Paypal Vs Payoneer Differences | Which is Better for Online Transactions

Paypal and Payoneer are both online financial services companies that facilitate money transfers across the world.

Paypal was started quite early in 1998 by prominent founder Elon musk and gained a large number of customers due to its professional and transparent conduct.

Payoneer started a bit later in 2005 but gained many customers in a short time due to its innovative means of transactions, quick money withdrawal option, and comparatively low charges.

Those with experience would have chosen one among the two for their regular business transactions.

But for those who are new to at least one of the platforms, this is a guide to help decide and choose.

Paypal or Payoneer?

Though both are great partners to engage with, I prefer Payoneer due to its low charges and quick transactions.

To receive money from online adnetworks, I am using Payoneer. But to make payment on some merchant sites like hosting, I prefer Paypal as it is sometimes the only option.

But, I will list more details for the choices.

First, about Paypal

It is a well-known company with an excellent reputation for safety and security.

One can use it to send, receive payments and also shop online.

Many websites use Paypal to receive funds for purchases by customers.

Pros of PayPal regarding the transaction

  • Very reliable and trusted.
  • Ability to make complaints and even reject payments.
  • Avoid disclosure of credit card information as many merchants accept payments on their sites with a Paypal account.
  • Automatic withdrawal of payments to local banks.
  • Automatic currency conversion before withdrawal to local banks.
  • Beautiful account and user interface.
  • Clear-cut details regarding transactions and conversions are displayed on the account.

Cons of PayPal use

  1. Delayed payment processing to local banks. Like one has to wait for 5 to 7 days at times.
  2. Comparatively, low currency exchange rates for each dollar received.
  3. Higher transaction fees and low currency rates are offered during conversion to dollars.
  4. There might be few countries that are exempt from their services.


As said before, it has almost all the options like Paypal.

But, it has extra added options that make it more attractive.

Even if you do not have a bank account in a particular country like in the USA, Canada, United Kingdom, Australia, etc.

Still, with Payoneer, you can receive an account with the number, bank name, and Routing number in order to receive payments.

Payoneer receving accounts
Payoneer receiving accounts screenshot

This is an excellent option as it helps you to receive payment in wire transaction mode from different companies and withdraw money into your local bank account.

Thus, it is gaining widespread use as many ad networks and online agents started using it besides PayPal. I personally prefer Payoneer instead of PayPal.

Pros of Payoneer.

  1. Fastest transaction and withdrawal of funds to local banks. For most, it is within 24 hours.
  2. Low transaction fees are charged.
  3. The high currency conversion rate for each dollar received compared to PayPal.
  4. The simple interface of the account.
  5. Ability to create online US and European bank details. I.e., one can give the US or European bank account details for others to pay in case they ask for them. Still, Payoneer gets the funds to your local bank in your country.

Cons of Payoneer

  1. Little trust and preference by merchants as it is a newcomer.
  2. The website has interface issues as no details are seen on the first-hand visits to the main account page.
  3. Not many ad networks and online agents use it to make payments
  4. It is still restricted in some countries.

Also, like PayPal, initially, Payoneer seems to be asking for identity proof, TAX or PAN number, etc.

This was not the case in the early days and it raised questions of trust for those making payments.

For new applicants, the rules are strict with the requirement for valid proof of documents.

My personal experience

I am a long-time user of PayPal for receiving funds from different ad networks and other online agents.

But since I knew of no other best options before, I had depended on it.

They make transactions seamlessly. But the date of auto-withdrawal of the fund was not specific.

It might be any day from 5 to 7 days. So no specific date can be predicted. Also, since many networks prefer it, there was no other option but to rely on it.

Recently I started using revenuehits advertisement program. Then I had an option to use either PayPal or Payoneer.

Firstly I was skeptical as the interface was not straightforward and a new payment system for me.

But when I received my first payment from revenue hits through Payoneer, I was so glad.

I got an email regarding the transaction. But later, within just 24 hours, the amount was credited to a local bank.

Even the currency conversion rates were higher and reasonable.

Since the ad network paid the transaction fee, I got the full amount credited without any further charges.

So in the future, if you ask me which one I would prefer of the two, it will be Payoneer.

But, still, I keep using Paypal as some merchants force me to use it for payments.

Reader comments

  1. Thank’s for your article.

    I’m paypal longtime user, but i have so many problem with french paypal.

    They blocked my account for 2 months without giving me any explanation and then reopened it.

    As I receive payments from internet, I really suffered a lot, and had to live with very little during this period, I really hate them for that but had no other choice.

    I had sent them many polite messages to ask for an explanation that went unanswered.

    There is no support on the French paypal, it’s crazy!

    But I then opened a paypal Asia account and there they are much more efficient, the support answers the question and I am not obliged to recreate a password each time I want to connect like with paypal France.

    Finally I just opened a payoneer account, as I receive money from my websites affiliates program, and I have a Transferwise account, both my affiliate programs and Transferwise work with Payoneer, so it will save me money, time and simplify my work!


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