With the influx of global brands and businesses acquiring clients worldwide, the need for efficient and secure online payment solutions has become increasingly vital.

Choosing the right payment gateway software can significantly impact your success in today’s e-commerce landscape, whether you’re a small start-up with a growing customer base, an established business, or an individual entrepreneur.

Choosing the right payment gateway goes beyond simply facilitating transactions. A trustworthy payment gateway software should include various essential features such as customizable payment options, strong security measures, seamless integration with your existing systems, and comprehensive reporting and analytics.

While looking out for Payment processing solutions, you must consider 2 of the top contenders: Stripe and PayPal.

Both Stripe and PayPal account provide a wide variety of features and benefits designed to meet the different needs of both organizations and individuals. However, it is important to choose the best software according to your needs and business prerequisites.

While you are on your path to building a successful business and letting your customers have a flawless payment experience, Let us help you shine with all the information needed about the two top payment processing solutions, Stripe vs PayPal.

Stripe Vs. PayPal: An Overview

Two major participants in the online payment processing market, Stripe, and PayPal, provide both businesses and consumers with reliable options for receiving payments online. Although both Stripe and Paypal offer benefits, organizations usually have to choose one depending on their own requirements and preferences.

Due to its focus on customization and features that are attractive to developers, Stripe is a great option for companies that value flexibility and control over the payment process. It is favored by tech-savvy organizations and developers since it supports a wide range of sectors and enables for substantial customization. Advanced subscription management capabilities, a configurable checkout process, and a global presence with support for numerous currencies are just a few of Stripe’s standout features.

PayPal is a reputable payment option that is simple to use. PayPal is accessible to users with varying levels of technical ability due to its user-friendly interface, buyer protection policies, and simple Stripe and PayPal connection options.

While PayPal may not provide as much customization as Stripe, it is still a solid option for companies looking for a dependable payment system due to its popularity and ease of use.

When deciding between Stripe vs. Paypal, businesses should consider factors such as their technical requirements, desired level of customization, target audience, and transaction volumes. Stripe may be preferred if businesses value customization and control and have the technical resources. PayPal may be the more suitable choice if simplicity, widespread acceptance, and ease of use are the primary considerations.

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Understanding in Detail: Stripe Vs. Paypal

Feature Stripe PayPal
Target Audience Businesses of all sizes, developers Individuals, small to large businesses
Customization Highly customizable payment infrastructure with stripe integration Limited customization options for PayPal integration
Integration Options Extensive documentation and APIs Pre-built shopping cart integrations, APIs
Global Acceptance Yes Yes
Supported Payment Methods Credit cards, digital wallets, local options Credit cards, PayPal credit, bank accounts
Subscription Management Advanced tools for managing subscriptions Invoicing, PayPal.Me, recurring payments
Mobile Payments No dedicated mobile app Robust mobile app for on-the-go payments
Security Measures Tokenization, encryption, fraud prevention Buyer protection, fraud detection
Developer-Friendly Extensive developer tools and resources Limited developer tools and resources
Pricing Structure Transaction-based Stripe fees Transaction-based PayPal fees
Customer Support Email support, community forums Email, phone, community support
User-Friendliness Requires technical expertise User-friendly interface
Customizable Checkout Yes Limited customization
Reporting and Analytics Robust reporting and analytics tools Basic reporting features
Ease of Setup and Use Requires technical expertise User-friendly and easy to set up
Pros Flexibility, extensive developer tools Wide acceptance, simplicity
Cons Requires technical knowledge for setup PayPal integration provides limited customization options

Fees, Rate, And Pricing Comparison of Stripe Vs. Paypal

Stripe PayPal
Monthly Fees $0 $0
Online Transaction Rates 2.9% + $0.30 2.59%-3.49% + $0.49
In-Person Transaction Rates 2.7% + $0.05 per transaction (Stripe Terminal) 2.29% + $0.09 per transaction (PayPal Zettle)
ACH Payments 0.8% per transaction (capped at $5) N/A
Nonprofit Rate (Online Only) 2.2% + $0.30 per transaction 1.99% + $0.49 for nonprofits; 2.89% + $0.49 for donations
Invoices 0.4%-0.5% + transaction fees per paid invoice (25 free per month) 0% + 3.49% + $0.49 per paid invoice
Virtual Terminal N/A 3.09% + $0.49 (+ $30/month)
Cross Border Fee 1% 1.5%
Currency Conversion Fee 1.5% 3%-4%

