PayPal vs Stripe

The OG of online payments: everyone uses it, but nobody loves the fees meets the developer's best friend for payments, until you realize you're paying for every single api call. Here's our take.

PayPal

Nice Pick

The OG of online payments: everyone uses it, but nobody loves the fees.

Pros

• Near-universal acceptance for online transactions
• Built-in fraud protection and buyer/seller safeguards
• Easy integration with most e-commerce platforms

Cons

• Transaction fees can eat into profits, especially for small businesses
• Account freezes and disputes can be a nightmare to resolve

Stripe

The developer's best friend for payments, until you realize you're paying for every single API call.

Pros

• Best DX
• Great docs
• Reliable
• All payment types
• Incredibly clean and well-documented APIs that just work
• Handles global compliance and fraud detection so you don't have to
• Seamless integration for subscriptions and recurring billing
• Extensive ecosystem with tools like Stripe Connect and Radar

Cons

• 2.9% + 30¢
• Complex for simple needs
• Account holds
• Transaction fees add up fast, especially for high-volume businesses
• Can get pricey for custom or advanced features beyond the basics

The Verdict

Use PayPal if: You want near-universal acceptance for online transactions and can live with transaction fees can eat into profits, especially for small businesses.

Use Stripe if: You prioritize best dx over what PayPal offers.

The Bottom Line

PayPal wins

The OG of online payments: everyone uses it, but nobody loves the fees.