11 Top Stripe Alternatives And Competitors

Stripe remains a top choice for startups and tech-oriented businesses seeking comprehensive online payment solutions, thanks to its highly adaptable software for developing tailored checkouts. Nevertheless, its intricate nature and complex need of hiring developers sometimes lead users to explore other options that better suit their needs. In this artile we will discuss some of the top Stripe alternatives that you can easily use for your business.

Although users generally find Stripe user-friendly, implementing certain payment types or customized payment functionalities may require some coding expertise. Notably, Stripe lacks POS tools. Additionally, its pricing structure may not be the most suitable for certain small businesses seeking simpler and more cost-effective solutions.

Considering these factors, we at HMS extensively reviewed numerous payment processors to identify the most suitable alternatives to Stripe. But first, let’s understand the features and specifications of Stripe.

An Overview Of Stripe Payments

Stripe Payments serves as a robust payment processing platform enabling seamless transfer of funds from your customer’s bank account to your business account. It supports various transactions like credit cards, debit cards, and alternative payment methods.

While initially catering to eCommerce transactions, Stripe has evolved to accommodate the changing landscape of business operations, expanding its services to include support for credit card terminals, POS systems, and mobile processing solutions in response to the growing trend of omnichannel business models combining online and in-person sales.

Features of Stripe

• Debit and credit card processing: Conduct card-based transactions both online and offline, with transactions incurring a flat fee.
• ACH processing: Enjoy seamless bank-to-bank payment capabilities available with all Stripe accounts.
• Buy now and pay later: Access support for various Buy Now and Pay Later payment methods like Afterpay and Affirm.
• International payment method processing: Seamlessly process numerous international payment methods.
• Hosted payments pages: Utilize Stripe’s hosted payments pages to ensure your customers’ credit card details remain secure.
• Billing and invoicing services: Benefit from convenient billing services, subject to a small transactional surcharge.

Pricing Structure

With a default Stripe account, you’ll find a user-friendly pay-as-you-go pricing model. This implies the absence of lengthy contracts, providing you the flexibility to cancel whenever needed. While the fundamental services do not incur monthly fees, you’ll be charged solely based on your transactions.

For credit and debit transactions handled through Stripe, the following pricing applies:

• 2.9% + $0.30 for normal transactions
• 2.7% + $0.05 for in-person transactions facilitated via Stripe Terminal

Pros Of Stripe Payments

• Extensive Guidance

Stripe prioritizes developers, thus offering comprehensive documentation that’s accessible to all. This documentation is designed in a straightforward manner, ensuring that individuals can grasp its API, products, and features effortlessly. Moreover, it has a plethora of pre-built solutions for various programming languages, along with provisions for testing and customizing online payment software solutions for the Stripe gateway.

• Tailored Software Solutions

To help developers in their focus on product development, Stripe provides customized libraries for a range of programming languages, such as Ruby, Python, PHP, Java, Javascript, and Node.js. These libraries eliminate the need for writing additional subprograms to integrate the API into the initial codebase, streamlining the integration process significantly.

• User-Friendly Testing Environment

In addition to its primary documentation and libraries, Stripe offers comprehensive documents and a reliable testing environment, ensuring a seamless testing process. The online payment software furnishes a range of sample credit card numbers, including invalid ones that trigger specific error codes, allowing developers to assess the functionality and responsiveness of their integration thoroughly.

Cons Of Stripe Payments

• Global Availability Concerns

Admittedly, like many other payment gateways, Stripe is subject to geographical limitations. Presently, it operates in 46 major countries, predominantly in Europe, Asia, and the Americas. While Stripe does accept payments globally, this geographical constraint may pose a challenge for businesses operating outside the specified countries.

• Technical Expertise Necessary

As we mentioned earlier, should you opt for integrating Stripe payments and want to introduce new features or tailor existing ones, proficiency in technical skills or access to developer resources is essential to ensure smooth customization. While the payment gateway’s documentation is user-friendly, successful implementation still necessitates coding proficiency.

However, it’s important to note that this reliance on technical expertise isn’t exclusive to Stripe, as most payment gateways often require some level of development support.

10 Best Stripe Alternatives in 2024

1. Host Merchant Services

Established in 2010, Host Merchant Services (HMS) is a reputable payment processing company catering to a wide range of merchants, including low-risk and high-risk businesses and nonprofit organizations. HMS offers a complimentary payment processing account and a specialized small ticket program tailored for micro-businesses.

With its transparent pricing, absence of cancellation fees, and exceptional customer support, it has garnered a reputation as a top-tier merchant services provider. And therefore, we have kept it as the first in our list of the best Stripe alternatives and competitors for small businesses.

HMS has extensive experience in the industry, providing merchant accounts that cater to diverse business models. It offers competitive interchange plus rates, nominal monthly fees, and flexible monthly contracts. Small businesses, particularly those with high-volume, low-ticket sales, will find HMS attractive than Stripe.

Features Of HMS

• Round-the-clock Customer Service: HMS provides 24/7 telephone support to all its merchants, along with a convenient live chat feature available during regular business hours.
• Comprehensive Payment Processing: The platform accepts all major credit and debit cards, including Visa, MasterCard, American Express, and Discover, and digital payment methods like Apple Pay, Android Pay, and PayPal.
• No Cancellation Fees: HMS stands out for its policy of zero cancellation fees, ensuring a hassle-free experience for its clients.
• Transparent Pricing Structure: With no hidden charges or setup fees, HMS offers some of the most competitive rates in the merchant services industry.
• Flexible Contracts: Clients benefit from the absence of long-term contracts or early termination fees, allowing them to adapt their services as needed.

