With over 15 years of experience building websites, I‘ve seen firsthand how difficult it can be for freelancers to collect payments online. That‘s why I put together this definitive guide on the best PayPal alternatives.
PayPal has long been the dominant online payment platform with over 400 million active accounts worldwide. According to a recent survey, over 80% of freelancers use PayPal as one of their payment methods.
However, PayPal does have some downsides:
- Excessive fees that eat away at profits
- Sudden account freezes holding funds hostage
- Limited payment methods in some countries
These pitfalls have freelancers searching for better options.
The good news is there are plenty of great PayPal alternatives available, each with unique pros and cons. This guide will compare the top 7 alternatives side-by-side to help you determine the best fit.
Contents
Core Features Comparison
Here‘s an overview of how PayPal stacks up against competitors based on some key features:
| Payment Platform | Fees | Withdrawal Methods | Country Support | WordPress Plugins |
|---|---|---|---|---|
| PayPal | 2.9% + $0.30 per transaction | Bank transfer, debit card | Worldwide | All major ecommerce plugins |
| Stripe | 2.9% + $0.30 per transaction | Bank transfer | Limited countries | WooCommerce, Easy Digital Downloads, MemberPress |
| Wise | Low, depends on countries | Bank transfer | Worldwide | None, must request payments manually |
| Payoneer | 3% per transaction | Bank transfer, branded debit card | Worldwide | None, must request payments manually |
| Verifone | 2.9% + $0.30 per transaction | Bank transfer, debit card | Worldwide | WooCommerce, Easy Digital Downloads, MemberPress |
| QuickBooks | 2.9% + $0.25 per invoice | Bank transfer | U.S., Canada, U.K. | QuickBooks integration |
| Google Pay | None | Bank transfer | U.S., U.K. only | None, must request payments in app |
As you can see, no platform provides the exact same combination of features and coverage as PayPal. But the alternatives have their own unique advantages.
Next, let‘s dive into an in-depth look at each option.
1. Stripe
Stripe is likely the closest match to PayPal in terms of ease-of-use and developer experience.
It‘s become hugely popular in recent years, now processing over $120 billion in payments annually from millions of businesses. Many online companies use Stripe as their sole payment platform.
Stripe Pros
- Easy integration with WordPress sites via plugins
- Fast and seamless checkout experience for customers
- Low fees of 2.9% + $0.30 per transaction
- Customizable features like payment plans and subscriptions
Stripe Cons
- Only available in 46 countries at the time of writing
- Limited payment methods in some countries (cards only)
- Can occasionally freeze payouts from high risk industries
If you want a polished payment experience akin to PayPal, Stripe is a top choice. Just be sure to confirm they support your country first.
2. Wise (Transferwise)
Formerly known as Transferwise, Wise makes it easy to get paid internationally with minimal fees.
It‘s one of the most trusted names in money transfers, serving over 10 million customers. Wise moves over $6 billion per month, saving customers an average of eight times more than banks.
Wise Pros
- Significantly lower fees than PayPal, around 1% + small flat fee
- Excellent exchange rates help you avoid cross-border losses
- 60+ countries and 130+ currencies supported
- Fast transfers to your local bank account
Wise Cons
- Your client must manually send the payment, no WordPress integration
- Higher fees than domestic transfers
- Occasional delays for large transfers requiring manual review
Wise is your best bet if you want rock-bottom fees and need to accept payments from abroad in multiple currencies.
3. Payoneer
Payoneer is a payment platform used by millions of freelancers globally. It‘s especially popular for international transactions from clients located in different countries.
Over $3 billion in volume is processed annually by Payoneer. Funds can be withdrawn to accounts in over 150 countries worldwide or spent directly via their prepaid debit card.
Payoneer Pros
- Branded debit card makes it easy to withdraw funds anywhere
- Can link U.S. account to withdraw directly from ATMs
- Low $1 fee for domestic transfers in the same currency
Payoneer Cons
- High 3% fee for cross-border transactions
- Clients must have a Payoneer account to send payments
- Limited payment methods accepted
Payoneer shines when you need to frequently withdraw and spend funds abroad in multiple currencies.
