Wise vs PayPal for India: Which is Better for International Payments [2025]

Wise and PayPal¹ both offer international transfers for Indian customers. They’re both well known and trusted providers which are specialists in their respective fields. Both Wise and PayPal have specific services in India, which can vary from the features and services offered elsewhere in the world. Neither support holding a balance in India for example, but both allow you to send or spend money overseas.

This guide walks through the features and services you can get with Wise and PayPal in India specifically, including international payments. We’ll look at each individually first, then side by side so you can compare your options based on the services you need.

Wise in India

Wise is a global provider which offers services including international payments and multi-currency accounts, to individuals and businesses in many countries and regions around the world. The exact features and services you get with Wise vary depending on where you’re based - we’ll look at what you can do with Wise in India, next.

Services Offered by Wise in India

You can use Wise to send money overseas from India, to bank accounts abroad, for education, travel, and medical expenses.

Once you have a verified Wise Account you can pay for your international transfer from your bank in INR, to deposit in the currency you need, in 2 to 4 working days in most cases. Currency conversion uses the mid-market rate, with low variable fees from 1.16%, depending on the country and currency you’re sending to.

If you have a business account, you can use Wise to receive business payments from abroad with local account details.

Eligible businesses can use Wise Business to get account details in major currencies, to receive incoming business payments conveniently. You’ll get an eFIRC (your Foreign Inward Remittance Certificate) sent to your email automatically, and could have your money in 90 minutes in business hours. If needed, currency conversion uses the mid-market rate, and Wise applies a low fee to cover the costs of converting your payment.

Foreigners and NRIs can also use Wise to send money to India from many countries and regions globally.

If you’re in a country which Wise operates in, you can create a Wise Account to send payments to a bank account in India, including NRE and NRO accounts, or to a UPI ID. You’ll pay Wise in your preferred currency - the currency in your country of residence for example - and Wise can convert your funds to INR for deposit in India, with the mid-market rate and low, transparent fees which depend on the currency being used.

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There are some limits on the amount of money you can send from abroad to Wise, which are based on whether the sender and the receiver are private individuals or business owners, and the method of payment selected. When you set up a payment into a bank account in India from abroad, you’ll be shown a delivery estimate before you confirm, with transfers typically taking 1 - 3 working days to arrive.

Is Wise Safe?

Wise is regulated in India and in many other countries and regions around the world. In India, Wise is approved by the Reserve Bank of India (RBI) for outward remittances from India, as outlined under FEMA.

Wise is a digital first provider which has also been built with customer safety in mind. If you send a payment with Wise, or use Wise to receive business payments, your money is protected by 24/7 automatic and manual checks and anti-fraud measures. Accounts are secured with industry level security features such as 2 factor authentication, so only the account owner can get access.

PayPal in India

PayPal is a global leader in ecommerce payment processing, and one of the pioneers in online shopping. PayPal operates more or less globally, but the exact services you can get do depend on the country you reside in. Let’s take a look at what you can do with PayPal in India.

Services Offered by PayPal in India

You can use PayPal in India to make payments abroad wherever PayPal is accepted².

PayPal is a global leader in digital payments and ecommerce. Millions of businesses globally accept PayPal as a means of payment, mainly for online transactions. If you have a PayPal account in India you can add your preferred bank or card information to your account, to pay using PayPal wherever you see the logo displayed at checkout of an ecommerce store.

If you have a business, you can use the PayPal online checkout solution to receive PayPal and credit card payments from abroad³.

Business owners in India can use PayPal’s solutions to get paid by customers conveniently using credit or debit cards, and local payment methods from around the world. You can embed PayPal’s checkout tools in your ecommerce store, or use a PayPal business account to get paid through invoices, links, QR codes and buttons which means you can use PayPal to accept payments even if you don’t have a website. PayPal also offers recurring payment services for businesses, so you can be paid for subscriptions and ongoing services more easily.

Foreigners and NRIs may be able to send money to India with Xoom - part of the PayPal family⁴.

