were done as close together as possible, there may be a few decimal point discrepancies in the exchange rate. The results reflect the specific date and time; individual experiences may vary and therefore, this research should be considered indicative. You can compare the rates offered by both brands prior to confirming your transaction.
Research and results
Sending AUD
Route 1: Sending 2,000 AUD to EUR
As part of the research, AC made a 2,000 AUD business payment from an Australian PayPal account to a French Euro PayPal account.
The cost to send with PayPal was 104.62 AUD. The cost to send with Wise was 18.85 AUD. Wise Business saved the sender 85.76 AUD, so it was 5x cheaper to make the payment from AUD to EUR with Wise Business.
PayPal charged the French business who received this payment a recipient fee of 59.79 EUR. Wise charged no recipient fee. The French business got an extra 61.03 EUR via Wise.
*Overall, Wise Business is 10.8x cheaper for sending and receiving AUD to EUR business payments compared PayPal. *
Here’s the raw data:
| Fees/cost | Wise Business | PayPal Business Services |
|---|---|---|
| Amount sending (AUD) | $A2,000 | $A2,000 |
| Exchange rate (14/01/21 12:20 Local Time) | $A1=€.6370 | $A1=€.6065 |
| Provider exchange rate markup (%) | -.46% | 5.23% |
| Provider exchange rate markup | A$9.26 | A$104.52 |
| Upfront, transparent fee | A$9.59 | A$0 |
| Total cost to send | A$18.85 | A$104.62 |
| Amount sent to recipient (EUR) | €1,274.07 | €1,213.05 |
| Recipient fees applied | €0 | €59.79 |
| Total recipient receives | €1,274.07 | €1,1053.26 |
Route 2: Sending 2,000 AUD to GBP
As part of the research, AC made a 2,000 AUD business payment from an Australian PayPal account to a UK PayPal account.
Wise saved the sender 84.28 AUD, so it was 8.3x cheaper to make the payment from AUD to GBP with Wise Business.
PayPal charged the UK business who received this payment a recipient fee of 56.28 GBP. Wise charged no recipient fee. Wise saved the business 56.28 GBP.
The UK business got an extra 53.36 GBP via Wise.
Overall, Wise Business is 16.9x cheaper for sending and receiving AUD to GBP business payments compared PayPal.
Here’s the raw data:
| Fees/cost | Wise Business | PayPal Business Services |
|---|---|---|
| Amount sending (AUD) | $A2,000 | $A2,000 |
| Exchange rate (14/01/21 12:16 Local Time) | $A1=£.56.78 | $A1=£.5411 |
| Provider exchange rate markup (%) | 0.1% | 4.79% |
| Provider exchange rate markup | A$1.91 | A$95.81 |
| Upfront, transparent fee | A$9.62 | A$0 |
| Total cost to send | A$11.53 | A$95.81 |
| Amount sent to recipient (GBP) | £1,135.51 | £1,082.15 |
| Recipient fees applied | £0 | £53.33 |
| Total recipient receives | £1,135.51 | £1,028.82 |
Route 3: Sending 2,000 AUD to USD
As part of the research, AC made a 2,000 AUD business payment from an Australian PayPal account to a US PayPal account.
The cost to send with PayPal was 94.12 AUD. The cost to send with Wise was 17.18 AUD. Wise saved the sender 76.94 AUD, so it was 5.5x cheaper to make the payment from AUD to USD with Wise Business.
PayPal charged the US business who received this payment a recipient fee of 65.53 USD. Wise charged no recipient fee. *Wise saved the business 65.53 USD.
The total amount that arrived at the US business via PayPal was 1,482.40 USD. Via Wise the amount was 1,550.20 USD. The US business got an extra 167.80 USD via Wise Business.
Overall, Wise Business is nearly 11x cheaper for sending and receiving AUD to USD business payments compared PayPal.
Here’s the raw data:
| Fees/cost | Wise Business | PayPal Business Services |
|---|---|---|
| Amount sending (AUD) | $A2,000 | $A2,000 |
| Exchange rate (14/01/21 12:21 Local Time) | $A1=$.7751 | $A1=$.7412 |
| Provider exchange rate markup (%) | .33% | 4.71% |
| Provider exchange rate markup | A$6.69 | A$94.12 |
| Upfront, transparent fee | A$10.49 | A$0 |
| Total cost to send | A$17.18 | A$94.12 |
| Amount sent to recipient (USD) | $1,550.10 | $1,482.40 |
| Recipient fees applied | $0 | $65.53 |
| Total recipient receives | $1,550.10 | $1,416.87 |
Sending EUR
Route 4: Sending 2,000 EUR to AUD
As part of the research, AC made a 2,000 EUR business payment from a French PayPal account to a Australian PayPal account.
