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PayPal vs Stripe

Updated 2026-09-03

Stripe is a payments platform with 2.9% + $0.30 per domestic card transaction, no monthly fees (free to start); PayPal charges 2.99% + $0.49 for card Checkout or 3.49% + $0.49 for PayPal/Venmo, also with no monthly fees. Stripe for developer-first integrations and global coverage; PayPal for consumer trust and Venmo ecosystem.

PricingPayPalStripe
Pricing2.99 USD2.9 USD
Free tierYesYes
PlatformsWeb, iOS, AndroidWeb, API/SDKs, iOS, Android

PayPal — Pros

  • No setup or monthly fees — pay 2.99% + $0.49 per US card transaction, 3.49% + $0.49 for PayPal/Venmo
  • Trusted global brand with 400M+ accounts and built-in buyer protection
  • Checkout, Invoicing, Pay Later and Subscriptions out of the box

Stripe — Pros

  • Pay-as-you-go: 2.9% + $0.30 per successful domestic card transaction, no setup or monthly fees
  • 100+ payment methods, global coverage and built-in fraud prevention (Radar)
  • Prebuilt Checkout, Payment Links and SDKs in every major language

PayPal — Cons

  • Per-transaction fees are higher than interchange-plus processors at volume
  • Chargeback/dispute fee applies ($15, varies by region)
  • Payouts and currency conversion carry additional fixed and percentage costs

Stripe — Cons

  • Per-transaction fees add up at high volume vs negotiated/IC+ pricing
  • International cards add +1.5% and currency conversion +1%
  • Advanced features (Billing, Tax, Connect) are separate paid products

Read the full reviews

FAQ

Is PayPal cheaper than Stripe?

PayPal starts at 2.99 USD (checked 2026-09-03); Stripe starts at 2.9 USD (checked 2026-09-03). Check the current pricing page for the latest tiers.

Do PayPal and Stripe have a free plan?

Both PayPal and Stripe offer — see the comparison table above.

What platforms does PayPal vs Stripe support?

PayPal is available on Web, iOS, Android. Stripe is available on Web, API/SDKs, iOS, Android.

Are PayPal and Stripe in the same category?

Yes. Both PayPal and Stripe are classified as cloud tools.

Alternatives