Pricing Structure

Host Merchant Services presents a range of competitive rates tailored to different business sectors, ensuring transparent and accessible payment processing. Here’s a breakdown of their offerings:

• 0.25% + an additional $0.10 for Retail transactions.
• 0.20% + an additional $0.10 for Restaurant transactions.
• 0.35% + an additional $0.10 for Ecommerce transactions.
• $0 monthly for Free Credit Card Processing (for sales of $5,000 or above).
• $20 monthly for Free Credit Card Processing (for sales less than $5,000).
• 1.35% + an additional $0.5 for Nonprofits.
• $0.20 to $1.50 for Domestic ACH Transfers

The platform supports a variety of payment methods, including Visa, MasterCard, American Express, Discover, Apple Pay, Android Pay, and PayPal. It also provides next-day funding 24/7 customer support, and comprehensive online reporting capabilities. Host Merchant Services maintains clear visibility regarding its additional fees, which include a batch fee of $0.20, an optional gateway fee of $5.00 per month, a monthly fee of $14.99, and an annual fee of $24.00 for 1099 reporting purposes.

Pros And Cons of Host Merchant Servcies

Pros Of Host Merchant Services

Transparent Pricing:

HMS stands out among merchant services providers by openly displaying its processing rates on its website. While certain hardware costs may not be fully disclosed, the majority of fees and rates are readily available, fostering a sense of trust and reliability.

Swift Approvals:

With no long-term contracts in place, HMS offers fast approval processes, often within as little as 24 hours, even for high-risk businesses. This efficiency streamlines the onboarding experience for merchants, enabling them to commence operations promptly.

Customized Solutions:

HMS prioritizes tailoring payment processing accounts to meet the unique requirements of each business. This ensures that businesses only pay for the services they truly need. With a variety of options and configurations available, HMS caters to diverse processing styles, equipment needs, and funding preferences.

Cons Of Host Merchant Services

Absence of Instant Funding

One notable drawback is the absence of an instant funding option, which could be a limiting factor for businesses with specific financial requirements or urgent funding needs.

Integration Challenges

HMS lacks seamless integration with business management tools, potentially posing challenges for businesses seeking comprehensive integration solutions. Strengthening this aspect could enhance overall user experience and operational efficiency for businesses partnering with HMS.

Comparison Of HMS And Stripe

Host Merchant Services and Stripe are two of the most popular merchant service providers, but they offer different features and benefits. Host Merchant Services is a good choice for businesses with complex payment needs or that are considered high-risk. HMS offers various merchant services, including payment processing, POS systems, and e-commerce solutions. It also has a good reputation and is quite affordable compared to Stripe.

Stripe is a good choice for businesses of all sizes. Still, if you lack the technical skills, you can’t enjoy the full benefits of it, whereas, with HMS, you can easily integrate and start using it as your primary system with better features in no time. HMS provides a better customer support and thus using it will be easy for you.

2. PayPal

In the world of digital payments, PayPal reigns supreme, with a staggering 431 million active users across 200 countries. Its long-standing presence has solidified its widespread acceptance, even among smaller retailers. Notably, the pay with PayPal option is a common sight on numerous websites, a convenience not necessarily extended to other digital financial services like Apple Pay.

What’s more, PayPal’s buyer protection serves as a reliable safety net, ensuring refunds for undelivered or misrepresented items purchased online. This protection isn’t limited to buyers; sellers receiving payment through PayPal are also safeguarded. In cases where a buyer claims non-receipt despite the seller’s proof of shipment, the seller retains the full payment.

Features Of PayPal

• Buyer Protection: Users have 180 days to secure a full refund for undelivered, defective, or misrepresented products.
• Fraud Protection: The vigilant PayPal team keeps a close eye on transactions to combat fraud, email phishing, and identity theft 24/7.
• Simplicity: Renowned for its user-friendly nature, PayPal offers a simpler and safer payment and receipt system.
• Business Solutions: PayPal caters to businesses with an array of solutions, encompassing online and in-person payment gateways, comprehensive business management services, and flexible credit and financing options.
• Diverse Offerings: With competitive rates and no binding long-term contracts, PayPal provides an assortment of features such as Invoicing, PayPal Shipping, Loans and Working Capital.

Pricing Structure

Utilizing PayPal for certain transactions can be entirely fee-free, provided you’re using your PayPal balance or linked bank account, and the payment occurs in your local currency. Sending money to friends or family in your native currency also incurs no charges. Additionally, transferring funds between PayPal and your bank account won’t cost you a dime.

However, certain transactions do attract fees:

• 2.9% + $0.30 for normal transaction.
• 3.49% + $0.49 per sale for accepting PayPal payments.
• 2.99% + $0.49 per sale for accepting credit and debit card payments.
• 1.9% + some fixed amount for in-person transactions for payments above $10.01.

Pros and Cons of Paypal

Pros Of PayPal

User-Friendly Accounts with a Plethora of Features

PayPal’s widespread popularity owes much to its user-friendly accounts, which not only facilitate easy transactions but also provide a diverse array of services. These include online shopping, fund transfers to loved ones, hassle-free donations, credit access, ‘buy now, pay later’ options, and access to exclusive deals and offers.

Cost-Free Domestic Transactions for Many Services

Opening a PayPal account is completely free, as is utilizing it for domestic transactions, donations, and both online and in-person shopping, provided there’s no need for currency conversion. Additionally, sending and receiving USD payments, as well as domestic transfers funded through your PayPal balance, linked bank account, or Amex Send Account, incur zero charges.

Access to Exclusive Deals and Cash Back

By utilizing PayPal for your purchases, you gain access to exclusive deals and cash back offers in collaboration with partner merchants. Stack up your rewards to unlock further discounts, earn cash back, and accumulate reward points on every transaction.

Cons Of Paypal

High Costs for International Transactions

PayPal’s fee structure for international transactions tends to be notably steep. Any foreign currency transaction incurs a currency conversion fee ranging between 3% to 4%, along with any additional relevant service charges.