The cost to send with PayPal was 81.35 EUR. The cost to send with Wise was 8.60 EUR. Wise saved the sender 72.75 EUR, so it was 9.5x cheaper to make the payment from EUR to AUD with Wise Business.
PayPal charged the Australian business who received this payment a recipient fee of 108.13 AUD. Wise charged no recipient fee. Wise saved the business 108.13 AUD.
The total amount that arrived at the Australian business via PayPal was 2,995.37 AUD. Via Wise the amount was 3,122.68 AUD. The Australian business got an extra 127.31 AUD via Wise.
Overall, Wise Business is 18x cheaper for sending and receiving EUR to AUD business payments compared PayPal.
Here’s the raw data:
| Fees/cost | Wise Business | PayPal Business Services |
|---|---|---|
| Amount sending (EUR) | €2,000 | €2,000 |
| Exchange rate (14/01/21 919:42 Local Time) | €1=A$1.5613 | €1=A$1.4977 |
| Provider exchange rate markup (%) | 0% | 4.07% |
| Provider exchange rate markup | €-0.05 | €81.35 |
| Upfront, transparent fee | €8.65 | €0 |
| Total cost to send | €8.60 | €81.35 |
| Amount sent to recipient (AUD) | A$3,122.68 | A$2,995.37 |
| Recipient fees applied | A$0 | A$108.13 |
| Total recipient receives | A$3,122.68 | A$2,887.24 |
Route 5: Sending 2,000 EUR to GBP
As part of the research, AC made a 2,000 EUR business payment from a French PayPal account to a UK PayPal account.
The cost to send with PayPal was 82.31 EUR. The cost to send with Wise was 8.66 EUR. Wise saved the sender 73.76 EUR, so it was nearly 10x cheaper to make the payment from EUR to GBP with Wise Business.
PayPal charged the UK business who received this payment a recipient fee of 58.28 GBP. Wise charged no recipient fee. Wise saved the business 58.28 GBP.
The total amount that arrived at the UK business via PayPal was 1,705.34 GBP. Via Wise the amount was 1,778.50 GBP. The UK business got an extra 73.16 GBP via Wise.
Overall, Wise Business is 17.6x cheaper for sending and receiving EUR to GBP business payments compared PayPal.
Here’s the raw data:
| Fees/cost | Wise Business | PayPal Business Services |
|---|---|---|
| Amount sending (EUR) | €2,000 | €2,000 |
| Exchange rate (14/01/21 19:37 Local Time) | €1=£0.8893 | €1=£.8527 |
| Provider exchange rate markup (%) | -.01% | 4.12% |
| Provider exchange rate markup | -€0.11 | €82.31 |
| Upfront, transparent fee | €8.66 | €0 |
| Total cost to send | €8.55 | €82.31 |
| Amount sent to recipient (GBP) | £1,778.50 | £1,705.34 |
| Recipient fees applied | £0 | £73.16 |
| Total recipient receives | £1,778.50 | £1,647.06 |
Route 6: Sending 1,500 EUR to USD
As part of the research, AC made a 1,500 EUR business payment from a French PayPal account to a US PayPal account.
The cost to send with PayPal was 61.00 EUR. The cost to send with Wise was 7.12 EUR. Wise saved the sender 53.88 EUR, so it was 8.6x cheaper to make the payment from EUR to USD with Wise Business.
PayPal charged the US business who received this payment a recipient fee of 77.21 USD. Wise charged no recipient fee. Wise saved the business 77.21 USD.
The total amount that arrived at the US business via PayPal was 1,748.00 USD. Via Wise the amount was 1,822.43 USD. The US business got an extra 74.43 USD via Wise.
Overall, Wise Business is 17.9x cheaper for sending and receiving EUR to USD business payments compared PayPal.
Here’s the raw data:
| Fees/cost | Wise Business | PayPal Business Services |
|---|---|---|
| Amount sending (EUR) | €2,000 | €2,000 |
| Exchange rate (14/01/21 20:01 Local Time) | €1=$1.2150 | €1=$1.1653 |
| Provider exchange rate markup (%) | 0.00% | 4.07% |
| Provider exchange rate markup | -€0.06 | €61.00 |
| Upfront, transparent fee | €7.18 | €0 |
| Total cost to send | €7.12 | €61.00 |
| Amount sent to recipient (USD) | $1,822.43 | $1,748.00 |
| Recipient fees applied | $0 | $77.21 |
| Total recipient receives | $1,822.00 | $1,670.79 |
Sending GBP
Route 7: Sending 2,000 GBP to AUD
As part of the research, AC made a 2,000 GBP business payment from a UK PayPal account to an Australian PayPal account.
