Stripe vs PayPal Fees (2026): Which Is Cheaper for Your Online Shop?
By Saurabh Pandey · Updated · 3 min read
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Stripe and PayPal are the two payment services most small online shops use. Both are pay-as-you-go with no monthly fee, both are trusted, and both connect to Shopify, WooCommerce and most website builders. The question is which one keeps more money in your pocket.
The short answer: for card payments from customers in your own country, Stripe is cheaper almost everywhere. PayPal is worth offering anyway, because some customers simply prefer to pay with it. This guide shows the numbers behind that answer, using each company's 2026 pricing pages.
The headline rates side by side
| Country | Stripe (domestic card) | PayPal (checkout / standard) |
|---|---|---|
| United States | 2.9% + $0.30 | 3.49% + $0.49 |
| United Kingdom | 1.5% + £0.20 (standard UK card) | 2.9% + £0.30 |
| Canada | 2.9% + C$0.30 | 2.9% + C$0.30 |
| Australia | 1.65% + A$0.30 | 2.9% + A$0.30 |
| India | 2% (Indian cards) | International payments only: 4.4% + fixed fee |
Try your own amounts in either calculator:
Stripe Fee Calculator
Open full calculatorFee breakdown
Enter an amount to see Stripe's fee.
Worked example: a $100 order
United States. Stripe charges 2.9% + $0.30 = $3.20, so you keep $96.80. PayPal Checkout charges 3.49% + $0.49 = $3.98, leaving $96.02. Stripe saves $0.78 on every $100 order; across 300 orders a month that is $234.
United Kingdom. On a £50 order paid with a standard UK card, Stripe charges 1.5% + 20p = £0.95. PayPal's standard rate is 2.9% + 30p = £1.75. Stripe costs about half as much.
Canada. Both charge 2.9% + C$0.30 for domestic payments, so a C$100 order costs C$3.20 either way. The difference appears with international buyers: Stripe adds 0.8% for international cards and 2% if currency conversion is needed, while PayPal adds 0.8% for US buyers and 1% for others.
Australia. Stripe's domestic rate of 1.65% + A$0.30 (GST included) makes an A$100 order cost A$1.95. PayPal's 2.9% + A$0.30 costs A$3.20.
India. The two are not really comparable: Stripe works on an invite-only basis for Indian businesses and charges 2% for Indian cards and 3% for international cards, while PayPal India only accepts payments from abroad, at 4.4% plus a fixed fee.
Small orders change the picture
Both services charge a fixed fee per payment, and PayPal's is higher in the US. On a $10 order, Stripe takes $0.59 (5.9%) and PayPal Checkout takes $0.84 (8.4%). If you sell many low-priced items, the fixed fee matters more than the percentage, and bundling or a minimum order value helps with either provider.
International customers and currency conversion
Both services charge more when the buyer's card or account is from another country, and both add a margin when money is converted between currencies:
- Stripe adds a percentage for international cards in the US (1.5%) and Canada (0.8%); in the UK and Australia the international card rate replaces the domestic one (3.15% + 20p and 3.5% + A$0.30). Currency conversion adds 1% in the US and 2% in the UK, Canada, Australia and India.
- PayPal adds 1.5% for international buyers in the US, 1.29% (EEA) or 1.99% (elsewhere) in the UK, and 0.8–1% in Canada and Australia, plus its own currency conversion margin.
If many of your customers are abroad, price in their currency through your shop platform and compare the totals for your real order mix.
Live fee tables
Both tables below are checked against the providers' own pages and dated:
| Country | Payment type | Fee | Extra fees |
|---|---|---|---|
| United States | Online card payment | 2.9% + $0.30 | +1.5% Card issued outside the US; +1% currency conversion |
| Manually entered card | 3.4% + $0.30 | ||
| United Kingdom | Standard UK card | 1.5% + £0.20 | ; +2% currency conversion |
| Premium UK card | 2.8% + £0.20 | ||
| Card from the EEA | 2.5% + £0.20 | ||
| International card | 3.15% + £0.20 | ||
| Canada | Online card payment | 2.9% + C$0.30 | +0.8% International card; +2% currency conversion |
| Manually entered card | 3.4% + C$0.30 | ||
| Australia | Domestic card | 1.65% + A$0.30 | ; +2% currency conversion |
| International card | 3.5% + A$0.30 | ||
| India | Mastercard/Visa issued in India | 2% | ; +2% currency conversion |
| Mastercard/Visa issued outside India | 3% | ||
| Amex issued outside India | 3.5% | ||
| International card with USD presentment | 4.3% |
United States: Standard pay-as-you-go pricing. Businesses with large volumes can ask Stripe for custom pricing. United Kingdom: The card's issuing country decides the rate. +2% when currency conversion is needed. Canada: +0.8% for international cards and +2% when currency conversion is needed. Australia: Australian Stripe fees include GST. Stripe has announced lower international pricing from 1 April 2027. India: Stripe in India is invite-only. Check your Stripe invoice for any GST charged on fees.
