Payoneer and Paysera are two popular global fintech companies that offer similar features, but function in very different ways. Although they can both get you from point A to point B (with digital money transfers, online payments, and currency conversion) you have to know how each platform operates to make the most informed decision.
When it comes to comparing Payoneer vs Paysera, Payoneer has a focus on digital payments for freelancers, while Paysera enables European businesses. Although Payoneer and Paysera are rivals in the realm of payment solutions, services at one company may be missing completely at the other.
In this article, we’ll look at how both platforms function, the pros/cons, which fees apply to your business, and how to make the right choice today.
What is Payoneer?
Founded in 2005, in New York, Payoneer is a financial services brand for domestic and international money transfers, digital payments, and working capital.
In the Payoneer dashboard, users can easily track their account balance, payments, and full transaction history, including transaction fees and foreign currency amounts.
The Payoneer platform supports 150 local currencies, in 200+ countries, and in 35 different languages. Over 5 million customers across the globe use Payoneer every day. They are also a worldwide member service provider of Mastercard.
Companies that have a Payoneer account include Amazon, Airbnb, Google, eBay, Adobe, Rakuten, Upwork, and Fiverr.
What Does Payoneer Do?
Unlike a POS (point of sale) system, Payoneer does not let you directly charge customers. Instead, a business requests payment through the platform or waits for the customer to initiate payment.
Payoneer gives you the ability to directly withdraw funds with a debit card, as well as send and receive funds domestically and internationally (including a local bank transfer). The payment platform immediately connects companies with customers for e-commerce and online payments.
Businesses can send direct payment requests or invoices to customers, who then have the option to pay online via a credit card or bank account.
Payoneer supports these currencies:
USD, EUR, GBP, CAD, AUD, JPY, and CNH.
Pros of Payoneer
- The system has superb customer support with ecommerce capabilities and accounting integration.
- Reasonable exchange rates that are better than similar platforms.
- Offers free resources, surveys, and whitepapers to help users accomplish more; independently.
- Requires far less information than other platforms to receive payment.
- Payments get settled quickly, in your local currency
Cons of Payoneer
- Payoneer is not established with a bank and does not hold funds. They go into your Payoneer account, which you then must transfer to a bank account.
- Unless both parties have a Payoneer account, fees can tend to run high.
- The system lacks dedicated account managers for smaller transfers and accounts.
- If you don’t use the account within 12 months, you will be charged a fee.
What is Paysera?
Paysera was founded in 2004 and is located in Vilnius, Lithuania. The payment processing platform has a European focus, but functions across 180+ countries in over 30 currencies. It’s a safe, cheap, and easy way to send or receive money online.
With a Paysera IBAN account, a business can transfer money quickly. Wire transfers in Europe (SEPA) are free. Although the platform is certainly suitable for use by individuals, the core of the product is targeted towards entrepreneurs, business owners, and marketplaces.
The Paysera solution combines a multi-currency account approach with money transfer services and a debit card. To use the platform, a business must apply for Client Identification first. This can be done online, through email, or by visiting a Paysera branch.
What Does Paysera Do?
Paysera is a payment processing solution that offers ecommerce capabilities inside business accounts. The main features include:
This online payment gateway is what retailers use to help their customers checkout. The convenient online payment service requires no bank account. However, your Paysera account has the capability of connecting to a traditional bank, so customers can pay with a debit card or bank account.
Paysera can be used in a physical location to collect payment from customers using a mobile phone (iOS and Android). The fee ranges from 0.20% to 0.70%, depending on the volume of monthly transactions.
Pros of Paysera
- Customer service is stellar. While most banks aren’t open on weekends, Paysera responds to calls immediately.
- The platform has faster and more secure services.
- Paysera offers payment solutions for point of sale systems.
- Mobile app for effective money management.
- Currency exchange at favorable rates.
Cons of Paysera
- Paysera’s Visa card is denominated in Euros. Withdrawals in some non-Euro currencies could result in forex surcharges.
- Occasional glitches and malfunctions with the app and user interface.
- Lengthy identification process, where verification is not even accepted in some countries.