The cost to send with PayPal was 85.05 GBP. Wise's fee was 6.88 GBP. Wise saved the sender 101.75 GBP, so it was 12.4x cheaper to make the payment from GBP to AUD with Wise Business.
PayPal charged the Australian business who received this payment a recipient fee of 50.00 AUD. Wise charged no recipient fee. Wise saved the business 50.00 AUD.
The total amount that arrived at the Australian business via PayPal was 3,311.48 AUD. Via Wise the amount was 3,461.49. The Australian business got an extra 150.01 AUD via Wise.
Overall, Wise Business is 16.7x cheaper for sending and receiving GBP to AUD business payments compared PayPal.
Here’s the raw data:
| Fees/cost | Wise Business | PayPal Business Services |
|---|---|---|
| Amount sending (GBP) | £2,000 | £2,000 |
| Exchange rate (06/01/21 11:38 Local Time) | £1=A$1.7490 | £1=$1.6732 |
| Provider exchange rate markup (%) | -0.01% | 4.30% |
| Provider exchange rate markup | -£0.29 | £85.05 |
| Upfront, transparent fee | £7.17 | £0 |
| Total cost to send | £6.88 | £85.05 |
| Amount sent to recipient (AUD) | A$3,461.492 | A$3,311.48 |
| Recipient fees applied | A$0 | A$50.00 |
| Total recipient receives | A$3,461.49 | A$3,261.48 |
Route 8: Sending 2,000 GBP to EUR
As part of the research, AC made a 2,000 GBP business payment from a UK PayPal account to a French PayPal account.
The cost to send with PayPal was 84.76 GBP. The cost to send with Wise was 7.81 GBP. Wise saved the sender 76.95 GBP, so it was 10.9x cheaper to make the payment from GBP to EUR with Wise Business.
PayPal charged the French business who received this payment a recipient fee of 61.85 EUR. Wise charged no recipient fee. Wise saved the business 91.42 EUR.
The total amount that arrived at the French business via PayPal was 2,120.84 EUR. Via Wise the amount was 2,212.26 EUR. The French business got an extra 91.42 EUR via Wise.
Overall, Wise Business is 18.3x cheaper for sending and receiving GBP to EUR business payments compared PayPal.
Here’s the raw data:
| Fees/cost | Wise Business | PayPal Business Services |
|---|---|---|
| Amount sending (GBP) | £2,000 | £2,000 |
| Exchange rate (06/01/21 11:37 Local Time) | £1=€1.1061 | £1=€1.0604 |
| Provider exchange rate markup (%) | 0.03% | 4.24% |
| Provider exchange rate markup | £0.58 | £84.76 |
| Upfront, transparent fee | £7.23 | £0 |
| Total cost to send | £7.81 | £84.76 |
| Amount sent to recipient (EUR) | €2,212.26 | €2,120.84 |
| Recipient fees applied | €0 | €61.85 |
| Total recipient receives | €2,212.26 | €2,058.99 |
Route 9: Sending 2,000 GBP to USD
As part of the research, AC made a 1,979.17 GBP business payment from a UK PayPal account to a US PayPal account.
The cost to send with PayPal was 95.18 GBP. The cost to send with Wise was 7.73 GBP. Wise saved the sender 87.45 GBP, so it was 12.3x cheaper to make the payment from GBP to USD with Wise Business.
PayPal charged the UK business who received this payment a recipient fee of 113.61 USD. Wise charged no recipient fee. Wise saved the business 113.61 USD.
The total amount that arrived at the UK business via PayPal was 2,575.22 USD. Via Wise the amount was 2,703.35 USD. The US business got an extra 128.03 USD via Wise.
Overall, Wise Business is 23.6x cheaper for sending and receiving GBP to USD business payments compared PayPal.
Here’s the raw data:
| Fees/cost | Wise Business | PayPal Business Services |
|---|---|---|
| Amount sending (GBP) | £2,000 | £2,000 |
| Exchange rate (06/01/21 11:38 Local Time) | £1=$1.13659 | £1=$1.3012 |
| Provider exchange rate markup (%) | 0.00% | 4.81% |
| Provider exchange rate markup | £0.07 | £95.18 |
| Upfront, transparent fee | £7.66 | £0 |
| Total cost to send | £7.73 | £95.18 |
| Amount sent to recipient (USD) | $2,703.25 | $2,575.22 |
| Recipient fees applied | $0 | $113.61 |
| Total recipient receives | $2,703.25 | $2,461.61 |
Sending USD
Route 10: Sending 2,000 USD to AUD
As part of the research, AC made a 2,000 USD business payment from a US PayPal account to an Australian PayPal account.
