Are you looking for a way to collect payments from your clients? Or maybe you want to email your clients an invoice to get paid? Although PayPal is most widely used and people do trust PayPal, it is good to know that there are alternatives.
Any Dangers Of Using A PayPal Alternative?
I can’t see any dangers in using a PayPal alternative but it is worth while to point out here that most people know what PayPal is and ‘trust’ it. If you offer a PayPal alternative you might put people off.
It really shouldn’t affect you too much though and I would definitely look for some alternatives, especially if they are cheaper! It’s all about saving the pennies these days. So without further adue here is a short list of PayPal alternatives.
NoChex – NoChex is a leading independent UK based online payment company, specialising in providing smaller online businesses with simple, accessible, easy to use, online payment services. These guys have no monthly or annual fees. If you are a small business based in the UK go check them out.
GoCardless - GoCardless accesses the direct debit network through its sponsor, The Royal Bank of Scotland and is registered as a small payments institution with the Financial Services Authority. They only charge 1% per transaction to a maximum of £2. You guessed it this is a UK based PayPal Alternative only. They plan to roll out across Europe by mid 2012.
WePay - WePay operates entirely over SSL, using 256-bit encryption. Their practices are closely monitored by TRUSTe, DigiCert, McAfee and the Better Business Bureau. Their fees are 3.5% (50¢ minimum). WePay currently only available in the United States.
Dwolla - Dwolla is a new payment network that works with your financial institution to offer a cheaper, safer, and overall better payment experience. It currently however only works for customers in the United States.
QuickPay - QuickPay is the payment solution that allows easy and safe integration of all common credit and debit cards with an arbitrary site on the internet. Setup is free however they charge €25 per month for a basic subscription. It appears these guys operate WorldWide. Don’t quote me on that.
Plenty Of PayPal Alternatives
There are plenty more PayPal alternatives out there. If you believe you know of a better one or one you have had personal experience with then please let us all know and leave a comment below.
With all that said I still think PayPal offers you much much more than any of the alternatives mentioned above. Though I haven’t had much experience with these alternatives.
Keep your eyes open and let us know of any PayPal alternatives you have seen.
GoCardless isn’t really a PP alternative; its more like BACs but with higher charges. I’m not sure if WePay and Dwolla are available in the UK. QuickPay charges monthly fees which makes it unattractive for start-ups and smaller merchants.
Nochex is probably the most direct alternative to PP in the UK for ecommerce merchants. Over 10-years in business with lower charges and better service! No monthly fees and a personal account manager make this the ideal partner for start-ups and smaller online merchants. I work for Nochex so you do need to do your own research! Best wishes, Peter
Hello Peter thanks for letting me know about NoChex
I will update the list to reflect this alternative.
I like what you did there!
Are you just noticing what I done Peter? Hehe. I am up to my neck with work at the moment but I will be looking at your referral program soon.
Whilst I agree that “PayPal is most widely used and people do trust PayPal” I feel the trust is misplaced. Most complaints I have seen relate to disputes with Paypal. I.e. when everything goes smoothly, there is no need to question. However, if things should go wrong, they go seriously wrong. You have probably guessed that I have had a problem. It should have been minor, and easily sorted out, but Paypal go out of their way to make life very difficult. I am all for security in financial matters, but these guys put restrictions on communications that would make the security services jealous. Clearly, they have engineered their systems to delay processing whenever they can. The net result is that funds are tied up longer than they should be. This creates havoc for customers such as I, but gives Paypal a huge fund of trapped payments that they can earn from. Thank you for the list of alternatives, though I am still struggling to find a global service that will meet my UK and USA needs.
Hi Keith I totally agree with you. That’s why I put this list of alternatives up. I am still looking for a US and UK alternative myself. If I find a good one I will add it to the list. Thanks for posting
Another good one is Moneybookers. Not sure if its available in USA, but for EU its a great payment processor.
Never heard of them, just took a look at their website though. Definitely looks the part. Thanks for letting us know.
I found Payza when I was looking for a PayPal alternative and so far I have been very have been impressed. They have a ton of features and great customer service. I am also no longer getting pestered to death with fees. I really recommend them to anyone looking for a PayPal alternative.