PayPal Braintree vs. Stripe: Differences, pros and cons in 2024

Stripe and PayPal Braintree offer payment processing services to businesses of all sizes. Stripe began with online payments and grew to offer in-person payments as well through a unified platform. PayPal Braintree offers in-person, on-the-go and online payments. Both support card payments, among other payment methods, and enable small businesses to take payments through their websites, mobile apps and other integrations.

You may be comparing Stripe and PayPal Braintree for your unique business needs. Based on our reviews of over a dozen payment processors, here’s a breakdown of the key information you need to pick the best processor in our PayPal Braintree vs. Stripe review.

Stripe vs. PayPal Braintree: Quick overview

Stripe is a longtime payment processing company with diverse payment processing offerings. While it started as an online processor, Stripe also grew to include in-person payments. It’s an end-to-end payment service supporting cards, online wallets and buy now/pay later payment options. It’s suitable for nearly any online business, thanks to the robust developer options and integrations with many marketplaces and sales applications. Stripe is our second-ranked choice overall for payment processors.

PayPal Braintree is a card payment processing platform owned by PayPal. It offers developer-focused features, making it a solid solution for custom applications and online stores. PayPal Braintree also supports digital wallets and direct bank payments. It works with many major shopping cart platforms and other integrations.

Stripe and PayPal Braintree work well for custom checkout and recurring billing use cases. The best choice for your business likely comes down to your business needs, payment volumes and customer preferences.

Pricing and fees

Verdict: Tie

Stripe and PayPal Braintree offer slightly different percentage and per-fee costs for payments. Choosing between the two is different for each business. Stripe pricing is favorable if you process a higher volume of low dollar-amount transactions. If you process fewer transactions for a higher dollar amount, PayPal Braintree is a lower-cost option.

Stripe pricing and fees

Stripe card payment processing costs 2.9% plus $0.30 per transaction. The higher percentage fee and lower flat fee per payment make the pricing model best for businesses processing a higher volume of transactions with a lower average transaction amount.

With more robust offerings, you’ll also notice additional pricing for in-person transactions (2.7% plus $0.05) and manually keyed transactions (0.5%). ACH payments cost 0.8% with a $5 cap. Stripe offers a huge list of additional products and services for an added fee, including:

• Tax services.
• Data reporting.
• Enhanced fraud risk management. 
• Customer verification.

PayPal Braintree pricing and fees

Core card payment processing from PayPal Braintree costs 2.59% plus $0.49 per transaction. Verified nonprofits qualify for a discounted fee of 1.99% plus $0.49 per transaction. With a higher flat fee per charge and lower percentage, it’s better for companies processing a lower volume of payments with a higher average transaction amount.

Venmo, also owned by PayPal, requires a 3.49% plus $0.49 fee. ACH payments cost 0.75%. With fewer offerings, the payment structure at PayPal Braintree is a little easier to understand.

POS system features

Verdict: Stripe

PayPal Braintree does allow you to accept payments in person. However, Stripe’s POS system is a bit more detailed, making it the winner here.

Stripe hardware features

Stripe’s in-person payment system falls in a family of Stripe products called Terminal. Standard pricing for card payments is 2.7% plus $0.05. There’s an additional $0.10 fee per transaction when tap to pay is used and an additional $0.05 for enhanced encryption.

The basic card reader costs $59. Upgraded payment terminals cost $249 or $349, depending on your business needs.

PayPal Braintree hardware features

PayPal Braintree does allow for in-person and on-the-go payments. However, you won’t be able to use it with existing hardware, like Verifone card readers. The company states that PayPal Braintree uses specific encryption keys and applications that won’t allow you to use your Verifone card reader.

Software features

Verdict: Stripe

PayPal Braintree and Stripe offer extensive developer tools to build a unique, custom checkout system. Stripe offers more features, making it our winner in the software features category.

Stripe software features

Stripe features multiple checkout and payment software solutions. For example, you can build a checkout form with Stripe and embed it into your website, integrate it with one of many supported checkout systems or build your own. You can also create a checkout link that works on the Stripe website.

