The decision to select either TransferWise or Stripe can be rather simple, especially if you are an individual who wants to send money overseas. This is because Stripe provides services only for businesses. However, choosing between the two as a business that makes or receives international payments is not as straightforward.
Taking the Stripe vs. TransferWise comparison to Trustpilot gives you an indication of what users of both companies have to say about their services. On this review-based platform, TransferWise gets an average score of 9.2 out of 10. Stripe, on the other hand, averages at 6.5 out of 10.
Selecting Stripe or TransferWise requires that you look beyond what other users have to say, and focus on your own requirements. The aspects you need to address include:
- Exchange Rates
- Ease of Use
- Regular Overseas Payments
Since both companies provide mid-market rates, the cost of using Stripe or TransferWise essentially depends on the fees you end up paying. This aspect requires careful attention because both companies follow different pricing systems.
- Personal transfers attract a small percentage of the amount you transfer as fees.
- Fees for personal transfers depend on the transfer amount, the currencies involved, and the mode of payment.
- You may find more details about fees for personal transfers carried out through TransferWise online.
- Businesses and online sellers get fee-free receiving accounts in various currencies through the TransferWise Borderless account.
- Adding funds to and receiving payments into the Borderless account attract no fees.
- When converting currencies or making withdrawals from the Borderless account, you need to pay nominal fees.
- Payments received via debit and credit cards attract 2.9% of the transaction amount plus $ 0.30 as fees.
- Accepting payments via international cards comes with an added 1% fee, and you might also incur a 1% currency conversion fee.
- ACH direct debit, ACH credit, and wire transfers attract 0.8% of the transaction amount as fees along with a flat fee of no more than $5.
- Using the company’s billing services requires that you pay 0.4% as fees for recurring charges, although no fees apply for the first $1 million.
- You may view further details about the company’s pricing structure online.
Ease of Use
Both companies score well in this section of the Stripe vs. TransferWise comparison. Both provide various tools for businesses that need to make or receive international payments. Both operate multilingual websites.
- Acceptable payment methods, depending on the country from which a payment originates, include bank account transfers, debit cards, credit cards, and SOFORT.
- You get free receiving accounts in USD, EUR, GBP, and AUD if you open a Borderless account.
- The Borderless account lets you hold funds and transact in over 40 currencies.
- Access to funds in your Borderless account is made easy through a prepaid Mastercard.
- Businesses may accept payments via debit cards, credit cards, various digital wallets, as well as different region-specific methods.
- The Checkout option lets you receive payments directly through your website.
- You may accept payments using the Stripe app or its mobile website.
- Stripe Terminal gives you the ability to accept payments in person.
- You may bill customers using one-off or recurring invoices.
Regular Overseas Payments
Your need to set up recurring payments might have a bearing on whether you should select TransferWise or Stripe. While Stripe lets you set up scheduled payments easily, TransferWise is yet to start offering this facility.
- Read about TransferWise features and their pro’s and con’s.
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- Watch a TransferWise YouTube video on how to apply your exclusive discount.
- Is TransferWise’s competition up to the task?