WorldRemit vs PayPal

WorldRemit offers

WorldRemit is tailored for individuals with account services that include:

• Foreign bank transfers
• Cash pick-up
• Foreign bill payments (ie electricity, credit cards and television services)
• Pre-paid mobile credit top-ups
• Recurring / regular transfers are also supported

Note: bill payments and cash pick-up services are not available in all countries.

WorldRemit has two unique features. These are:

• Mobile money - Shop in-store, online and withdraw cash at authorised agents
• WorldRemit Wallet - Money can be received through their vast global network into a multi-currency wallet

WorldRemit does not offer

• Travel debit cards
• Access to a personal account manager (helpful when transferring large sums of money)

PayPal provides different services for personal customers from a number of countries. However, the services on offer vary from one region to another. PayPal's consumer product is a digital wallet where the customer's ID can be their email address and phone number. PayPal customers can send money to each other's digital wallets quickly and easily. The PayPal digital wallet can be connected to a bank account and debit or credit cards. This allows customers to withdraw available funds to their bank accounts. Connecting their bank cards allows customers to buy goods and services on e-commerce stores where PayPal is accepted as a payment method. 

What PayPal does

• International money transfers.
• Debit and prepaid cards.
• PayPal Credit.
• Links multiple payment methods to your account to shop online.
• Digital wallet to hold funds in multiple currencies.

What PayPal doesn’t do

• Dedicated account managers.
• Risk management tools.
• Cash pickup.

WorldRemit does not provide a business service, although WorldRemit could be used for business transfers. The Mobile Wallet could be used for business, however it may not be suited for this purpose.

PayPal for business provides a range of specialized services for businesses from different countries. Businesses can use PayPal to create and send invoices and receive payments. PayPal's merchant solution allows online sellers to accept PayPal as a payment method. Customers can use the PayPal payment gateway to buy goods or services using their PayPal account or directly with credit or debit cards. PayPal has more solutions for business accepting micro payments which may be quite useful when selling low cost products.

What PayPal for business offers

• Make and accept international payments.
• Solutions for online sellers.
• Digital wallet to hold funds and transact in multiple currencies.
• Payment gateway to accept card payments.
• Accepts in-store payments with a card reader and a smartphone or tablet.
• Easy accounting integration through APIs, SDKs, code samples and pre-integrated solutions.
• Risk management through fraud and seller protection.
• Mass payments.

What PayPal for business doesn’t do

• Account managers.
• Currency hedging tools.

WorldRemit Fees

Most of the WorldRemit fees are within the exchange rate offered. The exchange rate offered can and does change depending on payment type, receiving option and the amount being transferred.

• Bank deposit - 0.5% - 2% depending on the destination country and amount
• Bill payment fee - 1% - 4%
• Cash pick up fee - 1% - 4%
• Mobile airtime top up - 1% - 4%
• Additional fee - $1 - $5 per transfer

New customers from eligible countries signing up through iCompareFX receive 3 transfers fees for free using the code 3FREE. Eligible countries for this free transfer promotion are the USA, UK, Australia, Belgium, Netherlands, South Africa, Sweden, New Zealand, and Norway.

PayPal fees vary based on where you live and the services on offer. Below we show sample fees for the USA. For more detailed information on fees for PayPal merchant solution, iCompareFX has created an interactive payment gateway fees comparison tool and more detailed breakdown of merchant variable and fixed fees by region.

Fees for sending money within the US

Fees for sending money overseas

Fees for selling

PayPal exchange rates

PayPal adds a margin of up to 3% on existing mid-market rates when carrying out currency conversion. Combined with the fees you need to pay, the cost of sending money overseas through PayPal becomes rather prohibitive.

Registration - Simple and easy through their website or mobile app.

ID verification -  If requested, it is a simple process that can be actioned through their mobile app or via email. Simply upload the requested documentation as photos from your phone. 

Transfer speed -  Speed ranges from instantaneous to up to 2 days. This depends on the country you are sending money to, and if it is a bank transfer or sending cash. 

Payment options - Uploading your funds to WordRemit is also a simple process. With in-country solutions such as Australia’s POLi or via debit card, you can instantly transfer your funds to WorldRemit. This speeds up the entire process of sending money overseas.

Mobile app - There is a WorldRemit mobile app to help manage your transfers end to end.

What PayPal does well

Sign up - Signing up takes little time, and you may do so by using the PayPal website or app.

Payment options - You can fund your account and transfers in different ways such as bank transfers, debit cards and credit cards.

PayPal app - The PayPal app is available for iOS and Android.
 

Where PayPal could improve

Phone transfers - PayPal customers can not send money over the phone.

WorldRemit supported countries

WorldRemit has an impressive list of supported countries. 

• Mobile Money - 23 countries
• Cash pick up - 80 countries
• Bank transfer - 150 countries
• Bill payment -  Selected countries
• Phone support - Multiple languages
• Multilingual website
• Local settlement accounts in dozens of countries.

Customer support

There are reports on TrustPilot and through its mobile app reviews of poor wait times to talk to a customer service representative.

What PayPal does well

Supported countries - PayPal provides its services in more than 200 countries and territories.

Multilingual website - You can use the PayPal website in different languages.
 

Where PayPal could improve

Local phone support - PayPal could do better by providing local phone support in countries with large customer bases.

• WorldRemit is regulated by multiple financial regulators globally including the FCA in the UK. 
• Their company structure is sound and customers funds are segregated from their company accounts thereby reducing the risk for their customer.
• The WorldRemit fee structure for money transfers includes a hidden fee within the offered exchange rate which reduces transparency. This is unfortunately common amongst most international money transfer companies.
• High TrustPilot rating. However, there are an increasing number of poor reviews. This will be monitored by iCompareFX. 

What PayPal does well

• PayPal is licensed to provide its services in all the regions in which it operates.
• Dispute resolution and purchase protection for buyers.

Where PayPal could improve

Customer rating - PayPal gets a rating of Bad on Trustpilot. Several PayPal reviews written by customers highlight the company's poor customer service. None of the recent reviews have been answered by PayPal. Regular PayPal complaints are related to business accounts being suspended during disputes with no notice or follow up by PayPal. This has lead to a large number of unanswered complaints on Twitter, TrustPilot and Google reviews.

Exchange rate transparency - The non-transparent exchange rate margin leaves many customers wondering about the true cost of their transfers.