Wise vs Payoneer vs PayPal: 2024 Comparison
Wise and Payoneer and PayPal all offer business services, including multi-currency accounts and cards, here in the US. But which is best?
This Wise vs Payoneer vs PayPal review covers all you need to know including a comparison of fees and features side by side. We’ll look at the key business services you’re likely to need such as ways to get paid, international transfers, accounts, and cards.
Summary: Wise and Payoneer and PayPal offer some overlapping services but are quite different in focus. Which is best for you depends on your specific business needs:
- Wise is a specialist in international transfers and low cost currency conversion,
- Payoneer focuses on ecommerce and digital business customers,
- PayPal has accounts with global brand recognition and trust.
Wise vs Payoneer vs Paypal: Side by side comparison
Before we get into the full detail of our Wise vs Payoneer vs Paypal review, let’s take a look at some side by side comparisons to start us off.
| Feature | Wise | Payoneer | PayPal |
|---|---|---|---|
| Eligibility | Personal and business customers in the US and many other countries | Business owners and freelancers in the US and many other countries | Personal and business customers in the US and many other countries |
| Send payments to | 160+ countries, 40+ currencies | Broad range of supported countries and currencies | PayPal accounts in 200+ countries and territories |
| Multi-currency accounts | Available to hold 40+ currencies | Available to manage 9 currencies | Available to hold 20+ currencies |
| Local account details | Available for 10 currencies | Available for 9 currencies | N |
| Take credit card payments | N | Y | Y |
| Debit and expense cards available | Y | Y | Y |
| Batch payments | Y | Y | Y |
| Fully licensed and regulated | Y | Y | Y |
| Working capital available | N | Y | Y |
So, to summarize:
- Wise and PayPal offer services to personal and business customers, Payoneer is for business customers only
- Wise has a multi-currency account and cards to support 40+ currencies – Payoneer accounts support 9 currencies, PayPal accounts support 20+ currencies
- Wise accounts come with account details to get paid in a selection of currencies, Payoneer offers 9 different currency account details, PayPal accounts don’t have local details but can receive payments in select currencies
- Payoneer and PayPal have specific ways to receive customer payments using a credit card, Wise does not
- Payoneer and PayPal have working capital loans on offer to customers, Wise does not
- All 3 providers are fully regulated and safe to use
| Questions | Answers |
|---|---|
| Is Payoneer better than PayPal? | Both Payoneer and PayPal are great services for businesses which allow you to receive customer payments digitally.
|
| Is Wise better than PayPal? | Wise and PayPal have different focus areas, although both provide personal and business accounts.
|
| Is Payoneer or Wise better? |
|
The important bits: Which is better?
| Wise | Payoneer | PayPal | |
|---|---|---|---|
| Rates | Mid-market exchange rate with no markup | Wholesale rate + 0.5% currency conversion charge | Exchange rate includes a markup of up to 4% |
| Transfer fees | Low fees, varies by destination – from 0.33% | Flat fees on some USD, EUR and GBP transfers Up to 3% of the transaction amount for other currencies | Various fees, depending on the way you transfer |
| Speed | More than 50% of payments are instant, 90% arrive in 24 hours | 1 – 2 business days when sending to a bank account | Can be instant to other PayPal accounts |
| Service | Online, in app and by phone | Online, in app and by phone | Online, in app and by phone |
| Safety | Fully regulated and licensed | Fully regulated and licensed | Fully regulated and licensed |
| Reviews (TrustPilot) | Trustpilot score: 4.3/5, Excellent rating, from 230,000+ reviews | Trustpilot score: 3.8/5, Great rating, from 58,000+ reviews | Trustpilot score: 1.3/5, Bad rating, from 31,000+ reviews |
Rates: Wise uses the mid-market rate, Payoneer charges 0.5% for currency conversion, PayPal has a markup of up to 4%
Fees: All providers have variable fees for international transfer which are based on the destination country and payment type
Speed: Wise payments can be instant, with 90% arriving in 24 hours. Payoneer transfers usually take 1 – 2 business days when sending to a bank account. PayPal transfers to other PayPal accounts are often instant
Service: All providers offer multilingual service in a range of languages, online, in-app and by phone
Safety: All providers are fully licensed and regulated.
