Lemon Squeezy vs Plaid

Merchant of record meets the api that turns 'i need bank data' into 'i have bank data' without the regulatory headache. Here's our take.

Lemon Squeezy

Nice Pick

Merchant of record. They handle tax so you don't have to.

Pros

• Handles VAT/tax
• Simple setup
• Good for digital products

Cons

• Higher fees
• Less control
• Fewer features

Plaid

The API that turns 'I need bank data' into 'I have bank data' without the regulatory headache.

Pros

• Handles bank authentication and data aggregation across thousands of institutions
• Simplifies compliance with financial regulations like PSD2 and GDPR
• Provides real-time transaction and balance data with high reliability

Cons

• Can be expensive for high-volume applications due to per-request pricing
• Limited customization for specific bank integrations or niche use cases

The Verdict

These tools serve different purposes. Lemon Squeezy is a payments while Plaid is a hosting & deployment. We picked Lemon Squeezy based on overall popularity, but your choice depends on what you're building.

The Bottom Line

Lemon Squeezy wins

Based on overall popularity. Lemon Squeezy is more widely used, but Plaid excels in its own space.