Freelancing is getting highly popular in India these days. People making Freelancing as a full-time career for the simple reason that they are getting paid more than their full-time job. But when it comes to withdrawing online payment from overseas then two big names comes in the mind first- Payoneer and PayPal. Both have their pros and cons in withdrawing online payments. Let’s see a head to head comparison between both of them and find out who wins the race in Payoneer VS PayPal.
PayPal needs no introduction as it popular for withdrawing global payment. There are millions of customers who use PayPal for withdrawing their online payments.
Low Transfer fees
No fees is charged to the sender
Best for small payments
Transferred to bank a/c in 3-5 working days
There are fees charged at receiver’s end
Conversion Fees is high which is 2.5%
Payoneer is new but rapidly growing for withdrawing online payments. It is definitely be called as “Future of Online Payments.” due to its numerous advantages.
No fees as at receiver’s end
Best conversion rate of 2% only
Takes more time due to ACH transfers
Here is the chart for the comparison between Payoneer and PayPal.
As a Freelance Blogger, I withdrew online payments and here is the money I got by withdrawing from PayPal and Payoneer. In fact, I earned extra 50$ as a bonus during my withdrawal from Payoneer. Let’s see how it happened
1. When I withdrew 150$ from PayPal
Sender: PayPal US
Receiver bank: PayPal India
Amount transferred: 150 $
Fee charged to receiver: 4.4% of the amount transferred + 0.30 cents
Currency conversion fee: 2.5% above the mid-market rate
Total time taken for transfer of payment: 3–5 working days
Total amount transferred :
Mid-market rate: 1 USD = 66.38; currency conversion rate charged by PayPal = 64.72 (2.5% above the mid-market rate)
Currency to be transferred in USD = 143$
Hence, 143*64.72= INR 9255
2. When I withdrew 150$ from Payoneer
Sender: Payoneer US
Receiver bank: Local Indian Bank
Amount transferred: $150
Receiving fee: Nil
Currency conversion fee: 2% above the mid-market rate
Total time taken for transfer of payment: 2–4 working days
Total amount transferred :
Mid-market rate: 1 USD = 66.38; currency conversion rate charged by Payoneer = 65.05 (2% above mid-market rate)
Currency transferred in USD: $150
Hence, 150*65.05 = INR 9757 + bonus of 50$ on first transaction = INR 13009
I clearly earned 3757 INR more money by withdrawing my online payment from Payoneer.
Now let’s see who wins the race by looking at the above transactions.
Payoneer VS PayPal
So Payoneer wins the race.
I hope this article will help you take an important decision for withdrawing the online payments from overseas.