Paypal vs Payoneer: Which is Better?
PayPal vs. Payoneer: Which is Better?
Both PayPal and Payoneer are online payment platforms, but they serve different purposes:
- PayPal is a digital wallet and payment processor, mainly used for online shopping, freelancing, and business transactions.
- Payoneer is a global payment service, designed for freelancers, businesses, and international money transfers.
1. Overview
PayPal
✅ Founded in 1998, widely used for online transactions and e-commerce.
✅ Supports 200+ countries and 25+ currencies.
✅ Used for online shopping, business payments, and freelancing.
Payoneer
✅ Founded in 2005, mainly for freelancers and businesses.
✅ Supports 190+ countries and 150+ currencies.
✅ Ideal for international bank transfers and marketplace payouts (e.g., Fiverr, Upwork, Amazon).
2. Fees & Charges
| Fee Type | PayPal | Payoneer |
|---|---|---|
| Receiving Money (Domestic) | Free (Friends & Family) | Free (From Payoneer users) |
| Receiving Money (International) | 4.4% + fixed fee | 1-3% |
| Currency Conversion | 3-4% markup | 0.5% – 2% markup |
| Bank Withdrawals | Free (US), ₹50+ (India) | $1.50 per withdrawal |
| Card Withdrawal | 1.75% fee | Free (Payoneer Prepaid Card) |
Winner: Payoneer (Lower fees for international transactions).
3. Speed of Transfers
| Transaction Type | PayPal | Payoneer |
|---|---|---|
| PayPal to PayPal / Payoneer to Payoneer | Instant | Instant |
| To Bank (Domestic) | 1-3 days | 1-2 days |
| To Bank (International) | 3-5 days | 2-3 days |
Winner: Payoneer (Faster international transfers).
4. Supported Countries & Currencies
| Feature | PayPal | Payoneer |
|---|---|---|
| Supported Countries | 200+ | 190+ |
| Supported Currencies | 25+ | 150+ |
Winner: Payoneer (More currency options).
5. Best for Freelancers & Businesses
| Feature | PayPal | Payoneer |
|---|---|---|
| Freelancers (Upwork, Fiverr, etc.) | ✅ Yes | ✅ Yes (Preferred) |
| E-commerce (Shopify, Amazon, etc.) | ✅ Yes | ✅ Yes |
| Business Payments | ✅ Yes | ✅ Yes (Better for global businesses) |
| Recurring Payments | ✅ Yes | ❌ No |
Winner:
- Payoneer for freelancers & businesses handling international payments.
- PayPal for e-commerce & subscription-based services.
6. Security & Fraud Protection
| Security Feature | PayPal | Payoneer |
|---|---|---|
| Buyer Protection | ✅ Yes | ❌ No |
| Fraud Detection | ✅ Yes | ✅ Yes |
| Chargeback Protection | ❌ No | ✅ Yes |
Winner: PayPal (Better buyer protection).
7. Payout Options
| Payout Method | PayPal | Payoneer |
|---|---|---|
| To Bank Account | ✅ Yes | ✅ Yes |
| To Debit/Credit Card | ✅ Yes | ✅ Yes |
| Prepaid Mastercard | ❌ No | ✅ Yes (Payoneer Card) |
Winner: Payoneer (More payout options with a prepaid card).
8. Final Verdict: Which One Should You Choose?
| Feature | Winner |
|---|---|
| Fees & Charges | Payoneer |
| International Transactions | Payoneer |
| Freelancer Payments | Payoneer |
| E-commerce & Subscriptions | PayPal |
| Security & Buyer Protection | PayPal |
| Payout Options | Payoneer |
Choose PayPal if:
✅ You need a digital wallet for shopping & business payments.
✅ You sell on e-commerce platforms like eBay, Shopify, or WooCommerce.
✅ You want buyer protection.
Choose Payoneer if:
✅ You are a freelancer or business receiving international payments.
✅ You need lower fees & real exchange rates.
✅ You want a prepaid card for withdrawals.
Final Winner: It Depends!
- For online shopping & e-commerce → PayPal.
- For freelancers & global business payments → Payoneer.