1. Stripe

Stripe is a leading online payment processing platform that enables businesses to accept and manage payments over the Internet in real-time. It provides an adaptive and flexible infrastructure advantageous to a range of businesses of all sizes in all industries. Due to Stripe’s focus on developer-friendly tools and thorough documentation, businesses may easily integrate its payment gateway into their websites or applications. Using Stripe’s feature-rich platform, businesses can provide their consumers with a simple and secure payment experience.

Who is Stripe for?

Stripe is a great option for companies of all sizes, from small startups to major multinationals. Stripe’s versatility makes it a favorite payment solution for many developers and tech-savvy individuals wanting greater payment control.

It caters to various sectors, including e-commerce, SaaS, marketplaces, and subscription services.

Benefits of Stripe

  • Flexibility: Stripe provides a fully flexible payment infrastructure that allows businesses to customize the payment experience to their own requirements.
  • Seamless Integration: Stripe boasts extensive documentation and developer-friendly APIs, making it relatively easy to integrate into your website or application.
  • Enhanced Security: Stripe provides robust security solutions such as tokenization and encryption to ensure that customer payment information is safe. Stripe manages PCI compliance, which relieves businesses of the hassle.
  • Global Reach: Stripe allows businesses to take customer payments worldwide by supporting numerous currencies and localization tools. It also manages sophisticated operations such as tax computations and compliance across several locations.

Features of Stripe

  • Payment Gateway: Stripe is a payment gateway that securely transmits payment data from your website to the payment processor.
  • Subscription Billing: Stripe offers robust subscription management tools that allow businesses to set up recurring payments and manage client payments effortlessly.
  • Customizable Checkout: Stripe provides a flexible and customizable checkout experience, allowing businesses to match their brand and tailor the payment flow to their specific requirements.
  • Tap-To-Pay: Stripe’s “Tap to Pay on iPhone” functionality allows businesses to accept contactless payments from customers who use iPhones. Customers can use this feature to perform purchases securely and swiftly by touching their iPhones on a compatible payment terminal. Stripe makes this seamless tap-to-pay experience possible by utilizing the Near Field Communication (NFC) technology in iPhones.
  • Developer Tools: Stripe offers a range of developer tools, including APIs, libraries, and SDKs, empowering businesses to integrate and customize Stripe’s features to suit their requirements.
  • Stripe Terminal SDK: It is a powerful software development kit that enables businesses to integrate Stripe’s payment processing capabilities into their own point-of-sale (POS) systems or custom-built applications. The SDK provides a range of features, including EMV chip card support, contactless payments (such as Apple Pay and Google Pay), and robust encryption to ensure the security of sensitive payment data
  • Fraud Prevention: Stripe uses machine learning algorithms to detect and prevent fraudulent transactions, adding an extra layer of protection to organisations.
  • Reporting and Analytics: Stripe provides powerful reporting and analytics capabilities, giving businesses important insights into their payment data and consumer behavior.


Here are some significant price plans of Stripe:

  • Transaction Fees: Stripe charges a fee for each successful transaction, which is often a fixed fee plus a percentage. The exact Stripe fees vary by country, but they normally range from 2.9% to 3.5%, plus a transaction fee.
  • Customized Pricing: Contact Stripe’s sales team to explore your needs and arrange a customized price plan.
  • Additional Services: Stripe provides additional services and capabilities for which there may be additional monthly costs. Radar (fraud protection), Billing (recurring payments), Connect (marketplace platform), and Sigma (advanced analytics) are examples of these services.

Pros and Cons of Stripe


  • A developer-friendly software with extensive documentation and APIs.
  • Provides flexible and customizable payment options.
  • Advanced subscription management features.
  • Global reach with support for multiple currencies.
  • Strong security measures and PCI compliance.


