Best online payment alternatives to PayPal

If you regularly shop online, chances are you have a PayPal account. Since its launch in 1998, the online payment company has seen enormous levels of growth, now boasting over 227 million active users worldwide. It’s ability to allow users to send and receive money in a way that was both easier and more secure than the other options available at the time was revolutionary – especially during the ecommerce boom of the early 2000s.

However, despite its continued popularity, PayPal’s monopoly is somewhat diminished, with a number of other online payment sites now looking vying for its users’ business by offering cheaper rates, better customer service or just a more up-to-date look.

Here, we outline six of these alternatives to PayPal.

WePay
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WePay

WePayis an integrated payments solution that claims to have the “scale of JP Morgan”. Its flexible API-based integrated payments provide merchants with a complete, end-to-end payment solution that supports both online credit and debit transactions.

It was founded back in 2008 as a direct competitor to PayPal but despite its numerous third-party integrations, does not accept payments made via PayPal.

WePay offers 100 percent coverage for exposure to fraud losses and chargebacks and uses “state-of-the-art” cryptographic algorithms to ensure the data it transfers is secure.

Pricing: WePay charges a flat 2.9% + £0.24 per transaction for credit cards and 1% + £0.24 per transaction for bank transfers.

Worldpay
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Worldpay

Worldpayis one of the better-known PayPal alternatives, processing in excess of 26 million transactions every day.

While its legacy status might it see it struggle to compete with some of the newest startups, Worldpay’s trusted reputation has seen it continue to perform in the online payment landscape.

Like WePay, Worldpay also uses an API which can be set up within 24 hours to accept card payments or start collecting subscription fees. Worldpay also provides full documentation and support for developers and users, offering real time transaction data and order management, with the ability to fulfil refunds in one click.

Pricing: Worldpay charges 2.75% + 20p per transaction through its payment solution.

Stripe
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Stripe

Stripeis a “developers-first” company that believes “payments is a problem rooted in code, not finance”.

Like so many other online payment platforms, Stripe offers an easy to use API solution that aims to remove the frustrations around integrating payments with complex legacy systems built by banks and incumbent payments providers. Its pre-build check-out and subscription services mean you can start accepting payments via Stripe almost immediately.

Customers won’t be redirected away from your site and the checkout is desktop and mobile optimised. Stripe counts Deliveroo, Mondo and Boohoo among its UK clients.

Pricing: Stripe charges 1.4% +20p for European cards and 2.9% + 20p for all others.

TransferWise
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TransferWise

TransferWiseoffers users a cheap and easy way to transfer money internationally. Its multi-currency borderless account helps consumers, freelancers, and businesses to send, receive and spend money across the world while charging minimum fees.

By charging one, upfront transaction fee, TransferWise claims to save its customers $4 million in hidden fees every day. Furthermore, the company’s business platform allows users to invoice customers in the currency of their choosing, while providing global support for a range of languages.

Pricing: TransferWise charges its users a flat £3.95 per transaction.

Braintree
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Braintree

Braintreeis an end-to-end payment solution that provides merchants with an account, payment gateway, a wallet-style credit card storage and support for mobile and international payments.

It offers fully customisable APIs in six programming languages, as well as pre-built shopping cart solutions that come with built in security and reporting capabilities. Braintree specialises in making it easy for users to accept online and mobile payments and offers its services in more than 130 currencies and 45 countries.

Pricing: Braintree gives you your first £30,000 in card processing free and then charges 1.9% + £0.20 per transaction. American Express transactions are 2.4% + £0.20

Venmo
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Venmo

Venmomarkets itself as an online payment system that can be used by friends and family to transfer money. It can be used to send money, split bills, shop online or transfer money into a bank account.

Despite its wide-spread personal uses, Venmo also deals with business transactions and, if integrated via Braintree or PayPal Checkout, can be linked to your organisation’s website or app as a payment option.

Both Venmo’s app and website uses encryption to protect user information and multifactor authentication can be set up on mobile devices.

Pricing: Sending money using Venmo comes with a standard 3% fee but there are a number of factors under which this fee is waived or lowered.

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