Reviews: On Trustpilot, Wise gets an Excellent rating, Payoneer scores a Great rating, PayPal gets a Bad rating – Wise has far more ratings registered than the other providers
Pros and cons
| Wise | Payoneer | PayPal |
|---|---|---|
| ✅ Very good selection of supported currencies ✅ Mid-market exchange rates✅ No ongoing fees or minimum balance requirements ✅ Local receiving accounts to get paid by others, for low or no fee ✅ Debit and expense cards available | ✅No fee to open your account ✅ Broad range of payment services available ✅ Some flat rate transfers which can be cheap ✅ Aimed at online sellers, with features to suit their needs ✅ Working capital options | ✅ Huge user base and brand recognition ✅ Ways to receive card payments online ✅ Get debit cards for spending ✅ Loans and working capital offered ✅ Safe and long established |
| ❌ No loans or working capital options ❌ No card payment processing available | ❌ Limited selection of currencies supported in account ❌ Annual fees may apply | ❌ Currency conversion has high fees ❌ Receiving payments will incur a variable fee |
The verdict: Which is better Wise or Payoneer or Paypal?
Wise and Payoneer and PayPal have different target customers, and so their services and features are quite different.
Wise is a good bet for businesses and freelancers who frequently transact in foreign currencies – getting paid by customers or sending money to contractors and suppliers for example.
Payoneer has more of a focus on ecommerce and digital business taking card payments from customers, with a limited selection of multi-currency options.
PayPal is a very well recognised brand and known for ease of use, making it a good choice for people trading on and off line – however, as international fees can be quite high, this may be better for businesses working mainly in USD.
About Wise and Payoneer and Paypal
Wise has been in business since 2011, and offers customers in the US and many other countries and regions personal and business accounts to hold and manage 40+ currencies, accept payments and spend using a linked Wise debit card. You can also send money to 160+ countries with the mid-market exchange rate and low, transparent fees.
Payoneer started out in 2005, and has a focus on freelancers, digital businesses and online sellers, with business account services and solutions, available including ways to pay suppliers and get paid by customers, PSPs and marketplaces . Account services are available in 190+ countries, and you can send money in 70+ currencies.
PayPal was founded in 1998, and has an enormous user base of hundreds of millions of personal and business customers. PayPal business accounts are primarily suited to merchants selling online with ways to receive ecommerce payments from customers, run payroll, and send money to suppliers conveniently.
Wise vs Payoneer vs PayPal fees
The services available from Wise, Payoneer and PayPal are all a little different. It’s no surprise that the way they charge for account services varies a bit too. Wise has a focus on making it cheap and flexible to manage money across currencies, with low fees for services like currency conversion. Payoneer and PayPal both offer different features like ways to receive customer card payments, which come with their own costs.
| Service | Wise | Payoneer | PayPal |
|---|---|---|---|
| Open an account | 31 USD (business customers only) | No fee – a 29.95 USD account dormancy fee applies if you don’t use your account for 12 months | No fee |
| Order a card | One time fee applies | 29.95 USD annual fee for the first card ordered | No fee |
| Spend with your card | No fee to spend currencies you hold Currency conversion from 0.33% when you don’t hold the right balance | No fee to spend currencies supported by your card Foreign transaction fee up to 3.5% when you don’t hold the right balance | No fee in the US 2.5% outside the US |
| ATM withdrawals | 2 withdrawals a month, to the value of 100 USD free – low, transparent fees after that | 3.15 USD | 2.5 USD Additional fee of 2.5% if outside the US |
| Receive a payment | Free to receive payments in select currencies using local account details 10 CAD fee to receive payments via SWIFT in CAD 6.11 USD to receive a USD wire (ACH payments are free) | Free to receive payments in some major currencies using local bank details Up to 1% fee to receive USD Receive card payments and PayPal payments for up to 3.99% | Receive domestic payments with fees from 2.29% – 3.49% depending on payment type International payments cost an additional 1.5% |
| Send a payment | From 0.33% | Up to 3% | Not specified |
| Currency conversion | Mid-market exchange rate | 0.5% | Up to 4% |
Wise vs Payoneer vs Paypal: Which is cheaper for international payments?
If you need to send money to someone overseas, choosing an international money transfer app can be cheaper than sending money using your bank. However, as fees and rates do vary, it still pays to compare a few providers before you pick.
Wise is a specialist in overseas payments and fees can be as low as 0.33% for overseas transfers. Currency exchange uses the mid-market exchange rate.
Payoneer transfer fees vary depending on the currencies and how much you withdraw or transfer in a given month. If you hold a balance in USD and need to send it to someone abroad, fees will be up to 3%. Currency conversion can incur a charge of 0.5% on top of the wholesale rate.
PayPal business accounts aren’t really meant for sending money to others – instead you’d probably want to withdraw your money to your bank or to a personal PayPal account to make your payment. The business fee schedule does not reflect international transfer fees, but it’s helpful to know that US PayPal personal customers pay 5% to send money from their PayPal balance to a PayPal account based overseas. PayPal currency conversion also costs up to 4% of the converted amount.
