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Personal Finance · head to head

PayPal vs Wise Business

PayPal logo

PayPal

Personal Finance

The simpler, safer way to pay and get paid

From
$29/month
Rated
-
Full reviewWebsite
Wise Business logo

Wise Business

Accounting

The smart way to send and receive business payments

From
$29/month
Rated
-
Full reviewWebsite

The short version

  • Each has a real cost: PayPal currency conversion on international purchases and sends carries a 4.00 percent fee, and 3.00 percent in other conversion scenarios; Wise Business opening a Wise Business account in the UK carries a one off setup fee of 50 GBP
  • They diverge on capability: PayPal covers Payment processing, Wise Business covers Multi-currency accounts.

Where they differ

Only the attributes on which PayPal and Wise Business actually diverge.

Attributes where PayPal and Wise Business differ
AttributePayPalWise Business
CategoryPersonal FinanceAccounting
Founded19982011

Identical on both: starting price ($29/month), pricing model (usage-based), free tier (No), platforms (Web, Ios, Android, Api), user rating (Not yet rated).

What each one covers

Drawn from each product's published feature list. An absence here means we hold no record of it - not that the product lacks it.

Only in PayPal

  • Payment processing
  • PayPal Checkout
  • Invoicing
  • Business debit card
  • Working capital loans
  • Shopify
  • WooCommerce
  • BigCommerce

Only in Wise Business

  • Multi-currency accounts
  • International transfers
  • Batch payments
  • API access
  • Team management
  • Xero
  • QuickBooks
  • Various

Both cover

  • Web support
  • Ios support
  • Android support
  • Api support

What people use each for

The jobs each tool is most often brought in to do.

PayPal

  • Paying online merchants without sharing card detailsnot Wise Business
  • Sending money to friends and family domestically and internationallynot Wise Business
  • Holding balances in multiple currencies for cross border purchasesnot Wise Business

Wise Business

  • Holding and converting multiple currencies as a businessnot PayPal
  • Paying international suppliers and contractors at the mid market ratenot PayPal
  • Receiving payments into local currency account details in several countriesnot PayPal

Where each one falls short

Documented limitations, not opinions. Every one is a constraint you would hit in normal use.

PayPal

  • Currency conversion on international purchases and sends carries a 4.00 percent fee, and 3.00 percent in other conversion scenarios
  • Instant transfer to a bank or debit card costs 1.75 percent of the amount, with a minimum of 0.25 USD and a maximum of 25.00 USD
  • International personal transactions carry a 5.00 percent fee regardless of payment method, with a minimum of 0.99 USD and a maximum of 4.99 USD
  • Sending domestic personal payments funded by a credit card costs 2.90 percent plus a fixed fee of 0.49 USD
  • Instant transfers are capped at 25,000.00 USD per transaction

Wise Business

  • Opening a Wise Business account in the UK carries a one off setup fee of 50 GBP
  • Volume discounts on transfers start only above 20,000 GBP equivalent sent per month

Pricing, plan by plan

PayPal

$29/month
  • Standard$2.99/transaction
    • Card payments
    • PayPal checkout
    • Invoice payments

Wise Business

$29/month
  • StandardFree
    • Multi-currency account
    • Real exchange rate
    • Batch payments

Which should you pick?

Choose PayPal if

  • You need payment processing.
  • You work on Web, Ios, Android, Api.
  • You also want paypal checkout.
PayPal review

Choose Wise Business if

  • You need multi-currency accounts.
  • You work on Web, Ios, Android, Api.
  • You also want international transfers.
Wise Business review

Questions people ask

Is PayPal or Wise Business better?
Neither clearly leads. PayPal starts at $29/month and Wise Business at $29/month, and user ratings are close enough to be indistinguishable. Choose on capability and platform support.
Which is cheaper, PayPal or Wise Business?
PayPal starts at $29/month and Wise Business at $29/month.
Does PayPal or Wise Business run on more platforms?
Both run on Web, Ios, Android, Api, so platform support will not decide this one for you.
What is PayPal best used for?
PayPal is most often used for paying online merchants without sharing card details, sending money to friends and family domestically and internationally, holding balances in multiple currencies for cross border purchases. Of those, paying online merchants without sharing card details and sending money to friends and family domestically and internationally are not what Wise Business is typically brought in for.
What can PayPal do that Wise Business cannot?
PayPal covers Payment processing, PayPal Checkout, Invoicing, Business debit card. Wise Business covers Multi-currency accounts, International transfers, Batch payments, API access. Both handle Web support, Ios support, Android support, Api support.

Answered from the vendors’ own pages

PayPal: Does PayPal charge fees and when do they apply?

PayPal states that fees apply when converting currency and sending money to accounts in another country. Specific fee amounts are not disclosed on the homepage but are referenced in their published fee schedule.

Source
Wise Business: How fast are international transfers with Wise Business?

Wise Business offers fast global payments with 70% arriving in 20 seconds and 95% arriving in under 24 hours. You can also pay up to 1,000 contacts in a single batch transfer.

Source
PayPal: Is there a subscription cost to use PayPal's basic services?

No subscription fees are mentioned on the homepage. PayPal operates on a transaction-based fee structure for money transfers and payments rather than recurring charges.

Source
Wise Business: Does Wise Business offer volume discounts?

Yes, volume discounts are available on monthly transfers over 20,000 GBP or equivalent.

Source
PayPal: Are there restrictions on when I can use buyer protection?

PayPal offers buyer protection for eligible purchases, but coverage limitations exist. A user agreement sets the specific conditions for protection eligibility.

Source
Wise Business: How does Wise Business keep funds secure?

Wise customers move over AED60 billion monthly with systems built to keep funds safe. The company runs over 7 million daily fraud checks (80 per second), keeps funds diversified with secure financial institutions, and offers 24/7 customer support.

Source
PayPal: What payment methods can I link to PayPal?

PayPal's digital wallet allows storage of multiple payment methods and can be used for secure money transfers, payment requests, and checkout at major retailers.

Source
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