Delayed Withdrawal Process for Bank Transfers

If you aim to transfer your PayPal balance to your regular bank account, you might encounter delays. You’ll either have to pay a fee for an instant withdrawal or patiently wait for several days before the funds reflect in your bank account.

Mandatory PayPal Account Requirement for Fund Reception

When sending money via PayPal, the recipient must have — or create — a PayPal account to access the funds. While many individuals already have PayPal accounts, this necessity can create unnecessary complications if the recipient doesn’t have one.

Comparison of PayPal and Stripe

Both PayPal and Stripe offer convenient services for merchants. Setting up an account and initiating payments is a straightforward process with both platforms. Furthermore, there are no binding contracts, providing the freedom to terminate services at any time.

The primary distinction lies in the target user base. PayPal caters more effectively to SMEs in their initial stages, providing a user-friendly setup that doesn’t demand advanced technical expertise. On the other hand, Stripe is better suited for businesses seeking a high level of adaptability and customization options, allowing them to tailor nearly every aspect of the online payment process to their specific needs.

3. Square

Square is a popular choice for many small businesses due to its cost-effectiveness, user-friendly interface, adaptability, and dependable services. The platform integrates cutting-edge payment processing, point-of-sale (POS) capabilities, and efficient business management tools, all within an intuitive system. With its simple setup process, even beginners can create a Square account swiftly and start accepting various forms of payment for both in-person and online transactions.

By providing a comprehensive range of built-in benefits, Square allows business owners to concentrate on business expansion rather than spending time and resources on researching and testing various services. Its sell-anywhere toolkit enables users to seamlessly diversify their sales channels and explore new business prospects.

Features Of Square

• Virtual Terminal and Invoicing: Square simplifies the billing process for professional services through its invoicing feature. And the virtual terminal option lets companies accept payments from anywhere, whether it is through mail order or via phone.
• Efficient Online Payment Processing: With Square’s payment processing, businesses can seamlessly accept payments on their websites. Integration of Square’s software into their e-commerce platforms allows merchants to securely process online transactions and broaden their customer base.
• Streamlined In-Person: Square’s POS system is designed to streamline in-person transactions. It offers user-friendly software and hardware solutions to enhance the overall transaction experience.
• Enhanced Payment Options: The integration with the Square Cash App expands the range of payment options available to customers, providing additional flexibility for transactions.
• Record and Track All Types of Sales: With the mobile and retail POS app as well as invoice management, you can effortlessly record and track cash and paper check sales.

Pricing Structure Of Square

Getting started with Square Payment is a breeze, and it is free to start with Square. There are no monthly fees to worry about, giving you the freedom to explore the platform without any long-term commitments.

However, it’s important to note that Square Payment applies different rates and fees based on the payment methods utilized in your business:

• 2.6% + an additional $0.10 for contactless and swiped payment.
• 3.5% + an additional $0.15 If you’re using Virtual Terminal.
• 2.9% + an additional $0.30 or 3.5% + an additional $0.15 In the case of invoices paid using Card on File.

While specific industries might incur additional charges, Square Payment’s rates remain competitive when compared to alternative platforms like Paypal or Stripe.

Pros And Cons Of Square

Pros Of Square

Effortless Setup

Square Online simplifies the process of bringing your business online, catering to both tech-savvy users and those new to the digital landscape. While you can operate Square Online independently, users of Square POS will find a seamless integration of their existing data, including inventory, customer information, and loyalty programs, streamlining the transition.

Abundant of Features in Free Version

Unlike other platforms that offer only limited trials, Square presents a fully functional version that remains free indefinitely. With its robust inventory management tools and the capacity for unlimited and customizable product listings, it meets the needs of many small businesses. For added functionality such as QR code ordering and abandoned cart recovery, an upgrade option is available.

Tailored Packages According to Your Needs

Apart from Square Online, the Square product suite includes a variety of software for invoicing, appointment scheduling, and customer loyalty programs, each with its own pricing plans. Customizing your software package enables you to monitor the performance of your investments, ensuring efficient utilization of resources.

Cons Of Square

Very Few Third-Party Integrations

While Square Online facilitates sales through certain social media platforms like Instagram and Facebook, it lacks integration with major e-commerce marketplaces such as Amazon, Walmart, and eBay. To operate in these spaces, you’ll need to manage the channels independently or consider using an alternative e-commerce service like BigCommerce.

Not Suitable for High-Volume and B2B Sellers

Square Online, despite allowing users to list an unlimited number of products, isn’t tailored specifically for B2B transactions. Custom pricing options, for example, are limited unless you individually send invoices using Square Invoices. Additionally, the platform supports only card and ACH transfers, excluding other payment methods.

Limited Flexibility in Payment Processing

With the free plan on Square Online, you’re required to use Square for payment processing. While the Plus and Premium plans offer the choice to use PayPal, shopping around for more competitive rates isn’t an option.

Comparison Of Square And Stripe

The primary distinction between Square and Stripe lies in their target applications. Square shines in physical transactions, making it ideal for traditional stores. Conversely, Stripe caters to the needs of online enterprises, particularly those in e-commerce and subscription-based services.

Stripe’s forte lies in its developer-friendly nature, offering robust customization tools for optimizing the checkout process in online stores. It particularly excels in handling subscription payments for SaaS businesses. On the other hand, Square offers a wider array of hardware options, making it a preferred choice for businesses focusing on in-person transactions.

4. Stax

Unlike other payment processors we have discussed till now, Stax operates on a subscription-based model, offering competitive interchange-plus pricing, advanced invoicing tools, and additional features such as SMS text-to-pay and personalized customer portals.

Within the Stax app, users can conveniently transfer funds between linked accounts and even send money to friends and family, whether they use Stax or not.

