Looking to tap into the global economy with a multi-currency payment gateway? In this article, we go through multi-currency payment processing, conversion, etc.
PayPal and Payoneer are two payment processors servicing millions of customers globally. But which one is best for your business? And is one better suited to facilitating international transactions?
In this PayPal vs Payoneer comparison, their main features will be put side-to-side, so you can decide the one that’s best for you.
|Table of Contents
Here’s a quick-fire comparison of PayPal vs Payoneer, before we go into the details.
|Send money fee
|Receive money fee
Payoneer can be used instead of PayPal to send and receive payments. Both providers share similar functions. They allow you to get paid, as well as send payments to clients, domestically and internationally.
With Payoneer, you can also receive international payments using local account details in a wide range of currencies.
Founded in 2005, Payoneer is a payment processor that facilitates international and domestic transactions.⁶ It’s supported by many leading digital brands such as Airbnb and Google.⁷
Likewise, PayPal is a payment gateway and processor that supports millions of users worldwide. It’s one of the world’s most used digital brands, being around since 1998.
Let’s take a closer look at PayPal vs Payoneer features.
With Payoneer, transfers take between 2-5 business days to arrive in your account, with transfers within the US taking on average 2-3 business days.⁸
In contrast, PayPal allows you to make instant transfers for a fee of 1.75%, transferring your funds within minutes. For standard transfers, the waiting time is between 1-3 business days.⁹
Both Payoneer and PayPal follow strict security practices.
Payoneer supports over 4 million customers worldwide, and is trusted by leading digital companies from Upwork to Amazon. It’s PCI Data Security Standard level 1 certified, as well as SOC 2 Type II and SOC 1 Type II. This means Payoneer has high standards of cybersecurity, tested and verified by external, industry leading auditors.⁷
Additionally, Payoneer uses a multilayered approach to tackle account-take-over (ATO) prevention and detection. From 2-step verification and CAPTCHA requests, to behaviour profiling, Payonner invests in its customers' security.¹⁰
As of 2022, PayPal supports over 426 million users.¹¹ It’s PCI compliant, and holds a range of other regulatory certifications.¹²
What makes PayPal stand out is its Seller Protection feature. If your customer claims they never received their product, then PayPal can help you get your payment.¹³
In addition, PayPal uses end-to-end encryption, two-factor authentication and fraud prevention technology to secure your account.¹³
Payoneer and PayPal both offer their users a business debit Mastercard.
The Payoneer business debit card can be used for any transaction where Mastercard is accepted. It also allows you to withdraw cash from ATMs anywhere in the world. It has a daily limit of $200,000 USD and no monthly maximum, and is available both in virtual and physical form.¹⁴
The Payoneer debit Mastercard comes with an annual fee of $29.95 USD.²
Just like with Payoneer, the PayPal business debit Mastercard can be used anywhere Mastercard is accepted. It’s also available in digital format.
You can configure your PayPal debit card for recurring payments, and order up to four debit cards. There are no monthly fees, or minimum balance required.¹⁵
Your PayPal debit Mastercard has a daily withdrawal limit of $400 USD, and a spending limit of $3,000 USD.¹⁶
You can also earn unlimited cashback on certain purchases, as well as receive up to 20% in rebates at over 50,000+ businesses.¹⁵
The ability to make batch payments saves you time when paying multiple users.
Payoneer currently allows you to make batch payments only within the US and to pay with your bank details.¹⁷
With Payonner, you can send up to 200 payments in one batch.¹⁸
PayPal offers batch payments with its Payouts function. You can make up to 15,000 payments in one batch, in 24 different currencies, and send to a total of 156 countries.¹⁹
|💡 Need an international batch payments solution? Take a look at Wise Business - A stress free way make multiple international transfers with just one payment.