Depending on where you call home, you may also be able to use PayPal’s company Xoom to send money to India, either to bank accounts or for other payment methods like cash collection. Xoom offers services to customers in the US, Canada, the UK, and most countries in the EEA, and allows you to send payments which can be tracked either through Xoom or through the PayPal app for convenience.

Learn more about how to use PayPal in India in our full guide.

Is PayPal Safe?

PayPal is a huge global business and is considered safe to use with normal common sense precautions. In India, PayPal operates under the regulations of the RBI, and PayPal is also overseen by many other similar bodies globally.

You can read all of the PayPal legal agreements - which vary depending on the type of account you have and how you use the services provided - online⁵.

Wise vs PayPal: Side by Side Comparison

If you’re still considering your options, this comparison of the main features of both PayPal vs Wise is here to help. We’ll walk through the major uses of each provider - sending money overseas, using business services, and sending money to India as a foreigner or NRI, so you can compare.

Wise vs PayPal: Sending Money Abroad From India

Thinking of using either Wise or PayPal to send a payment overseas or for shopping online? Here’s a quick comparison of key features and fees for the services available.

*Data correct at time of research - 26th March 2025

Whether Wise vs PayPal India wins for you might depend on what you’re looking to do. If you’re sending a payment overseas for education, travel, or medical expenses, Wise offers a fast, secure and low cost way to get your money where it needs to be. On the other hand, if you’re looking for a way to spend online with ecommerce merchants based abroad, PayPal can help. However, do watch out for the PayPal currency conversion fee which is 4% if you’re spending in a supported currency which you don’t already hold in your account.

Wise vs PayPal for Businesses: Receiving International Payments in India

If you’re thinking about Wise vs PayPal for your business, here are a few important factors to consider.

*Data correct at time of research - 26th March 2025

While PayPal and Wise both allow businesses to receive customer payments internationally, the way they work is a bit different.

With Wise your account comes with local and SWIFT account details you can add to PSPs and marketplaces, invoices and other customer communications, to receive foreign currency payments conveniently in several global currencies.

PayPal has a focus on ecommerce and offers ways to embed checkout tools in websites, as well as no code options like payment links and QR codes to get paid by card from your customers. Which is best for you might simply depend on your business type - but do remember that PayPal has a currency conversion fee of 3% or 4%, which pushes up your costs if you trade internationally.

Wise vs PayPal for Foreigners & NRIs: Sending Money to India

If you’re a foreigner or NRI sending money to India you can use Wise, or you can choose the PayPal sister service Xoom. The way Wise and Xoom work is quite different, so you’ll want to weigh up your options.

For example, while you can use Wise from most places globally, Xoom is only available to customers in the US, Canada, the UK, and most countries in the EEA. Both have their own transfer fees, which can vary based on the country and currency you’re sending from - so if you’re eligible to use both Wise and Xoom you may want to compare the quotes you get for your transfer with each.

Remember to also look at the exchange rate offered by Wise vs Xoom. Wise uses the mid-market rate, while Xoom will offer a marked-up rate which includes their costs and revenue. This means that with Xoom there’s a fee in the rate you’re quoted, which can be higher than the transfer fee, depending on the value of the payment, and the currencies involved. In some cases, Xoom will waive the transfer fee - but this doesn’t mean the payment is completely free. There are still likely to be exchange costs - so compare the amount your recipient will get in the end with both Wise vs Xoom, to see which is best for your specific payment.

Summary: Should you choose PayPal or Wise for India?

PayPal and Wise both offer some overlapping services in India, but they operate in different ways, and the services available aren’t quite the same. This means you’ll need to weigh up your options depending on the specific transaction types you need to make, to decide if Wise vs PayPal is right for your needs.

If you want to send a payment from India to a bank account, or to receive low cost business payments in foreign currencies, with low fees and mid-market rates, Wsie may suit you. Similarly, if you’re an NRI and need to send money to India, Wise serves residents in most countries globally, and can be a great pick.

PayPal may be right for you if you’re shopping online - or if you’re an ecommerce seller yourself and need ways to take customer card payments conveniently through your website or using no code alternatives.

Use this guide to compare Wise vs PayPal based on your needs, and pick the perfect match for your needs.