- Customer support isn’t always available in English.
|Receiving Cost||It’s free from another Payoneer account or 1% via ACH and 3% via credit card.||Free but it can only come from another Paysera user or into an IBAN account.||6 international payment methods – cost varies|
|Sending Cost||It’s free from another Payoneer account or 1% via ACH, 2% to another bank account, and 3% via credit card.||Free for SEPA area banks; other countries €.1 after first 50 transfers free.|
€.2 for instant transfers.
|Sending costs vary.|
|Speed||1-2 days||Instant through SEPA or up to 3 days||0-2 days|
|Currencies||150 currencies||30+ currencies||126 currencies|
|Debit Card||Mastercard ($29.95/yr)||Prepaid Visa||No|
|International Payments||Payoneer Local Currency Accounts in 200 countries.||Pays in over 180 countries.||Pays to 196 countries.|
|Taxes||Has a tax agreement with the IRS.||Payments to Sodra and the State Tax Inspectorate (STI) are free.||There is built-in tax and VAT compliance.|
|Mass Payments||Automated batch-pay up to 200 at a time.||Mass payments via API.||Global mass payables automation solution|
|Business Capital||Merchant cash advance through Amazon and Walmart, up to $750,000.||None.||Not yet|
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Payoneer vs Paysera Fees: Who Has Less?
Comparing the prices of two similar payment processing systems is never easy, especially if the platforms deal with international payments. One of the best places to start is to look at the pricing for each feature you intend to use. Here are a few quick comparisons:
The annual account fee for Payoneer is $29.95. However, this is only charged after 1 year of inactivity. So, unless you have multiple accounts, most businesses will not have to worry about this. All transactions are free between users, as long as they are drawn from the Payoneer account balance.
The fee for opening a business account in Paysera depends on the company’s activity and registration country. Companies registered in SEPA countries pay zero fees to open an account, whereas businesses registered in non-SEPA countries are charged 10 EUR.
If a business has the distinction of an “international company” or conducts activity typical of a financial service provider, the fee is a tad higher. Regardless of the country of registration, it will cost 100 EUR to open a Paysera account.
An account administration fee is also charged when the client does not use the account for 2 years.
In Payoneer, a company can send payment requests to clients with the option to pay via credit card or ACH bank debit (the US only). They can also pay via local bank transfer into your receiving accounts. The cost for a credit card transaction is 3% (all currencies) and 1% for ACH bank debits.
If both users have a Payoneer account, transfers are free. They are also free if you are using your bank account through Payoneer.
In Paysera, money is only received through the debit card, which is “topped off” and typically of no charge.
Sending money directly from your Payoneer balance to a bank account via a bank transfer costs up to 2% of the transaction and 3% for a credit card. Payoneer users can also make batch payments up to 200 bank accounts at once with a 2% fee.
A fixed fee of $1.50 also applies when you use a USD, EUR, or GBP balance to make a payment to a bank account that is in the same currency. It also applies to a country where the payment currency is the local currency or one in the same country as your Payoneer profile.
For standard transfers, Paysera charges nothing for SEPA countries. All other countries get the first 50 transfers free, and then the cost is .10 EUR after that. For instant transfers, Paysera charges .20 EUR for SEPA members, and 1 EUR for other countries.
Depending on the country, Payoneer will add a currency conversion charge of 2% to 2.75% for international transactions. Users are also subject to Mastercard’s exchange rates if it is used in a non-listed currency.
Paysera charges for international transfers when you use SWIFT. For international euro transfers outside the EU and EEA, Paysera charges 7 EUR up to 9,999 EUR and 10 EUR after that. For companies outside of SEPA, the cost for a global payment is 10 EUR, and for a company labeled “international,” it is 35 EUR.
There is a fee of $29.99/year for the Payoneer Mastercard. It can be used at any ATM in the world, but has a maximum daily limit of $2,500. There is also an average cost of 1% of the transaction in foreign exchange fees.
The Paysera contactless debit card provides all common card services at cost price, i.e. the fees that they are charged by their partners. It cost 5 EUR to issue one to a business, and .75 EUR as a monthly fee.
- Paying in EU shops in other currencies – costs .10 EUR + 0.70 %
- Paying in non-EU shops in other currencies – costs .10 EUR + 1.20 %
In the case of Payoneer vs Paysera, there are some very definitive features that might help your decision. For starters, if you don’t run your business using euros, the choice is clear. Payoneer is the platform that will work best.
If you perform a large volume of transactions in euros, Paysera is the platform that will clearly save you money. However, Paysera also has high fees for companies considered “international” so if you fall into that category, Payoneer might be cheaper. Until you do the research, the whole process can seem confusing.
Your ultimate decision will be based on business needs. Another smart alternative to consider is Tipalti.
The global payments platform automates AP, approvals, and the payment process, to streamline workflows and save up to 80% of your time.
Tipalti enables you to close the books sooner each month and at year-end. It effortlessly provides supplier self-service onboarding, validation, tax compliance, fraud controls, and a reduction in erroneous payments.
It’s the perfect alternative to both Payoneer and Paysera for a business of any size or industry.