Wise vs Payoneer vs Paypal: Exchange rates
Before you use your account for currency exchange, you need to know the currency conversion rate that will be applied – including any fees which are added here.
Wise uses the mid-market exchange rate for currency conversion, with conversion fees from 0.33%. The costs which apply can vary depending on the currencies involved, but all fees are split out for clarity.
Payoneer uses wholesale exchange rates to convert currencies in your account, and then adds a 0.5% fee. If you’re sending a transfer out of your account and need currency conversion, this fee still applies, but may be wrapped up into the transfer cost which you’re quoted, which can be up to 3%.
PayPal currency exchange rates cost either 3.5% or 4% of the converted amount, depending on the specific transaction type.
Wise vs Payoneer vs PayPal: Which is faster?
Sending from an account from one provider to another account from that same provider – so a Wise to Wise payment, for example – is likely to be very fast or even instant. This is the case for all 3 providers. If you’re sending money to a bank account:
- Wise transfers can be instant in about 50% of cases, and over 90% arrive in 24 hours.
- Payoneer usually takes 1 – 2 business days to deposit money to a bank account.
- From PayPal you’ll usually send money to other PayPal accounts, which can be instant – but if the recipient then wants to withdraw their money to a bank this may take a few days.
Wise vs Payoneer vs Paypal: Payment methods
If you want to use Wise to send an international transfer to someone, you can choose from:
- direct debit (ACH)
- debit/credit card
- wire transfer
- Wise account balance
Payoneer customers can send transfers using a card or their Payoneer account balance online.
PayPal business accounts aren’t usually used to send international transfers although customers can make mass payouts to a large number of people at once from a business account.
How do they work?
Wise, Payoneer and PayPal all offer some unique services, but to sign up with any you’re likely to need to register using your personal, business and contact information, and then complete a verification step.
This can be done online or in the provider’s app, but will mean uploading an image of some key documents such as your passport.
Once you have an account you can send and receive payments, with different options depending on which provider you’ve picked.
Ways to receive payments: Wise vs Payoneer vs PayPal
Each provider offer different ways to receive international payments. Here is an overview of their methods and fees:
Wise offers a couple of ways to receive payments to your business account.
- For some currencies such as USD, CAD, GBP, EUR, AUD, and NZD, you can get local account details which allow your sender to transfer in that currency using a local payment method.
- This is often free or cheap for the sender, and in many cases it’s free for you to receive too.
- The key fees to know about include a 6.11 USD fee for incoming USD wires – while ACH transfers are free – and a 10 CAD fee for incoming SWIFT CAD payments.
- Aside from the local account details you can also get paid using SWIFT details for other currencies. There’s no Wise fee for this, but there might be correspondent bank fees that Wise have no control over.
Payoneer also has some local account details which you can use to get paid.
- There’s usually no fee for incoming transfers, but a 1% charge may apply if you receive USD.
- Aside from the 9 supported currencies for receiving, there are also SWIFT details you can use to get paid from other currencies.
PayPal transfers work a bit differently.
- Commercial transaction fees apply when receiving payments, which can be up to 3.49%, plus extra fees for international transactions.
- There’s not the option to receive a personal payment – for this you’d need a PayPal personal account instead.
Ways to make payments: Wise vs Payoneer vs PayPal
Wise lets you send money to 160+ countries, for deposit to bank accounts and – in some countries – mobile wallets. You can also send to other Wise accounts. Wise to Wise transfers are free unless currency conversion is needed. Fees from 0.33% apply for transfers to bank accounts.
Payoneer to Payoneer transfers can also be free. Same currency transfers – so USD to USD – can have a flat fee of 1.5 USD for the first 50,000 USD transferred in a month, with a percentage charge after that. If you’re sending to another currency, fees of up to 3% apply.
PayPal’s business fees do not state the costs of making payments – you’re expected to withdraw your funds to a linked bank account in your name instead. This has no fee for a standard withdrawal, although charges apply if you’re in a hurry and want an instant service.
Wise vs Payoneer vs Paypal: international transfer limits
Transfer limits can vary a lot depending on the currency you’re sending in, and the status of your account. You’ll need to check your own account to learn about your transfer limits, but here’s a quick overview:
| Wise limits | Payoneer limits | PayPal limits |
|---|---|---|
| High limits which vary by currency, usually around the equivalent of 1 million GBP | Not specified | Transfers may be capped at either 10,000 USD or 60,000 USD |
Supported currencies
Wise accounts can hold 40+ currencies and come with local account details for a selection of 8+ currencies. You can also receive payments using SWIFT, in a broad selection of currencies.
