Stripe and PayPal are the two default online payment options for most businesses. Here is how their fees actually compare in June 2026.
Headline fees, side by side
| Factor | Stripe | PayPal |
|---|---|---|
| Online card rate | 2.9% + $0.30 | 3.49% + $0.49 (wallet) / 2.59%-2.99% + $0.49 (cards) |
| Effective @ $50 | ~3.5% | ~4.5% (wallet) |
| International cards | +1.5% | +1.5% |
| Currency conversion | +1% | spread on conversion |
| Chargeback fee | $15 (refunded if won) | $20 (often waived) |
| Monthly fee | $0 | $0 (standard) |
On raw cost for a card payment, Stripe is cheaper. See the live Stripe vs PayPal comparison.
When PayPal still wins
- Conversion lift. The PayPal and Venmo wallets are trusted by millions of shoppers; offering them can raise checkout completion meaningfully.
- One-off and cross-border buyers who don’t want to type card details.
- Built-in dispute resolution that many small sellers find reassuring.
When Stripe wins
- Lower effective rate on standard card volume.
- Best-in-class developer APIs, subscriptions (Billing), marketplaces (Connect) and fraud tools (Radar).
- Cleaner fee structure with a smaller $0.30 fixed fee.
The pragmatic answer
Many merchants run both: Stripe (or Braintree, which bundles cards + PayPal + Venmo) for cards, and the PayPal wallet as an extra button for the shoppers who want it. Model your real volume and ticket size in the calculator, and read what an effective rate is first.