Payoneer has a dedicated online customer support center with a range of FAQ-based articles. It also has a community forum, connecting users to help solve each other’s queries. On top of this, Payoneer customer support teams can be reached via phone, post and email.²⁰ ²¹ ²²
PayPal has its own help center with many articles on common issues. It also has a dedicated resolution center for dealing with transaction and account issues, as well as a community forum. Customer support agents can be reached via online chats, email and phone.²³
PayPal vs Payoneer fees and their structures are quite different, and crucial to understand. Let’s now take a look at PayPal vs Payoneer charges.
Despite its lack of start up or monthly fees, PayPal’s fee system can be complex.
Here’s a quick overview of the main fees when sending and receiving domestically and internationally. For many transactions, a fixed fee is applied which varies depending on the currency received.¹
|2.99% for goods and services
|Standard domestic fee (including fixed fee)+ 1.5% + currency conversion fee¹
For the most part, Payoneer is relatively fee-free. Here’s a quick summary of Payoneer vs PayPal fees.
|$29.95 USD (only paid when your account is inactive for more than 12 months)
|Free to receive using local bank account details for available currencies
Currency conversion fees apply for certain currencies²
At the time of the transaction, Payoneer uses wholesale currency market rates from various financial institutions to determine its exchange rate.²⁴
PayPal, on the other hand, receives a wholesale rate quote twice per day from its bank, and then adds its own percentage fee to this. PayPal’s exchange rate can be found in your PayPal wallet.²⁵
With Payoneer, either a conversion fee or a cross border fee will be applied, as well as additional Mastercard fees when making purchases.²⁶
With PayPal, the conversion fee, plus the standard domestic fee, fixed fee and cross border fee will be applied when sending and receiving international payments.¹
|PayPal Conversion fee
|Payoneer Conversion fee
|3-4% (depending on transaction type)²⁷
|0.5-3.5% fee²⁴ ²
Now that all of their key features have been examined, let’s look at PayPal vs Payoneer payment pros and cons.
Here’s a quick overview of the PayPal vs Payoneer pros.
And now here’s an overview of PayPal vs Payoneer cons.
Payoneer and PayPal are well-suited to facilitating international transactions. But if you’re looking to expand your business internationally, then Wise can help you.
With Wise, you could save up to 19x compared to using PayPal when sending business payments. You can also use 10 major local account details to get paid like a local with no PayPal cross border fees to worry about.
You’ll always get access to the mid-market exchange rate, with no hidden fees when you convert your money.
There are no monthly subscription fees, and you have access to a host of tools to help manage your business finances.
- Fees | Merchant and Business | PayPal US
- Low fees and no hidden costs when you work with Payoneer
- PayPal Global - All countries and markets
- Get paid in multiple currencies with local receiving accounts - Payoneer
- Supported currencies - Payouts
- About Us - Payoneer
- Payoneer's Security Center
- Withdraw payments to your local bank account - Payoneer
- Instant money Transfer | Transfer Money | PayPal CA
- Securing Your Payoneer Account: Everything You Need to Know
- PayPal Revenue and Usage Statistics (2022) - Business of Apps
- Simplified PCI Compliance with PayPal Payments
- PayPal Security for Buyers and Sellers
- Payoneer Commercial Mastercard® cards
- PayPal Business Debit MasterCard
- PayPal debit card - limits
- How to Create and Send a Batch Payment - Payoneer Blog
- Batch payments to multiple recipient bank accounts - FAQ
- PayPal Payouts | Send Mass Payments | PayPal US
- Payoneer Community Forum
- Customer Assistance, Complaints and Disclosures Policies
- PayPal Contact Us
- Everything You Need to Know About Conversion Rates
- Where can I find PayPal's currency calculator and exchange rates?
- What Is the Currency Conversion/Cross Border Fee?
- Fees | Merchant and Business | PayPal US
All sources checked November 28. 2022.
This publication is provided for general information purposes and does not constitute legal, tax or other professional advice from Wise Payments Limited or its subsidiaries and its affiliates, and it is not intended as a substitute for obtaining advice from a financial advisor or any other professional.
We make no representations, warranties or guarantees, whether expressed or implied, that the content in the publication is accurate, complete or up to date.
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