Payoneer has local account details for holding, receiving and exchanging 9 currencies.
PayPal usually allows payments in and out in 25 or so currencies, although there are some specific restrictions on the way some currencies can be used.
Related: Best foreign currency accounts in the US
Wise vs Payoneer vs Paypal cards comparison
All of our featured providers offer linked cards you can use with your digital account. Different options are available so weighing up a few is the best way to pick one which suits your needs. Here’s a look at some key features.
| Wise card | Payoneer card | PayPal card |
|---|---|---|
|
|
|
Wise vs Payoneer vs Paypal card: Where can you use them?
The debit cards from Wise, Payoneer and PayPal are all offered on global networks including Visa and Mastercard, which are accepted in most countries globally for spending and withdrawals. Bear in mind, fees may apply when you spend overseas.
Ease of use: Which is more convenient to use?
Creating an account: Create an account online or in app with all 3 providers
Making a transfer:
- Wise: Send to other Wise accounts, bank accounts and mobile wallets
- Payoneer: Send to other Payoneer accounts and bank accounts
- PayPal: Send to other PayPal accounts
Ways to send money:
- Wise: Pay with account balance, card, ACH or wire
- Payoneer: Pay with account balance or top up your account with card or bank transfer
- PayPal: You may need to withdraw to your personal account to send a payment
Languages: All 3 providers offer multi-lingual support online and in app
Minimum & maximum amounts:
- Wise limits: Usually around 1 million GBP per transfer
- Payoneer: Not specified online
- PayPal: 10,000 USD or 60,000 USD deepening on account status
Safety
All 3 providers are fully regulated and licensed for the services they provide. In the US this means they hold state licenses or operate through licensed partners to deliver services. Because all 3 are global businesses they must comply with the regulatory requirements in many other countries and regions as well as in the US, ensuring your money is safe no matter which you select.
Learn more: Is Wise safe?, Is PayPal safe?, Payoneer review
Wise vs Payoneer vs Paypal: Customer support
The easiest way to get help with Wise, Payoneer or PayPal is to log into the provider’s app and open a live chat.
This means you can be connected to an agent who can help you, or pass you on to another team or individual who can provide subject specific support.
Conclusion: Comparing Wise and Payoneer and Paypal for business
Wise, Payoneer and PayPal all offer great business services for US customers. However, what they do can vary a lot depending on which you pick. This probably means that one appeals more than another.
- Wise might be your pick if you value broad multi-currency and international features including cheap or free ways to pay and get paid, with mid-market rates and low fees. You can get debit and expense cards for spending and withdrawals, but card payment processing is not an option.
- Payoneer has multi-currency accounts in 9 currencies, and also offers ways to take customer card payments if you run a digital business. Working capital options are available but you might find you pay annual card fees, account dormant fees and other ongoing costs.
- PayPal has 25 or so currencies and a huge user base, allowing you to receive customer payments in many different ways. However, fees can be on the high side, particularly for international transactions.
FAQs
What is the difference between Wise and Payoneer and PayPal?
Wise and Payoneer and PayPal are quite different businesses and will suit different customer needs.
- Wise is a specialist in international transfers and low cost currency conversion,
- Payoneer focuses on ecommerce and digital business customers,
- PayPal has accounts with huge global brand recognition and trust.
Is Wise better than PayPal?
Both Wise and PayPal business accounts offer great features and services including ways to get paid in select currencies. Wise has lower fees on many transaction types and uses the mid-market rate, while PayPal offers card payment processing which isn’t an option from Wise. Learn more: Wise vs PayPal
Is Payoneer or Wise better?
Neither Wise or Payoneer is better – they’re both different and will suit different customer needs. Wise has more supported currencies and low, transparent fees – while Payoneer offers extras like working capital and ways to receive credit card payments. The right one for you depends on your priorities. Learn more: Wise vs Payoneer
Is Payoneer better than PayPal?
PayPal has huge global recognition and is used by hundreds of millions of people globally. Services support digital payments and ecommerce businesses well, but business accounts can come with higher fees for international transactions compared to Payoneer. Payoneer lets you get paid for free in a selection of currencies, and has a lower currency conversion fee compared to PayPal.
Is Wise or Payoneer or PayPal faster for business payments?
Sending from an account from one provider to another account from that same provider – so a Wise to Wise payment, for example – is likely to be very fast or instant for all 3. For transfers to bank accounts, Wise may be fastest, depending on the currency involved.
