Payoneer vs. PayPal: practical comparison of cross-border payment tools for Hong Kong businesses

Hong Kong businesses now have more options for making and receiving cross-border payments. Among all the options, PayPal and Payoneer offer solutions that cater to different needs: the former one is trusted by buyers and quick to set up, while the latter one is particularly popular among cross-border eCommerce sellers and freelancers. 

See how Payoneer and PayPal differ on fees, FX rates, and settlement speed, and why Airwallex offers smarter payment solutions for Hong Kong businesses.

What are Payoneer and PayPal?

PayPal overview

PayPal is one of the world’s most recognised online payment platforms, operating in over 200 countries and regions and supports around 25 currencies. Buyers are familiar with the platform, and it offers merchants a straightforward, user-friendly experience. From checkout buttons to payment links and online invoices, the tools are straightforward, making it easy to start collecting payments quickly.

Payoneer overview

Payoneer focuses on the cross-border eCommerce and freelancer market. It is integrated with major eCommerce platforms such as Amazon and eBay, as well as freelancer platforms such as Upwork and Fiverr. Businesses can obtain local receiving account details in multiple markets, issue invoices, and make batch payouts, making it suitable for cross-border merchants requiring B2B settlement.

Comparison of Payoneer and PayPal

Features and fees

PayPal’s strengths lie in its wide reach and high recognition among consumers, making it ideal for social selling and for merchants who are looking for fast conversions. However, businesses need to be mindful of the cross-currency mark-ups, withdrawal times, and potential chargeback fees. Payoneer, by contrast, is more suited to platform sellers and B2B settlement, offering local receiving details in multiple currencies and multi-currency wallets, helping companies consolidate collections for easier cash flow management.

What businesses are better suited to Payoneer or PayPal?

Businesses that require quick onboarding to test a new market, PayPal’s links, QR codes, and invoices provide the most convenient way to start. It also suits merchants with small, high-volume transactions, particularly in D2C or social selling, where PayPal’s consumer familiarity helps boost order confidence and conversion rates.

If you are a cross-border eCommerce seller who requires local payment information in multiple currencies and deals with large-scale B2B payments and platform settlements like Amazon, eBay, and Upwork, Payoneer can serve as your central payment and settlement hub. You can centralise payments from various channels, then convert currency and make bulk payouts back to your local Hong Kong account as needed.

For businesses at an early stage with limited currencies, PayPal may serve as a simple first step. As needs grow, layering in Payoneer adds depth for settlement and treasury management.

For direct-to-consumer (D2C) sales through your own website or social media platforms, if transactions are primarily small-value, in a single or limited number of currencies, you can start with PayPal. Later, as your need for more currencies increases, consider integrating Payoneer to streamline settlement and fund management.

Fee structure and other costs

Payment processing fees and exchange rate markups

Payment processing fees typically consist of a percentage plus a fixed amount, varying by payment method and transaction region. Exchange rate markups may apply to transactions involving different currencies, whether receiving, withdrawing, or using a credit/debit card. If multiple conversions are required, such as from euros to US dollars and then to Hong Kong dollars, each step adds cost.

Account maintenance and dispute fees

Other costs include account maintenance and dispute handling should also be considered. Both PayPal and Payoneer impose charges for inactivity, small withdrawals, and disputes, as well as possible fund holds during investigations or refunds. Businesses should factor these into their overall cost budget and cash flow planning.

Currencies and local collection accounts

Businesses using Payoneer can obtain local receiving accounts in multiple currencies, including US dollar ACH, Euro SEPA, British pound sort codes, and IBANs), as well as major trading currencies like Canadian dollars, Japanese yen, and Australian dollars, making it easier for merchants to collect payments locally and subsequently convert them internally. PayPal, by contrast, offers broader global reach but generally comes with higher FX costs, meaning businesses need to pay close attention to cross-currency settlement mark-ups.

Checkout experience and API plugins

PayPal offers code-free payment methods such as payment links, QR codes, and checkout buttons. Payoneer Checkout, on the other hand, supports customer payments in more than 120 currencies. You can also integrate embedded payment pages or open the payment page as a full-page, offering greater flexibility and ease of use.