For custom checkout solutions using the Stripe API (application program interface), your options are similar to PayPal Braintree’s. But, with additional support for online invoice payments and Stripe-hosted forms, you can do more and get running quickly with Stripe.

PayPal Braintree software features

PayPal Braintree is more focused on its programmatic checkout tools through the PayPal Braintree API. The developer options are similar to what you get with Stripe when connecting to a custom-designed solution.

You can use PayPal Braintree to create a checkout form and embed it on your website. PayPal Braintree works with several popular checkout systems, but the list is notably shorter than Stripe’s.

Customer service

Verdict: Stripe

PayPal Braintree and Stripe offer detailed help sections where you can find answers to most questions, but Stripe makes it easier to get help quickly from a human customer support agent.

Stripe customer service

Stripe offers three methods to reach someone for help with 24/7 support. You can send an email and get a response within 24 hours for general questions. For more timely responses, you can log in and access chat support or request a phone call. Chat and phone support have an average three-minute wait time.

PayPal Braintree customer service

PayPal Braintree customer support is email only, outside of sales inquiries. From the PayPal Braintree website, you can enter a question into a contact form and wait to hear back. Sales support is offered by phone, but not technical support or questions for existing customers.

Final verdict

Winner: Stripe

Stripe is our top choice overall due to a wider product range and better support. With Stripe, you can manage most payment needs for a business, whether they’re in person or online. PayPal Braintree’s offering is more narrow, with online features only, but it could still work for many businesses.

If PayPal Braintree meets your needs, the pricing model may be better for some businesses. With more diverse payment needs, you’re better off with Stripe. Depending on your business, you may want to consider both, using PayPal Braintree for certain online payments and Stripe elsewhere. But if you only want a single payment company behind your business, Stripe is typically a better choice.

Who is Stripe best for?

Stripe is best for businesses needing in-person and online payments, as well as businesses requesting invoice payments or checkout through a link sent to your customers. If you’re online only and want the cheapest option, Stripe is better for businesses with high payment volumes and lower average transaction sizes.

Who is PayPal Braintree best for?

PayPal Braintree is best for sellers with lower payment volumes and higher average transaction values. If your payment profile includes high dollar sales, the pricing model could offer savings compared to Stripe.

Stripe vs. PayPal Braintree alternatives

Stripe and PayPal Braintree are members of a crowded industry. You may consider these alternatives if you’re looking at PayPal Braintree vs. Stripe and want to know about other options.

Square

Square offers a larger payment ecosystem with many online and in-person payment features. It also offers banking, payroll, inventory management and features for industries including restaurants, appointment-based service providers and other types of businesses. 

When it comes to pricing, Square offers plans starting at $0 per month. Transaction fees for online payments are 2.9% plus $0.30 for the Free and Plus plan but 2.6% plus $0.30 for the Premium plan. In-person transaction fees stay the same across all plans at 2.6% plus $0.10.

PayPal

While PayPal owns Braintree and integrates with other sales platforms, it’s worth calling out for its standalone offerings. PayPal features widely supported checkout integrations and sales through the PayPal website and app. It’s not as flexible as Stripe and Braintree for online payments, but it’s one of the easiest payment systems to use.

PayPal has a wide variety of transaction fees, including: 

• Card-present transactions (with Zettle): 2.29% plus $0.09.
• Manual card transactions (with Zettle): 3.49% plus $0.09.
• QR code transactions (with Zettle): 2.29% plus $0.09. 

Read more: Best Stripe alternatives

Frequently asked questions (FAQs)

Which is better, Stripe or PayPal Braintree?

Stripe is a better choice than PayPal Braintree for many businesses. It has more features and POS options. It’s not always the cheapest, however, but it does allow businesses to do more than PayPal Braintree.

Is Stripe cheaper than PayPal Braintree?

The pricing models make Stripe cheaper for high-volume sellers with lower average transaction amounts and PayPal Braintree cheaper for businesses with lower volumes and higher average transaction amounts.

How can I choose the best credit card processing company for my business?

To pick the best credit card payment processing company, you will need to consider what your business needs. Are you on a budget? Your average payment profile and sales volume will influence overall costs. Do you need certain features that other companies might not offer? You will want to heavily research any companies you are considering.