  • Requires technical expertise
  • Some features are harder to learn non-technical users.
  • Direct customer support is primarily available for higher-tier plans.

Transaction Costs and Fees

Depending on the jurisdiction, the kind of transaction, and the number of payments processed, Stripe’s transaction fees per successful transaction generally range from 2.9% + 30 cents to 3.9% + 30 cents. For companies that process more payments than average, Stripe also provides volume discounts.

Global Availability and Supported Currencies

Stripe is available in numerous countries worldwide, making it a globally accessible payment solution. It assists businesses from over 40 countries, including the United States, the United Kingdom, Canada, Australia, Germany, France, and many more. Stripe’s availability varies according on the country and area.

Stripe offers several currencies as supported currencies. It supports over 135 currencies, enabling companies to accept online payments in their preferred currency and serve clients worldwide.


Stripe offers a number of help options, including documentation, manuals, community forums, and email assistance. It also offers phone support for higher-tier plans. Stripe’s support resources are extensive and well-documented

Ease Of Use

Stripe offers a user-friendly interface and comprehensive documentation, making it easy for businesses and developers to navigate and integrate their payment operations. Stripe simplifies accepting and managing online payments with intuitive dashboards and helpful resources.

2. PayPal

PayPal, a well-known and reputable online payment network, allows people and organisations to send and receive money securely over the Internet. PayPal has been a popular alternative for online transactions because to its user-friendly design and its worldwide acceptance. PayPal has established itself as a straightforward and dependable payment solution for consumers worldwide, with features such as buyer protection, simple integration possibilities, and a mobile app for seamless online payments.

Who is PayPal for?

PayPal is a popular online payment network that caters to individuals, small businesses, and huge enterprises. It is great for individuals searching for an easy way to send and receive money, as well as businesses looking for a dependable payment solution with a large user base.

Benefits of PayPal

  • User-Friendly: PayPal is accessible to users of all technical skill levels.
  • Global Acceptance: PayPal is widely accepted across the globe, making it a convenient option for international transactions.
  • Buyer Protection: PayPal provides buyer protection policies that safeguard customers against unauthorized transactions, fraud, or disputes.
  • Easy Integration: PayPal offers a variety of integration options, including pre-built shopping cart integrations, customizable buttons, and APIs. Integrating PayPal into your website or e-commerce platform makes the procedure much easier.
  • Mobile Payments: PayPal provides an advanced mobile app that allows users to send and receive online payments while on the go, making it handy for mobile buyers and sellers.

Features of PayPal

  • Payment Gateway: PayPal enables the secure funds’ transfer between buyers and sellers.One-Touch Checkout: PayPal provides a One-Touch function that allows returning customers to make transactions with a single click, speeding up the checkout process.
  • Invoicing: PayPal provides an invoicing feature, enabling businesses to create and send professional invoices to customers.
  • PayPal.Me: This feature allows users to create personalized links that can be shared with others to request payments quickly.
  • PayPal Business Debit Card: Qualified PayPal business bank account holders can apply for a PayPal Business Debit Mastercard, which provides access to funds in their PayPal account and offers various perks and rewards.

Pros and Cons of PayPal


  • They are widely recognized and trusted.
  • Simple and user-friendly interface.
  • Extensive global acceptance and multi-currency support.
  • Policies for buyer protection instill trust in online purchases.
  • PayPal mobile app for easy payments when traveling.


  • When using an international payment provider, transaction costs may be greater than with other payment processors.
  • Account holds or limitations may occur in certain situations, temporarily restricting access to funds.
  • Customization options for the payment experience are limited compared to Stripe.


PayPal offers different pricing plans depending on the type of account and the nature of transactions. It offers choices including PayPal Here (for in-person purchases), Personal, and Business. On PayPal’s official website, you may get specific information on price and payment requirements.

Global Availability and Supported Currencies

More than 200 nations and regions provide PayPal, making it extensively accessible worldwide. It is well-established in important markets, including the US, UK, Canada, Australia, Germany, etc. However, depending on the country, not all PayPal features and services may be accessible.