Settlement and withdrawal speed ​​

Internal transfers between Payoneer users can be completed in a few hours. Withdrawals to local banks take 1–2 business days. PayPal allows instant balance transfers. Bank transfers take 1–5 business days depending on the bank’s processing times.

Are Payoneer and PayPal suitable for Hong Kong businesses?

Payoneer and PayPal both offer support for Hong Kong merchants and allow users to withdraw to local banks.  The main differences between the two lie in fees, exchange costs, and cash flow control. For businesses that want to maintain front-end payment flexibility while further reducing cross-currency costs, consolidating multi-currency reconciliation, and accelerating settlement back to Hong Kong, you should consider Airwallex as a central hub for settlement and FX.

Why Airwallex is more competitive for Hong Kong businesses

Global coverage for local collection and transfers

Airwallex supports funds transfers in over 90 currencies and 200+ countries. It handles global payments and offers local currency accounts in over 60 countries, making cross-border transactions easy. For eCommerce businesses, Airwallex Checkout can support 130+ currencies and 160+ local payment methods to boost conversion rates.

Cost-effective, enterprise-grade capabilities

Airwallex offers transparent pricing with no monthly fees, and FX conversion fees starting at just 0.2%. Pricing for Airwallex Checkout is competitive at 3.3% + HK$2.35, and like-for-like settlement is available in 14+ currencies, which is a clear advantage for merchants with frequent cross-currency settlements.

On a single platform, you can accept payments worldwide, with access to a payment gateway, global receiving accounts, and batch payout services. Airwallex also provides multi-currency corporate cards, allowing you to issue separate cards by team or department for smarter cost control. With open APIs and a wide range of plugins, businesses can design payment and settlement flows tailored to their operations.

When it comes to system integration, Airwallex connects not only with leading eCommerce platforms but also with major accounting and ERP systems such as QuickBooks, NetSuite, and Xero. This unifies collection, payouts, and FX on one platform, reducing reconciliation time and lowering the risk of error.

Frequently asked questions

1. Should small merchants in Hong Kong choose Payoneer or PayPal?

If you are primarily focused on direct-to-consumer (D2C) or social commerce, and you prioritise conversion rates and buyer trust, you can start with PayPal. If you primarily receive payments from cross-border platforms and require multi-currency local payment information and centralised settlement, Payoneer may be a better choice.

For businesses that want to maintain front-end payment flexibility while further reducing cross-currency costs, consolidating multi-currency reconciliation, and accelerating settlement back to Hong Kong, you should consider Airwallex as a central hub for settlement and FX.

2. How does the withdrawal speed of Payoneer and PayPal differ?

PayPal deposits are usually processed instantly, but withdrawals to banks typically take 1–5 business days. Internal transfers within Payoneer can be as fast as a few hours, while withdrawals to Hong Kong banks typically take 1–2 business days. The actual processing time depends on the platform and bank.

3. If low exchange rates and multi-currency local payment collections are prioritised, what is the alternative for Payoneer and PayPal?

Airwallex provides local payment information for various countries and regions and transparent exchange rates (starting from as low as 0.2%). Using Airwallex for centralised currency exchange and reconciliation often further reduces overall costs and improves cash flow efficiency.

Sources:

Information on Payoneer and PayPal was retrieved as of September 2025, from below sources. Information provided is for reference only. Please refer to the official website for the most up-to-date details.

1. https://www.paypal.com/hk/business/accept-payments?locale.x=zh_HK

2. https://www.paypal.com/hk/business/paypal-business-fees

3. https://www.payoneer.com/zh-hant/checkout/

4. https://www.payoneer.com/withdraw-funds/

5. https://www.payoneer.com/about/pricing/

Disclaimer: The information was based on our own online research and we were not able to manually test each tool or provider. The information is provided for educational purposes only and a reader should consider the specific requirements of their business when evaluating providers. This research is reviewed every 6 months. If you would like to request an update, feel free to contact us at [email protected].