The cost to send with PayPal was 91.13 USD. The cost to send with Wise was 14.95 USD. Wise saved the sender 76.18 USD, so it was 6.1x cheaper to make the payment from USD to AUD with Wise Business.
PayPal charged the Australian business who received this payment a recipient fee of 89.18 AUD. Wise charged no recipient fee. Wise saved the business 89.18 AUD.
The total amount that arrived at the Australian business via PayPal was 2,468.93 AUD. Via Wise the amount was 2,585.98 AUD. The Australian business got an extra 117.05 AUD via Wise.
Overall, Wise Business is 10.9x cheaper for sending and receiving USD to AUD business payments compared PayPal.
Here’s the raw data:
| Fees/cost | Wise Business | PayPal Business Services |
|---|---|---|
| Amount sending (USD) | $2,000 | $2,000 |
| Exchange rate (13/01/21 8:08 Local Time) | $1=A$1.2930 | $1=A$1.2345 |
| Provider exchange rate markup (%) | 0.01% | 4.56% |
| Provider exchange rate markup | $0.17 | $91.13 |
| Upfront, transparent fee | $14.78 | $0 |
| Total cost to send | $14.95 | $91.13 |
| Amount sent to recipient (AUD) | A$2,585.98 | A$2,468.93 |
| Recipient fees applied | A$0 | A$89.18 |
| Total recipient receives | A$2,585.98 | A$2,379.75 |
Route 11: Sending 2,000 USD to EUR
As part of the research, AC made a 2,000 USD business payment from a US PayPal account to a French PayPal account.
The cost to send with PayPal was 88.05 USD. Wise's fee was 15.26 USD. Wise saved the sender 72.80, so it was 5.8x cheaper to make the payment from USD to EUR with Wise Business.
PayPal charged the French business who received this payment a recipient fee of 77.41 EUR. Wise charged no recipient fee. Wise saved the business 77.41 EUR.
The total amount that arrived at the French business via PayPal was 1,644.90 EUR. Via Wise the amount was 1,644.90 EUR. The French business got an extra 72.23 EUR via Wise.
Overall, Wise Business is 12.2 cheaper for sending and receiving USD to EUR business payments compared PayPal.
Here’s the raw data:
| Fees/cost | Wise Business | PayPal Business Services |
|---|---|---|
| Amount sending (USD) | $2,000 | $2,000 |
| Exchange rate (13/01/21 9:18 Local Time) | $1=€.8225 | $1=€.7863 |
| Provider exchange rate markup (%) | 0.02% | 4.40% |
| Provider exchange rate markup | $0.49 | $88.05 |
| Upfront, transparent fee | $14.77 | $0 |
| Total cost to send | $15.26 | $88.05 |
| Amount sent to recipient (EUR) | €1,644.90 | €1,572.67 |
| Recipient fees applied | €0 | €77.41 |
| Total recipient receives | €1,644.90 | €1,495.26 |
Route 12: Sending 2,000 USD to GBP
As part of the research, AC made a 2,000 USD business payment from a US PayPal account to a UK PayPal account.
The cost to send with PayPal was 83.41 USD. The cost to send with Wise was 15.23 USD. Wise saved the sender 68.18 USD, so it was 5.5x cheaper to make the payment from USD to GBP with Wise Business.
PayPal charged the UK business who received this payment a recipient fee of 69.13 GBP. Wise charged no recipient fee. Wise saved the business 69.13 GBP.
The total amount that arrived at the UK business via PayPal was 1,404.67 GBP. Via Wise the amount was 1,463.38 GBP. The UK business got an extra 58.71 GBP via Wise.
Overall, Wise Business is 11.9x cheaper for sending and receiving USD to GBP business payments compared PayPal.
Here’s the raw data:
| Fees/cost | Wise Business | PayPal Business Services |
|---|---|---|
| Amount sending (USD) | $2,000 | $2,000 |
| Exchange rate (13/01/21 8:27 Local Time) | $1=£0.7317 | $1=£0.7023 |
| Provider exchange rate markup (%) | 0.02% | 4.17% |
| Provider exchange rate markup | $0.44 | $83.41 |
| Upfront, transparent fee | $14.79 | $0 |
| Total cost to send | $15.23 | $83.41 |
| Amount sent to recipient (GBP) | £1,463.38 | £1,404.67 |
| Recipient fees applied | £0 | £69.13 |
| Total recipient receives | £1,463.38 | £1,335.54 |
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