PayPal offers support for over 25 popular currencies, including the US dollar, euro, pound sterling, Canadian dollar, Australian dollar, and yen of Japan. Despite being less comprehensive than Stripe, PayPal supports many widely used currencies.

Transaction Costs and Fees

PayPal’s transaction fees vary depending on factors such as the transaction type (e.g., domestic or international) and the volume of transactions. A predetermined charge for each transaction is added to the prices, which typically vary from 2.9% to 3.49% of the transaction’s value. International transactions may incur additional fees, such as currency conversion fees. PayPal provides a fee calculator on its website to estimate transaction costs.


PayPal offers a range of support options to assist its users. These include a comprehensive knowledge base, payment terms, community forums, email, and phone support. The availability of support channels may vary depending on the type of account or the specific issue. To respond to consumer questions and issues, PayPal makes an effort to offer prompt and effective phone service.

Ease of Use

The user interface for PayPal is meant to be simple and usable. Making an account is not difficult.

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Which is Better: PayPal Or Stripe?

When deciding between PayPal and Stripe, you must consider several factors to determine which platform is better suited for your specific needs.

PayPal provides convenience and wide acceptance. It is extensively used worldwide and supports people and companies of all sizes. PayPal is accessible to consumers with varied technical experiences thanks to its user-friendly interface and simple integration possibilities.

It provides buyer protection policies, making it a trusted choice for secure online transactions. If you value simplicity, broad acceptance, and ease of use, PayPal may be the better option.

Stripe has a range of adaptability and customisation possibilities. It is a well-liked option among companies and developers that want more control over the payment process since it provides rich developer tools, APIs, and documentation.

Stripe allows for advanced customization of the payment infrastructure and offers features such as customizable checkout experiences and subscription management tools. Stripe may be the better choice for your small business if you require a high level of customization, integration flexibility, and developer-friendly features.

Consider your specific requirements, such as target audience, transaction volume, desired level of control, technical expertise, and the need for advanced features like subscription management or mobile payments. To make an informed decision, evaluate factors like transaction fees, pricing structures, security measures, and customer support.

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Stripe or Paypal, Moon Invoice Offers Both!

Moon Invoice is a considerable all-in-one solution if you need clarification on Stripe and PayPal and are looking for an alternative solution that combines invoicing capabilities with integrated payment processing. While Stripe and PayPal are primarily payment processing solutions, Moon Invoice- payment processing software offers comprehensive invoicing that allows you to create and manage client invoices.

Moon Invoice provides features such as invoice customization, recurring invoicing, expense tracking, and reporting, making it a robust tool for managing your billing processes. Moreover, Moon Invoice integrates with payment gateways like Stripe and PayPal, enabling you to easily accept merchant account payments from your clients directly within the invoicing software.

You can streamline your invoicing and payment workflows by integrating Stripe or PayPal with Moon Invoice. Clients can conveniently make payments using their preferred payment method, whether credit card payments, PayPal credit, or bank account. At the same time, you can efficiently track and manage those payments within the Moon Invoice- payment processing software platform.

While Stripe and PayPal focus primarily on payment processing, Moon Invoice expands its functionality by providing invoicing capabilities and seamless Stripe and PayPal integration. It offers a centralized solution for managing your invoicing and payment needs, saving you time and effort by consolidating these processes into a single platform.

If you’re seeking a holistic solution combining invoicing and payment processing, consider Moon Invoice a viable option. By integrating with Stripe and PayPal, Moon Invoice provides a convenient and efficient way to manage your invoicing and receive client payments, simplifying your large or small business operations and enhancing your financial management processes.


Jayanti Katariya
Jayanti Katariya About the author

Jayanti Katariya is the founder & CEO of Moon Invoice, with over a decade of experience in developing SaaS products and the fintech industry. He holds a degree in engineering. Since 2011, Jayanti's expertise has helped thousands of businesses, from small startups to large enterprises, streamline invoicing, estimation, and accounting operations. His vision is to deliver top-tier financial solutions globally, ensuring efficient financial management for all business owners.