Features of Stax

• Credit card terminals: Stax provides a variety of card readers and integrates seamlessly with multiple payment gateways.
• Robust security: With full PCI compliance, Stax ensures encryption across all devices for secure transactions.
• POS integration: Stax smoothly integrates with various POS systems, including Revel, Vend, and ShopKeep.
• Customization and integration: Users can personalize branding on invoices, receipts, and payments, and effortlessly integrate Stax with popular business software like QuickBooks.
• Efficient invoicing: Stax facilitates the sending of invoices and accepting partial or recurring payments for subscriptions. Moreover, users can add their company logo to invoices and send payment reminders for any overdue invoices.

Pricing Structure Of Stax

Stax offers users a monthly subscription-based payment platform inclusive of a chosen payment terminal without the need for a long-term contract. Three subscription plans cater to small businesses processing up to $500,000 (yearly), with customized pricing available for higher volumes. Stax’s pricing structure, absent of interchange rate markups, employs a transparent approach, aiding businesses in potential cost savings.

Subscription Plans:

• Growth Plan: $99/month
• Pro Plan: $159/month
• Ultimate: $199/month

Stax applies additional processing fees to the interchange rates, with 8 cents for in-person transactions and 15 cents for manually entered transactions. This model allows businesses to benefit from potential savings when the reduced interchange rates surpass the monthly subscription cost, fostering cost-effectiveness in the long run.

Pros Of Stax

Convenience:

Set up partial payments and recurring subscriptions, and securely store customer payment information for streamlined transactions.

Flexible Pricing:

Flat-rate pricing and tiered plans enable high-volume businesses to easily scale up their processing services as they expand, spreading out fixed costs.

Increased Access to Funds:

Through Stax’s partnerships with reputable banks, higher-risk businesses can access more funds, fostering their growth and development.

Cons Of Stax

Cost Barrier:

The higher pricing structure might make Stax less accessible for small businesses operating on a limited budget.

External Hardware Requirement:

As Stax doesn’t offer proprietary hardware, businesses are required to purchase their own, potentially adding to initial setup costs.

Limitations for Certain Businesses:

Stax may not be the ideal choice for restaurants utilizing Square and Toast POS systems, as it lacks seamless integration with these specific setups.

Comparison Of Stax And Stripe

In terms of pricing, it’s a draw as both platforms tend to be on the higher end, yet their affordability can be dependent on your specific business requirements. Both of them offer models that cater to businesses of varying sizes. Making the right choice often hinges on your team composition and your business objectives.

For small businesses looking for a straightforward monthly subscription plan with a flat rate fee, particularly if your sales are growing really fast, Stax might emerge as the top contender. On the other hand, if your business is experiencing rapid growth and you have the advantage of having a skilled developer on your team, Stripe could be the optimal choice.

5. Helcim

Helcim stands as a comprehensive SaaS payment solution, providing clear and transparent interchange plus pricing. It offers top-notch customer service, seamless POS system integration with image uploads, and versatile software accessibility across multiple devices.

Clients primarily utilize Helcim for secure and simplified payment acceptance, benefiting from API integration capabilities for enhanced operational efficiency and lowered costs, especially in the context of reduced interchange rates for Canadian and US card transactions, alongside card brand fees.

Features Of Helcim

• Dedicated Merchant Accounts: Merchant accounts for seamless credit and debit card transactions with customers.
• Easy to use: A user-friendly mobile app available for both iOS and Android, enabling you to accept payments anywhere.
• Offers Virtual terminals: Virtual terminals accessible from any internet-connected device, facilitating secure transactions over the phone or through other channels.
• Better payment gateways: Robust payment gateways, including hosted payment pages for your business website. These gateways facilitate various functions such as accepting payments, customer registration, QR code integration, secure credit card storage, and setting up recurring payment plans. Helcim’s payment gateway API seamlessly integrates with shopping carts, billing systems, and compatible third-party software, enhancing your overall payment processing experience.

Pricing Structure Of Helcim

Helcim operates with an interchange-plus pricing structure, ensuring transparency in payment processing fees. For transactions amounting to $50,000 or less per month, the rates are as follows:

• 0.4% + an additional $0.8 + the interchangeable fees for In-person transactions.
• 0.5% + an additional $0.25 + the interchangeable fees for Online transactions.
• 0.5% + an additional $0.25 + the interchangeable fees for Manually keyed transactions.
• 0.5% + an additional $0.25 for ACH processing.

The platform offers volume discounts to cater to varying business needs. In terms of hardware, Helcim offers a mobile card reader with a stand at $109 and a standalone terminal with a built-in thermal printer at $349. For additional point-of-sale hardware, you can explore third-party options or utilize existing equipment. Helcim is transparent about its fee structure, with minimal charges:

• $5 for any returned or rejected ACH or EFT/PAD transactions.
• $15 for chargebacks, reimbursed upon winning the dispute.

Pros And Cons Of Helcim

Pros Of Helcim

Transparent Pricing:

Helcim openly displays its processing fees, providing a clear breakdown of individual costs. While it may not be the most economical option for all businesses, this transparent approach sets it apart in the merchant service provider landscape.

All-Inclusive Platform:

Helcim distinguishes itself by offering a comprehensive suite of services, including merchant accounts, credit card processing, point-of-sale software, payment gateways, invoicing, and business management tools.

Easy Setup:

The swift application approval process ensures a quick and hassle-free setup for processing payments through Helcim.

Cons Of Helcim

Cost for Small Businesses:

Smaller enterprises processing lower monthly volumes may find Helcim’s pricing relatively expensive. Businesses with simpler needs might seek a more cost-effective solution.

Limited Integrations:

Helcim’s integration options with third-party software are limited, potentially restricting the connectivity of preferred business tools with the Helcim platform.

Comparison Of Helcim And Stripe

While Stripe is a good product, its value proposition might not be as good for the local merchants. It’s because the features Stripe offers focus more on SMEs with international clients or large organizations who are adept in coding and integrations, enabling them to fully leverage its customizable features and integrations.

