Stripe vs PayPal
Their headline rates look nearly identical, but they're shaped differently — and the difference flips depending on how much you're charging.
The fixed fee is the whole story
Stripe's standard online card rate carries a fixed amount on every charge. PayPal's personal Goods & Services rate is a flat percentage with no fixed component. That single structural difference means one of them wins on small payments and the other closes the gap as amounts rise — try $3, then $30, then $300 above and watch which name has the star.
For anyone selling small digital items, that fixed component is the entire game: it's why credit packs, bundles, and minimum order sizes exist. Raising a $2 product to $6 can cut your effective fee rate more than switching processors ever would.
The arithmetic here isn't the whole decision, though. Stripe is a developer product with a checkout you build and control; PayPal arrives with buyer familiarity and an account many people already trust. On small transactions the conversion difference between the two usually dwarfs the fee difference — pick the one your buyers will actually complete, then optimize the pennies.
Questions
Which is cheaper overall?
Neither, universally — it depends on your typical charge size, which is why this page asks. Run your actual average sale through it rather than trusting a blanket recommendation.
Are these the business rates?
The PayPal figure is the personal Goods & Services receiving rate. PayPal's business rails (Checkout, Invoicing) cost more and add a fixed fee, so a business account changes the comparison — check the PayPal calculator on this site for the full rate list.
What about international customers?
Both add surcharges for international cards and currency conversion — roughly 1.5% each, and they stack. If most of your buyers are overseas, add that to both sides before deciding.