The rise of payment processors has left us with a wide range options to choose from. For many years, PayPal has been one of the biggest names when it comes to the best payment gateways. However, newer options such as PayPax have proven to be strong alternatives to PayPal. With the rise of online payment gateways, business owners now have the ability to offer their customers with various payment methods and what they need to do is to make a full comparison of their available options and choose the best one. So, in the PayPal vs PayPax comparison, which one is a better option to choose? Read along for a full comparison of the two payment gateways.

PayPal vs PayPax – Transaction fees

transaction feesA payment processing solution is what any business requires if it aims at selling services and products online and worldwide. So, if you aim at selling your products online, you need to offer payment solutions for your customers.

Transaction fees for selling via PayPal is 2.9% + $0.30 per sale as outline by PayPal fees. This is while the transaction fee for selling products outside the US costs 4.4% of the transaction amount plus a fixed fee based on the currency that you are using. So an online transaction made through PayPal would cost something between 2.9% – 4.4% of the transaction based on the location and the currency.

On the other hand, PayPax merchant gateways charge about 0.5% of the transactions made via PayPax credit, 3.9% of the transactions made with credit cards, 4% of transactions via PayPal, 2.5% of transactions via Skrill and 4% transactions via bitcoin. So an online transaction made through PayPax would cost something between 0.5% – 4% of the transaction based on the method of payment.

As for transferring money to other accounts, PayPal charges 1% of the amount transferred. This is while PayPax charges 0.5% of the transaction for verified accounts and 1% of the transaction for non-verified accounts. So, in a PayPal vs PayPax comparison for transaction fees, PayPax offers a more decent pricing, hence it is a better options if you have a start-up business and you are low on budget.

PayPal vs PayPax – Accessing your payments

Another noteworthy aspect of choosing a payment gateway for your business is how fast the payment system allows you to receive payouts. PayPal allows merchants to access their funds within 3-4 days. This is while other payment systems such as Stripe may take 7-10 days for your first payout to be received. One aspect of using PayPal as your payment processor that many users find frustrating is the waiting period. Many business owners prefer to have automatic deposits into their accounts as apposed to their money being held.

But as for PayPax, payouts are received into your bank account within 24-48 hours which is fantastic for you if you hate waiting for your payouts. So, in PayPal vs PayPax payout waiting period, PayPax has the upper hand and is a better choice for you if you would like to receive your payouts without your money being held for a few days.

PayPal vs PayPax – Ease of use

To get started with PayPal, you can choose the fast way of copying a pasting a line of code onto your website source code and you can get the “Buy it now” button instantly on your website. This button will directly take your customers to the payment gateway on which they can make their purchase. However, if you would like to create a more elaborate payment page on which customers can see their chart and all the details related to their purchase, you need to put more time into adding PayPal into your website. However, PayPal does its best to keep this process as simple as possible.

As for PayPax, the process of integrating this payment system into your website is absolutely simplified in order to help service providers to sync the gateway into their website as fast as possible. Hence, when comparing PayPal vs PayPax with regard to ease of use and the required time to integrate this payment gateway, it can be said that both PayPal and PayPax are good option if you want to avoid technical complications of integrating the payment system into your website.

PayPal vs PayPax – User interface

Many business owners neglect the importance of user interface and user experience of their payment gateway in their sales statistics. If your customers don’t feel comfortable with the checkout process on your website, your sales will definitely suffer.

When users see the PayPal button on your website, they tend to put their trust in you as PayPal is one of the most well-known methods of payment. In other words, the PayPal button creates a sense of comfort and security for your customers and they feel more relaxed in the checkout process.

However, search shows that many business owners find PayPal API outdated although it is a well known and trusted brand.

PayPax on the other hand might not be a well known brand for your customers, however, the simplicity that it brings to the checkout process help your customers to have a enjoyable process while purchasing from your website.

PayPal or PayPax? Which one is a better option for your business?

The ultimate decision you should in PayPal vs PayPax comparison largely depends on the nature of your business and its needs.

PayPal offers name recognition. This means that you can give your customers a sense of trust and comfort when they are navigated to the chechout page.

However, if you are just starting up your business and you are tight on budget, a low cost payment gateway with decent transaction fees can help you a lot in saving up and cutting down on your business expenses to a great extent.

Finally, as mentioned before, it all comes down to you and your needs to make the choice. In addition, you can always consider adding more than one payment processing to your website if your can afford it. This will offer your customers with more payment solutions and can in turn boost up your sales.


Author Leila

Leila is a technology enthusiast and an avid blogger who holds a Master's degree in English literature. If she is not writing blog posts, you can find her cozying up in bed with an e-book or watching a movie.

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