For local businesses without extensive coding expertise looking for an easy-to-use payment system, Helcim could be the more suitable option. With the benefits of no additional costs for essential tools, not to mention a dedicated customer service team, Helcim presents itself as a favorable alternative when compared with Stripe.

With a focus on user-friendliness and cost-effectiveness, you can rest assured that opting for Helcim doesn’t mean sacrificing advanced tools or functionality.

6. Adyen

Adyen, established in 2006, focuses on global businesses and establishes direct connections to various payment methods. It acts as both a payment gateway and service provider, catering to online and in-person transactions. Renowned companies such as Uber, Facebook, eBay, Microsoft, and H&M rely on Adyen for its robust features and services.

Features Of Adyen

• All-in-One Platform: Adyen simplifies payment acceptance and processing for various business types, including marketplaces, supporting multiple currencies and payment methods like credit cards, digital wallets, and direct debits.
• Unified Commerce: Adyen’s solution provides a comprehensive view of customer behavior across all sales channels, allowing businesses to understand their shoppers better.
• Easy Integration: With pre-packaged plugins, integrating Adyen with your website, app, or business tools is seamless, saving time and resources on development.
• Security and Compliance: Adyen ensures security and compliance with essential regulations like PCI DSS, GDPR, and PSD2, allowing businesses to concentrate on core operations.
• Streamlined Payment Flow: By managing the entire payment flow, Adyen optimizes authorization rates and reduces transaction fees, offering localized processing without the complexities of managing multiple providers.

Pricing Structure Of Adyen

Adyen stands out with its competitive and transparent pricing model. There are no setup, monthly, integration, or closure fees with Adyen. The Interchange++ pricing ensures visibility into transaction fees, empowering businesses with greater financial oversight.

However, note that a minimum monthly invoice applies, which might be challenging for smaller businesses with lower sales volume. Understanding the pricing structure might initially seem complex, as it depends on the payment method and location of the transaction.

For instance, the current fees for some US payment methods are as follows:

• $0.12 + an additional $0.25 for ACH Direct Debit.
• $0.12 (A contract required between the merchant and Affirm for pricing) for Affirm.
• $0.12, + 4.99% + an additional $0.30 for Afterpay.

Here’s a breakdown of the Adyen processing fees based on cards and locations:

American Express:

• Adyen Processing Fee: $0.12
• Payment Method Fee: 3.95%
• Location: Global

Visa:

• Adyen Processing Fee: $0.12
• Payment Method Fee: Interchange++
• Location: Global

Mastercard:

• Adyen Processing Fee: $0.12
• Payment Method Fee: Interchange++
• Location: Global

Pros and Cons of Adyen

Pros Of Adyen

• All-in-one payments platform:

Adyen’s comprehensive platform handles payments from various channels including in-store, online, app, and marketplaces.

• Global reach:

With operations spanning North America, Europe, Latin America, Asia-Pacific, Middle East, and Africa, Adyen operates in over 30 currencies, facilitating both local and international transactions.

• Fee transparency:

Adyen eliminates additional fees such as monthly charges, setup fees, integration costs, and closure fees. It employs a per-transaction fee structure comprising a processing fee and payment method fee. Users can access multiple bank accounts, 24/7 support, and various platform tools without incurring extra charges.

Cons Of Adyen

• Pricing complexity:

While Adyen’s interchange-plus pricing model is transparent, determining the specific transaction cost involves factoring in geographic location and payment method, potentially making it more intricate than competitors’ flat-rate models.

Minimum invoice requirement:

Adyen may not be the most cost-effective choice for merchants with lower transaction volumes, as they must meet a monthly invoice minimum.

Limited brick-and-mortar features:

While Adyen excels in online business support, it may not be the ideal solution for primarily physical businesses. Although POS terminals are available on the website, pricing details and multi-device kits are not readily accessible. Furthermore, built-in features for inventory and staff management are absent, although integration with compatible apps may provide a workaround.

Comparison Of Adyen And Stripe

Both Adyen and Stripe are reputable payment processors, each facilitating diverse payments with minimal fees and ensuring PCI compliance. While both platforms offer this, Adyen’s focus on high-volume transactions and its omnichannel approach positions it as an optimal choice for larger businesses. With Adyen, you can accept more than 30 currencies from the most prominent countries like Mexico, Japan, Canada, UAE, Newzealand and more.

But Stripe stands out for its quick and straightforward signup process. Creating a Stripe account merely requires a few easy steps. This simplicity arises from Stripe’s role as a payment service provider with simple and straightforward pricing too.

All in all, Adyen functions as a merchant account provider, catering to more intricate transactional requirements for larger enterprises with a complicated structure.

7. Payment Depot

Payment Depot enables merchants to conveniently process credit card payments both in person and online. Unlike marking up the network-set interchange fees, Payment Depot opts for a straightforward monthly flat fee along with additional product charges.

Depending on their annual transaction volume, businesses can select a suitable plan and pay the monthly fee without being bound by contracts or early termination fees.

Features Of Payment Depot

• Payment Processing: Payment Depot facilitates the processing of most major debit and credit cards across various business types. Their comprehensive services include Clover POS systems, EMV card readers and swipers, e-commerce solutions, mobile solutions, and business funding.
• Flat Fee Transaction Rates: The company offers fixed fee transaction rates, ensuring that merchants pay a consistent fee per transaction.
• Payment Gateway Integration: Payment Depot integrates seamlessly with numerous popular eCommerce platforms such as WooCommerce, Magento, and Shopify, streamlining operations and enhancing the efficiency of online payment collection.
• POS Systems: Payment Depot presents a range of point-of-sale (POS) systems suitable for both small and large retail businesses. These systems come equipped with essential features like inventory management and employee tracking.
• Mobile Payment Processing: For merchants who operate on the move, Payment Depot provides a convenient mobile payment processing solution.

