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Choosing between PayPal and Stripe
Choosing between PayPal and Stripe
Sandy avatar
Written by Sandy
Updated over a week ago


Marvelous integrates with PayPal or Stripe. Here’s a quick comparison between the two payment processors:

Transaction fees: Both charge 2.9% plus 30 cents per transaction (for under $1 million in sales). PayPal has a volume discount and gets complicated with higher sales (they also charge more for American Express).

Security: Both are extremely stable and secure systems. When Stripe burst onto the payment processor scene, Stripe was seen as slightly more secure because credit card data was never sent to your server. It was stored entirely on Stripe’s servers.

Availability: PayPal is available in almost every country on the planet, while Stripe is only available to be used by businesses in 46 counties. If you're located outside of these 46 countries, Stripe is not an option for you at this time. See here for more details on Stripe.

Account Cancellations for Recurring Subscriptions: For teachers using Stripe, the student can simply click inside their Marvelous account and stop the subscription. PayPal is a little more complicated. PayPal will not allow third-party apps (like Marvelous) to cancel student subscriptions. This means that either you or your students need to log in to your respective PayPal accounts and manually stop the recurring subscription. More information on canceling recurring subscriptions can be found here. 

Monthly Subscriptions: One downfall to PayPal, is that your students must have a PayPal account to join your monthly membership. While most people do have a PayPal account, some do not (and do not want to create one), and this prevents them from joining your membership. With Stripe, there is no account for the students to create. They simply enter their credit card details.

Coupons for Monthly Memberships: If you plan on creating a monthly membership and want to create coupons to discount the monthly fee for a few months (e.g. you're running a promotion for $10 off for 3 months), then you must use Stripe. PayPal will not allow coupons to be applied to a specific duration.

Further reading:

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