4. Verifone
Verifone offers a full-featured payment gateway similar to Stripe. It integrates with all major WordPress eCommerce solutions like WooCommerce.
Processing over $600 billion annually, Verifone is trusted by Fortune 500 companies and small businesses worldwide.
Verifone Pros
- Supports credit cards and local popular payment methods
- Available in over 150 currencies across the world
- Hosted payment pages for quick checkout
- Recurring billing and subscription management
Verifone Cons
- Transaction fees slightly higher than Stripe at 2.9% + $0.30
- Limited flexibility for customized checkout
- Mixed reviews from merchants about support
If Stripe doesn‘t support your country, Verifone is the next best alternative for an easy to use global payment gateway.
5. Cryptocurrency (Bitcoin, Ethereum, etc)
Cryptocurrencies like Bitcoin and Ethereum allow anyone to securely send payments worldwide near-instantly with minimal fees.
No personal information is required, and you don‘t need to rely on banks or financial institutions. It‘s a decentralized approach.
Adoption is still limited compared to traditional payment methods, but growing fast. In 2021 over $15 billion was sent in remittances globally using cryptocurrency.
Crypto Pros
- Tiny transaction fees, often less than $1
- No chance of accounts being frozen or funds held
- Available to anyone with an internet connection
- Hold as an investment or exchange to local currency
Crypto Cons
- Volatile, cryptocurrency balances fluctuate daily
- Less user-friendly than other payment platforms
- No purchase protection for buyers
- Limited WordPress integration options
Cryptocurrency is ideal when you want to avoid potential account freezes, send funds across borders freely, or appreciate the privacy and independence.
6. QuickBooks
QuickBooks is a leading accounting platform for freelancers and small business owners.
They make it simple to create professional invoices and receive payments right in QuickBooks connected to your bank account.
Over 5 million businesses worldwide trust QuickBooks to manage their finances. It‘s especially popular in the U.S., Canada, and U.K.
QuickBooks Pros
- Easy invoicing + payment collection workflow
- Seamlessly syncs income/expenses with accounting
- Pay only 2.9% + $0.25 per invoice paid online
- Send customized estimates and contracts too
QuickBooks Cons
- Only supports cards and ACH payments, no e-wallets or bank transfers
- Additional monthly fee beyond payment processing
- Steep learning curve for non-accountant users
QuickBooks is the best end-to-end invoicing and payment solution for freelancers focused on financial organization.
7. Google Pay
Google Pay is the technology giant‘s answer to PayPal and Venmo. It allows sending and receiving money between users in the U.S. and U.K.
As a Google product, it has a clean intuitive interface and touted security benefits thanks to their advanced fraud detection.
Google Pay Pros
- Zero fees, completely free to send/receive money
- Fast no hassle transfers to/from bank accounts
- Already trusted and used by millions for Android Pay
Google Pay Cons
- Only available in U.S. and U.K., no international support
- Funds take 1-3 days to clear to bank accounts
- No way to invoice clients or set up subscriptions
Google Pay is a simple, free option for domestic peer-to-peer transactions with clients who already have a Google account.
Expert Recommendations
Based on extensive experience accepting online payments from clients, here are my top tips:
- Use Stripe if available in your country for the easiest setup.
- Keep Wise as a backup for international clients when needed.
- Sign up for Payoneer to withdraw/spend funds abroad with minimal fees.
- Accept cryptocurrency from tech-savvy clients for greater privacy and as a hedge against account freezes.
- Use QuickBooks to effortlessly manage invoicing and accounting along with payments.
- Enable Google Pay to accommodate clients wanting to pay directly from Google accounts with no fees.
I recommend diversifying across several platforms rather than relying solely on PayPal. This provides redundancy if one payment processor closes your account and also gives clients flexibility.
Conclusion
While no service can match PayPal in terms of brand recognition, the platforms above all offer distinct advantages.
As a freelancer, it‘s worth taking the time to setup and test a few alternatives that best meet your business needs. This will provide backup options and save you money on fees.
I hope this comprehensive guide helps you navigate the growing array of PayPal alternatives tailored to freelancers and online businesses. Please don‘t hesitate to reach out if you need assistance getting one of these payment solutions setup on your WordPress site.
