Wise vs. Paypal: Learn The Differences Between The Two

Written by
Lou Zarcal
Published on
March 6, 2023
Wise vs. Paypal: Learn The Differences Between The Two

When it comes to international money transfers, there are a few well-known platforms that come to mind.

Two of the most popular options are Wise and PayPal, both of which offer a range of services for individuals and businesses looking to move money across borders.

Wise is known for its low fees, fast transfers, and mid-market exchange rates, while PayPal is recognized for its wide range of services, user-friendliness, and brand recognition.

However, both platforms have their pros and cons, and users should carefully consider their needs before choosing between the two.


Wise is known for its fast international money transfers. The platform uses a unique system that allows users to transfer money between accounts in different currencies at a low cost and in a matter of seconds.

For example, a transfer from USD to EUR with Wise can be completed in less than 10 seconds. PayPal, on the other hand, offers instant transfers only to eligible debit cards or bank accounts. Otherwise, it may take 1-5 business days for the money to be transferred.

Winner: Wise


One of the main reasons people choose Wise over PayPal is the fees.

Wise offers lower fees than PayPal for international money transfers. Wise charges a small percentage fee that ranges from 0.35% to 1.5%, depending on the currency and the transfer amount. For example, transferring 1,000 USD to EUR with Wise costs only 7.53 USD.

PayPal, on the other hand, charges a fixed fee plus a percentage of the amount being transferred, which can add up to be more expensive than Wise. For example, transferring 1,000 USD to EUR with PayPal costs 43.99 USD.

Winner: Wise

Conversion Rates

Wise offers mid-market exchange rates, which are the rates that banks and financial institutions use to exchange currencies among themselves; this can range from 0.35% to 2%.

These rates are typically better than the exchange rates offered by PayPal, which can be up to 4% higher. This means that Wise users can get more for their money when they transfer funds between currencies.

Winner: Wise

Customer Service

Both Wise and PayPal offer customer support, but Wise has an advantage in this area as well.

Wise has a dedicated customer support team that is available 24/7 via phone, email, or live chat.

PayPal's customer support is only available during certain hours and can be difficult to reach at times.

Winner: Wise

Overall, Wise offers faster transfers, lower fees, better exchange rates, and more comprehensive customer service than PayPal. However, PayPal remains a popular choice due to its wider range of services and brand recognition.

While Wise and PayPal are established options for international money transfers, Parallax offers a compelling alternative with its low fees, competitive exchange rates, and fast transfer times.

Join our community and give Parallax a try today!

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