Stripe vs PayPal Fees: Which Saves You More?
Stripe charges 1.5% + €0.25 for European cards. PayPal charges 2.9% + €0.35. But the real answer depends on your transaction types, volume, and customer location.
Stripe
Global payment infrastructure
Stripe is the developer-friendly payment platform powering millions of businesses. Known for transparent pricing, extensive APIs, and 135+ currency support.
- 1.5% + €0.25 European cards
- 46+ countries supported
- 135+ currencies
- Extensive payment methods
- Developer-friendly APIs
PayPal
400 million active users
PayPal is the most recognized online payment brand. Customers trust it, but merchants pay higher fees. Best when customers specifically want PayPal checkout.
- 2.9% + €0.35 standard rate
- 400M+ active accounts
- 200+ markets worldwide
- Instant brand recognition
- PayPal Wallet & Pay Later
Fee Comparison Table
| Fee Type | Stripe | PayPal | Winner |
|---|---|---|---|
| European Cards | 1.5% + €0.25 | 2.9% + €0.35 | Stripe |
| UK Cards | 1.5% + £0.20 | 2.9% + £0.30 | Stripe |
| International Cards | 3.25% + €0.25 | 2.9% + €0.35 + 1.5% | Similar |
| SEPA Direct Debit | 0.35% | 1.5% | Stripe |
| iDEAL | €0.29 | N/A | Stripe |
| Bancontact | €0.29 | N/A | Stripe |
| Currency Conversion | +2% | +1.5% | PayPal |
| Chargeback Fee | €15 | €20 | Stripe |
| Refund Fee | Keep processing fee | Keep processing fee | Tie |
| Monthly Fee | None | None | Tie |
Fee Calculator
Calculate your actual costs with both processors. Enter your monthly volume and average transaction size.
Monthly Cost Comparison
Example Scenarios
Detailed Fee Breakdown
Card Payment Fees
Credit and debit card processing is where Stripe clearly wins for European businesses.
Stripe Card Fees
Stripe uses Interchange++ pricing for high-volume merchants (€80K+/month).
PayPal Card Fees
PayPal charges the same rate regardless of card origin, making it expensive for EU transactions.
Example: €100 European Card Payment
Bank Transfer Fees
For recurring payments and subscriptions, bank transfers offer the lowest fees.
Stripe Bank Fees
PayPal Bank Fees
For Dutch customers, iDEAL via Stripe costs only €0.29 flat — making it the cheapest option for any transaction over €15.
Subscription & Recurring Fees
For subscription businesses, the fee difference compounds monthly.
Stripe Billing
- Built-in subscription management
- Dunning (retry failed payments)
- Proration handling
- Customer portal included
PayPal Subscriptions
- Basic subscription management
- Limited customization
- Separate Braintree for advanced features
- Venmo integration (US only)
100 Subscribers at €29/month
Hidden Costs to Watch
Beyond transaction fees, watch for these additional charges.
When to Use Each
Choose Stripe When:
European customer base
1.5% vs 2.9% means 48% lower fees on EU cards.
Subscription/SaaS business
Built-in billing tools and lower recurring fees.
Need multiple payment methods
iDEAL, Bancontact, SEPA, Klarna all available.
Developer resources available
Stripe's API is more flexible but requires setup.
High transaction volume
Volume discounts available at €80K+/month.
Choose PayPal When:
Customers demand PayPal
Some shoppers only trust PayPal checkout.
Selling to US consumers
PayPal/Venmo is popular with American buyers.
Need Pay Later options
PayPal's Pay in 4 can increase conversions.
Quick setup needed
Faster to set up than Stripe for non-technical users.
Cross-border personal transfers
PayPal excels at peer-to-peer internationally.
Use Both Together
Many businesses offer both Stripe and PayPal at checkout. This maximizes conversions — customers choose their preferred method.
Accept Both with PayRequest
PayRequest integrates both Stripe and PayPal, plus 20+ other payment methods. Create payment links, invoices, and subscriptions — let customers pay however they prefer.
| Feature | Direct | PayRequest |
|---|---|---|
| Setup time | Days-weeks | Minutes |
| Technical skills | Developer needed | No-code |
| Multiple providers | Separate integrations | One dashboard |
| Invoicing included | Extra cost | Included |
| Monthly cost | Transaction fees only | €5/mo + fees |
Frequently Asked Questions
Ready to Reduce Payment Fees?
Start accepting payments with Stripe, PayPal, or both — plus 20+ other methods. PayRequest makes it simple.