The original online payment system, still everywhere
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28423 reviews trackedThe Bottom Line
Entry price
Paid plans only
Biggest pro
Ubiquitous brand recognition and consumer trust worldwide
Biggest con
Transaction fees of 2.29-4.99% plus fixed fee add up for high-volume sellers
TL;DR - PayPal
- Global digital payments platform for online checkout, in-person POS, and peer-to-peer transfers
- Transaction fees range from 2.29% + $0.09 (in-person) to 3.49% + $0.49 (online PayPal payments)
- No monthly subscription required, pay only per transaction with volume discounts available
Pricing: pay_per_use
Best for: Enterprises & pros
4.5/5 across review platforms
What is PayPal?
PayPal is a global digital payments platform that enables individuals and businesses to send, receive, and accept money online and in person. It supports credit and debit card processing, bank transfers, peer-to-peer payments, invoicing, and buy-now-pay-later options across 200+ markets. Businesses use PayPal Checkout to accept payments on websites and apps, while the point-of-sale system handles in-person transactions via card readers and tap-to-pay. With buyer and seller protection programs, fraud monitoring, and integrations with major e-commerce platforms, PayPal serves everyone from freelancers to enterprise merchants processing millions in transactions.
Available on: Web
Pros & Cons
Pros
- Ubiquitous brand recognition and consumer trust worldwide
- No monthly fee for standard payment processing
- Comprehensive buyer and seller protection programs
- Supports online, in-person, and peer-to-peer payments in one platform
- Easy integration with major e-commerce platforms like Shopify and WooCommerce
- Free tap-to-pay via mobile app eliminates hardware costs
Cons
- Transaction fees of 2.29-4.99% plus fixed fee add up for high-volume sellers
- Account holds and freezes can disrupt cash flow without warning
- Customer support can be slow for dispute resolution
- Currency conversion fees apply on international transactions
- Chargeback process often favors buyers over sellers
Ratings Across the Web
4.5(28,423 reviews)
Ratings aggregated from independent review platforms. Learn more
Key Features
Online checkout with credit/debit card and PayPal balance supportPoint-of-sale with card readers, terminals, and tap-to-payPeer-to-peer money transfers domestically and internationallyBuy Now Pay Later with installment payment optionsInvoicing with automatic payment remindersVenmo integration for social commerceVirtual terminal for phone and mail ordersFraud protection and dispute resolution for buyers and sellersMulti-currency support across 200+ marketsDeveloper APIs and e-commerce platform integrations
Pricing
Paid
Reviews
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4.5/5
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Best PayPal Alternatives
Top alternatives based on features, pricing, and user needs.
StripePaid
Payment infrastructure for the internet
SquareFreemium
Payment processing and POS systems
PayoneerPaid
Global payment solutions for businesses, freelancers, and marketplaces to pay, get paid, and grow globally.
PaddlePaid
Payments infrastructure for SaaS
AdyenPaid
Accept global payments with unified commerce
GumroadPaid
Sell digital products directly to fans, no upfront costs
WiseFreemium
International money transfers and accounts
Still deciding?
Most buyers shortlist 2 or 3 tools before committing. Pull a side-by-side comparison or browse the full alternatives shortlist below.
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PayPal FAQ
How does PayPal facilitate online sales for businesses?
PayPal enables businesses to accept payments on their websites and apps through PayPal Checkout. It integrates with major e-commerce platforms such as Shopify and WooCommerce, supporting credit and debit card processing, bank transfers, and buy-now-pay-later options.
How does PayPal compare to Stripe for payment processing?
PayPal offers comprehensive buyer and seller protection programs and supports online, in-person, and peer-to-peer payments on one platform, similar to Stripe. However, PayPal's transaction fees of 2.29-4.99% plus a fixed fee can be a consideration for high-volume sellers.
What are the main trade-offs when using PayPal for business transactions?
A primary trade-off is that transaction fees, ranging from 2.29-4.99% plus a fixed fee, can accumulate for businesses with high sales volumes. Additionally, currency conversion fees apply to international transactions, and account holds or freezes may disrupt cash flow.
Which teams would benefit most from using PayPal?
Teams involved in e-commerce, finance, and invoicing, from freelancers to enterprise merchants, would benefit from PayPal's platform. Its support for online, in-person, and peer-to-peer payments, along with integrations for major e-commerce platforms, makes it suitable for diverse business needs.
How is PayPal priced for users and businesses?
PayPal is available on both free and paid plans, with no monthly fee for standard payment processing. Transaction fees apply to sales, and currency conversion fees are incurred for international transactions.
Can PayPal be used for in-person transactions?
Yes, PayPal supports in-person transactions through its point-of-sale system. Businesses can use card readers and tap-to-pay functionality, with free tap-to-pay available via the mobile app, eliminating hardware costs.
Does PayPal offer protection for both buyers and sellers?
Yes, PayPal includes comprehensive buyer and seller protection programs. These programs are designed to safeguard transactions, although the chargeback process may sometimes favor buyers.
Source: paypal.com