Pricing Structure Of Payment Depot

With Payment Depot, your monthly fee is determined by the volume of transactions you process. Unlike its competitors, Payment Depot doesn’t add a per-transaction fee on top of the card network interchange fees.

For each transaction, customers only pay the interchange rate, and Payment Depot solely receives the monthly subscription fee. The monthly subscription fee is structured as follows, based on your business’s annual processing volume:

• $79 for processing, amounting to $250,000 annually.
• For processing exceeding $250,000 annually, a custom quote is provided.

If customers opt for additional services beyond payment processing, such as invoicing or specific integrations, they may incur additional software fees.

Pros And Cons OF Payment Depot

Pros Of Payment Depot

No interchange markup

The absence of a transaction markup makes Payment Depot an attractive option, particularly for high-sales volume businesses. This approach could result in significant cost savings compared to competitors like Square or Stripe, who typically charge a fee per transaction.

Hardware compatibility

Payment Depot supports a range of credit card terminals, including models from Dejavoo, Clover, Poynt, SwipeSimple, and First Data. The available options encompass mobile-only card readers, standard terminals, and comprehensive point-of-sale terminals resembling traditional cash registers. Additionally, Payment Depot might offer terminal reprogramming services for those who prefer to use their existing equipment.

Free virtual terminal

All Payment Depot clients have access to a complimentary virtual terminal, enabling manual entry of credit card details without the need for a physical card reader. This feature proves beneficial for accepting card payments over the phone or serving as a backup option when encountering technical glitches with a card reader.

Cons Of Payment Depot

Lack of support library

Payment Depot does not provide a support library comprising articles and forums for self-troubleshooting. Customers need to rely on contacting the support department directly or submitting queries through the website to seek assistance.

Comparison Of Payment Depot And Stripe

The pricing structures differ as Payment Depot operates on the interchange-plus model, often proving more cost-effective compared to Stripe’s flat-rate fee.

Both platforms extend merchant financing through loans, yet Stripe holds an edge for processing international payments, unlike Payment Depot. On the other hand, Payment Depot stands out for its omission of additional charges for invoicing and recurring billing.

It’s worth noting that while Stripe offers same-day or next-day funding at an additional cost, Payment Depot lacks this feature. Additionally, Payment Depot, in collaboration with PayTrace, can obtain favorable Level 2 and 3 rates on business cards, an option not directly provided by Stripe, which relies on third-party integrations for similar functionalities.

8. 2Checkout

2Checkout provides businesses with a cloud-based payment gateway solution, facilitating the acceptance of online and mobile payments worldwide for various goods and services. It supports Hosted, API, and shopping cart integrated gateways, incorporating features like recurring billing and fraud prevention.

Particularly beneficial for digital products and retail, 2Checkout serves as a global payment platform equipped with tools for payment management and subscription services. Despite its global reach, it falls short in terms of developer experience and advanced functionalities when compared to Stripe.

Features Of 2Checkout

• Global Reach: 2Checkout facilitates payments in 200 countries and supports over 30 languages. It offers 100 display and billing currencies, making it a versatile choice for businesses with a global clientele.
• Subscription Management: With the 2Monetize and 2Subscribe plans, businesses can effectively oversee the entire subscription lifecycle. This includes onboarding users, managing customer retention, handling upgrades, and conducting these operations across various channels.
• Digital Commerce Options: 2Checkout provides two shopping cart options. The hosted cart is managed by 2Checkout and directs customers to complete their purchases through its ordering engine. It offers customization through a selection of templates. The inline cart, on the other hand, is an iFrame checkout window that opens directly on your website, providing a seamless checkout experience for your customers. Both cart options are optimized for mobile devices.
• Comprehensive Financial and Tax Services: Opting for 2Checkout’s merchant of record business model comes with numerous financial and payment management benefits. Under the 2Monetize plan, the platform takes care of sales tax, invoicing, VAT, international taxes, and remittance, and ensures global compliance. This comprehensive approach simplifies financial and tax aspects for businesses.

Pricing Structure Of 2Checkout

Your fees with 2Checkout vary depending on the specific pricing plan you choose, with the rates as follows:

• 2Sell: 3.5% + an additional $0.35 (single transaction)
• 2Subscribe: 4.5% + $0.45 (single transaction)
• 2Monetize: 6.0% + $0.60 (single transaction)

2Checkout operates on a pay-as-you-go model, meaning you only pay for each transaction without any additional monthly or annual account fees or early termination charges for closing your account.

However, it’s important to note that 2Checkout’s transaction processing rates are notably higher compared to industry standards. This disparity might be a concern if you’re primarily seeking a basic online processor.

Pros And Cons of 2Checkout

Pros Of 2Checkout

Subscription Management Tools:

The 2Subscribe plan offers robust tools for businesses reliant on subscription-based models. These features facilitate customer retention, subscription renewals, and comprehensive data analysis. Particularly for software companies heavily dependent on subscription models, these tools are invaluable.

Global Expansion Capability:

2Checkout enables businesses to accept a wide range of payment methods and currencies, with support for multiple checkout languages, making it a viable option for international expansion. Additionally, by opting for the platform’s merchant of record service, businesses can rely on 2Checkout to manage regulatory changes and tax compliance in various countries.

Despite the complexities of international transactions, 2Checkout ensures consistent transaction fees globally, with a slight additional fee in specific countries for transactions from foreign shoppers.

Cons Of Square

Online Payment Limitation:

2Checkout solely supports online payment processing, making it suitable primarily for businesses engaged in online sales of products and services.

Comparison Of 2Checkout And Stripe

Stripe has the upper hand on this one with services as it caters to tech-savvy users seeking extensive customization options. Additionally, for those conscious of costs, Stripe’s per-transaction fees, at 2.9 percent plus $0.30, prove more economical compared to the 3.5 percent plus $0.35 charged by 2Checkout.