Last verified: . Official sources: Stripe pricing (US) · Stripe Support: manually entered card payments · Stripe pricing (GB) · Stripe pricing (CA) · Stripe pricing (AU) · Stripe pricing (IN)
| Country | Payment type | Fee | Extra fees |
|---|---|---|---|
| United States | PayPal Checkout (PayPal balance, Venmo) | 3.49% + $0.49 | +1.5% Buyer outside the US |
| Credit or debit card payment | 2.99% + $0.49 | ||
| Send/receive money for goods & services | 2.99% | ||
| PayPal Pay Later | 4.99% + $0.49 | ||
| United Kingdom | Standard rate (sales under £4,000 a month) | 2.9% + £0.30 | +1.29% Buyer in the EEA; +1.99% Buyer anywhere else |
| Merchant rate (£4,000–£8,000 last month) | 2.4% + £0.30 | ||
| Merchant rate (over £8,000 last month) | 2.1% + £0.30 | ||
| Buy Now Pay Later | 3.9% + £0.30 | ||
| Card payment without a PayPal account | 1.2% + £0.30 | ||
| Canada | Commercial transaction | 2.9% + C$0.30 | +0.8% Buyer in the US; +1% Buyer anywhere else |
| PayPal Pay Later | 4.9% + C$0.30 | ||
| Australia | Commercial transaction | 2.9% + A$0.30 | +1% Buyer outside Australia |
| India | Payment from a buyer outside India | 4.4% + $0.30 | – |
United States: Fixed fee for US dollar payments is $0.49. Currency conversion, if needed, is charged separately at PayPal's exchange rate. United Kingdom: Fixed fee for pound sterling payments is £0.30. Merchant rates depend on your previous month's sales volume. Canada: Fixed fee for Canadian dollar payments is C$0.30. Australia: Fixed fee for Australian dollar payments is A$0.30. India: PayPal India only handles international payments. The fixed fee depends on the currency received ($0.30 for US dollars). Converting to rupees adds PayPal's currency conversion spread.
Last verified: . Official sources: PayPal US merchant fees · PayPal UK merchant fees · PayPal CA merchant fees · PayPal AU merchant fees · PayPal IN merchant fees
Should you offer both?
For most small shops, yes. A common setup is Stripe (or Shopify Payments, which is built on Stripe in many countries) as the main card processor, and PayPal as an extra button. Card payments go through the cheaper processor, while customers who prefer PayPal can still check out instead of leaving. If you sell on Shopify, remember that using a payment provider other than Shopify Payments adds Shopify's own third-party fee; see the Shopify fee calculator.
The bottom line
Stripe is the cheaper way to take card payments in most countries, and PayPal is the payment method many shoppers trust. Offer Stripe for cards, add PayPal as an option, and check both with the PayPal fee calculator and the Stripe fee calculator using your own order values.
Rates in this guide were checked against Stripe's and PayPal's pricing pages for each country in October 2026 and apply to standard pay-as-you-go pricing.
Frequently asked questions
Is Stripe cheaper than PayPal?
For domestic card payments, yes, in the US, UK and Australia; in Canada the domestic rates are the same. On a $100 US order Stripe charges $3.20 and PayPal Checkout $3.98.
Which is better for international sales?
It depends on where your buyers are and which currencies you sell in. In the US both add 1.5% for international payments; in the UK and Canada the surcharges differ by region. Currency conversion adds 1–2% with Stripe and PayPal applies its own exchange-rate margin, so run your typical international order through both calculators.
Do Stripe or PayPal charge monthly fees?
Neither charges a monthly fee on standard pay-as-you-go pricing. Optional add-ons, such as Stripe Billing or PayPal advanced card processing, can have their own costs.
Can I pass the fees on to my customers?
In the US you can usually include fees in your prices, but card surcharges are restricted in some states and banned for consumers in the UK and EU. Building fees into your normal prices is the safest approach.