2Checkout suits users operating across numerous countries, as it facilitates sales in over 200 countries and territories. Its multi-currency management not only boosts authorization rates by up to 25% but also minimizes cart abandonment, delivering an enhanced customer experience. Furthermore, users requiring more advanced functionalities may find 2Checkout’s “2Subscribe” and “2Monetize” tiers appealing, offering features like comprehensive subscription and invoice management, which are not readily available in Stripe’s basic offerings.

9. Chase

Chase, being one of the largest banks in the nation, caters to over 4 million business customers, providing them access to a rich reservoir of data for valuable insights. The company ensures swift payouts without any associated fees, simplifying the process for businesses using its services.

Furthermore, integrating the credit card processing service with a Chase business checking account can expedite processing for customers utilizing Chase-issued credit cards.

Features Of Chase

• Virtual Terminal: Chase Payment’s Orbital serves as a virtual terminal, allowing manual entry of credit card details to accept payments over the phone.
• Merchant Account: Chase facilitates the establishment of a merchant account, supporting in-store, mobile, and online payment processing.
• HIPAA-Compliant Payments for Healthcare Providers: Notably, Chase stands out by providing a HIPAA-compliant payment solution tailored for healthcare providers.
• Mobile App: Offering convenience, Chase presents the Chase QuickAccept, a compact mobile unit that links to its mobile app, enabling credit card payments on the go.
• Unified Processor and the Acquiring Bank: Distinguishing itself from many other systems, Chase serves as both a payments processor and an acquiring bank, resulting in smoother transactions with fewer intermediaries involved.

Pricing Structure Of Chase

Fees for payment processing with Chase Payment Solutions are as follows:

• 2.6% + an additional $0.10 for In-person transactions.
• 2.9% + an additional $0.25 for Online transactions.
• 3.5% + an additional $0.10 for Keyed transactions.

Regarding monthly fees, while Chase Payment Solutions typically does not impose monthly fees or require long-term contracts, there are some exceptions, particularly for businesses falling into the following categories:

• Businesses processing in multiple currencies.
• Businesses processing over $5 million in debit and credit sales.
• Businesses with specific software or connectivity requirements.

In these cases, additional terms and conditions may apply, which could include potential early termination fees. Understanding these fee structures is crucial in determining the overall cost implications for your business.

Pros And Cons Of Chase

Pros Of Chase

Data Utilization:

Leveraging Chase’s credit card data enables businesses to gain valuable customer insights, facilitating informed decision-making.

Efficient Transactions:

Chase offers fast payouts and integrates seamlessly with various financial services, ensuring smooth and expedient transactions.

Security Compliance:

With a strong focus on adhering to HIPAA standards, Chase Payment Solutions prioritizes secure transactions, particularly essential for businesses operating in the healthcare sector.

Cons Of Chase

Higher Processing Rates:

Comparatively elevated credit card processing rates may potentially impact overall costs for businesses utilizing Chase Payment Solutions.

Early Termination Fee Risk:

While accepting free equipment, businesses run the risk of incurring early termination fees, which can affect their financial standing.

Dated User Interface:

Some aspects of the software’s user interface might appear outdated, potentially impacting user experience and operational efficiency.

Comparison Of Chase And Stripe

When it comes to card processing, both direct and third-party processors like Chase Payment Solutions and Stripe hold significant appeal for businesses. If your business has a substantial transaction volume and you’re concerned about the possibility of your merchant accounts freezing, opting for a reputable card processor like Chase Payment Solutions could effectively mitigate these concerns.

Conversely, for smaller businesses and startups with a relatively lower transaction volume, Stripe presents itself as a favorable choice.

10. Authorize.net

Authorize.Net, a service of Lightbridge, is a leading global payment-processing platform designed specifically for e-commerce. It empowers merchants to securely process transactions around the clock, providing a reliable service for businesses worldwide. Authorize.Net Payment Solutions facilitates transactions involving both credit cards and electronic checks, ensuring a seamless payment experience for customers.

Features Of Authorize.net

• Advanced fraud detection: The platform incorporates a robust built-in fraud detection tool that autonomously identifies potentially fraudulent transactions and dubious IP addresses.
• Customer information manager: This tool enables customers to securely store their payment and shipping information, streamlining the checkout process for future orders by eliminating the need to reenter information each time.
• Recurring payments: Authorize.Net facilitates instalment payments and automates monthly billing for businesses offering subscription-based services, enhancing convenience for both merchants and customers.
• Invoicing: The platform allows for the creation and distribution of personalized digital invoices to customers via email. Additionally, merchants can access comprehensive reports to track the status of invoices, including those drafted, sent, paid, and canceled.

Pricing Structure Of Authorize.net

Authorize.net offers two distinct plans, namely the all-in-one plan and the payment gateway only plan. While the transaction fees associated with the all-in-one plan align with industry competitors like Square and Stripe, these providers typically do not impose a monthly service fee.

For the merchant account combined with the gateway, the transaction fee stands at 2.9%, along with an additional 30 cents per transaction. Conversely, the payment gateway only plan involves a charge of 10 cents per transaction, with a daily batch fee of 10 cents.

Moreover, for electronic checks or ACH payments, a separate billing structure is implemented, amounting to 0.75% per transaction.

Pros Of Authorize.net

Round-the-clock customer support:

It offers comprehensive customer support services, ensuring that assistance is readily available at any time of the day. Although the support center remains closed on major holidays, customers can still seek help through the online chat feature or utilize the eTicket system for prompt resolution of queries and concerns.

Helps streamline the payment process:

Opting for the all-in-one plan provides the convenience of a bundled merchant account, streamlining the setup process and organizational management. However, it’s important to note that the merchant account is facilitated through a third party, which may require additional relationship management on the merchant’s part.

No hidden charges:

Authorize.net adopts a transparent approach to its pricing structure, offering clear and upfront information about fees, unlike many other gateway providers. This transparency is particularly advantageous for small businesses seeking predictability in their financial planning without encountering hidden costs or enduring lengthy sales pitches.

Cons Of Authorize.net

The user interface is outdated:

Despite its ease of use and implementation, users often highlight the outdated and cluttered nature of Authorize.net’s administrative website. The interface is considered nonintuitive and in need of a more modern revamp to enhance user experience and efficiency.

Comparison Of Authorize.net And Stripe

The primary difference between Authorize.net and Stripe lies in the scope of their services. Stripe operates as a comprehensive payment service provider, including all the essential components for processing and accepting online payments. It includes a payment gateway, a payment processing service, and a merchant account.

On the other hand, Authorize.net specializes solely in providing a payment gateway. While its service offerings are more limited, the platform’s straightforward integration and comprehensibility make it a fitting choice, particularly for those who already have a merchant account and are not seeking to make a switch.

11. Amazon Pay

Amazon Pay, an online payment processing service under the Amazon umbrella, offers customers the convenience of using their Amazon account to make payments on external merchant websites. With a focus on security and ease of use, Amazon Pay caters to the needs of millions of active Amazon customers globally, providing a seamless and trusted payment experience.

Features Of Amazon Pay

• Multi-channel checkout: Customers can effortlessly make purchases on various channels using their existing payment information, eliminating the need to repeatedly input payment details or addresses, thus streamlining the checkout process.
• Amazon guarantees: Some Amazon Pay customers can benefit from Amazon’s product guarantee, fostering trust and potentially enhancing conversion rates without incurring additional costs.
• Voice commerce: With the growing trend of voice shopping, Amazon Pay is poised to leverage this development. While currently representing a fraction of overall sales, HMS believes that the exponential growth in voice commerce underscores its significance in the future of online transactions.
• Enhanced security: Amazon Pay prioritizes customer security by managing payment encryption and processing, implementing multi-authentication for Amazon accounts, and facilitating secure logins using autofill data.
• Transaction options: Amazon Pay offers a diverse array of transaction options, including integrated recurring payments and subscriptions, enabling businesses to customize their offerings with subscription-based services, recurring billing, and various payment structures.

Pricing Structure Of Amazon Pay

Amazon Pay operates with a straightforward fee structure for merchants in the U.S., eliminating the burden of setup fees, monthly fees, annual fees, termination fees, or the need to purchase hardware items.

Here is the fee breakdown:

• 2.9% + an additional $0.30 for mobile/online transactions.
• 4% + an additional $0.30 for Alexa transactions.
• 3.9% + an additional $0.30 for International transactions.
• 5% + an additional $0.30 for International transactions through Alexa

In the event of a refund, Amazon Pay refunds the percentage-based transaction fee but retains the 30-cent authorization fee. However, if you find yourself in a dispute over a chargeback claim, Amazon Pay imposes a $20 (plus tax) charge.

Pros Of Amazon Pay

Global Reach:

With over 200 million Prime members worldwide, Amazon’s wide-reaching presence can simplify the checkout process for customers, potentially boosting your conversion rates. The reputable Amazon brand also fosters trust and familiarity, enhancing customer confidence.

Amazon’s Guarantee:

Customers benefit from the A-to-z Guarantee, ensuring secure payment transactions and comprehensive support for resolving purchase-related issues, including refunds for late, damaged, or undelivered packages. This guarantee instills further trust and satisfaction among customers.

Cons Of Amazon Pay

Payout Delays:

For new users, Amazon implements a reserve policy, withholding 100% of funds for seven days as a safeguard against disputed transactions. Sellers can transition to a less restrictive reserve tier by meeting certain criteria, including maintaining a low order defect rate, but this process can potentially delay payouts.

Integration Limitations:

Amazon Pay lacks volume-based discounts, which may not be ideal for businesses operating at high volumes with narrower profit margins. Alternative platforms such as Stripe, which offers volume-based pricing, might be more suitable in such cases.

Comparison Of Amazon Pay And Stripe

Stripe caters to developers, simplifying the process of accepting credit cards online. On the other hand, Amazon Pay leverages the payment methods already linked to users’ Amazon accounts, streamlining the check in and out process for a global customer base.

Amazon Pay allows the use of associated payment methods to facilitate transactions for various goods, services, and donations on third-party websites, apps, and through Alexa. While Amazon Pay offers features like Identity, Inline Checkout, Automatic Payments, Fraud Protection, and Merchant Website Integration, it provides fewer features compared to Stripe.

It’s important to note that while both Amazon and Stripe provide payment processing capabilities, Stripe concentrates exclusively on this area, while Amazon’s payment processing is just one element of its wider e-commerce platform. Typically, startups and small businesses prefer Stripe for its adaptable and customizable payment options, while large organizations with established e-commerce operations tend to opt for Amazon.

Conclusion – Choosing The Right Service

Now, you have clear understanding of the best alternatives of Stripe. When selecting an alternative to Stripe for your business, HMS suggests you to consider a few key factors to ensure the right fit. Here are some steps to guide your decision-making process:

• Understand your business needs: Begin by analyzing your specific business requirements, including the type of products or services you offer, your target audience, transaction volume, geographic reach, integration prerequisites, and desired payment functionalities.

• Evaluate integration capabilities: Assess the ease of integration and compatibility with your existing systems, such as your website, eCommerce platform, or other applications. Look for solutions that offer seamless integration options, APIs or user-friendly tools for smooth implementation.

• Plan for scalability and future growth: Anticipate your business’s growth trajectory and evaluate whether the platform you choose can support your expansion plans and handle increasing transaction volumes effectively in the long run.

• Consider reputation and dependability: Investigate the reputation, reliability, and industry experience of the alternative service providers. Look into their client base, partnerships, and overall market standing to ensure they have a track record of delivering dependable services.

By carefully considering these factors, you can make a well-informed decision and choose a payment processing solution that aligns with your business goals and requirements.

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