Payments comparison · 2026
PayPal vs Square (2026 Comparison)
Side-by-side: pricing, features, pros, cons, and our editorial winner for payments.
Winner summary
Square wins overall
Scoring 8.6/10 vs 8.4/10 in our 2026 review.
Cheaper
Tie
Higher rated
Square
Better free tier
Tie
Feature comparison
| Dimension | PayPal | Square |
|---|---|---|
| ProductsVerdict score | 8.4/10 | 8.6/10 |
| User rating | 4.2 / 5 | 4.5 / 5 |
| Starting price | 3.49% + 49¢ | 2.6% + 10¢ |
| Free trial | Pay as you go | Free POS |
| Best for | Stores wanting trusted checkout | Retail, restaurants, omnichannel |
| Badge | — | — |
PayPal key features
- PayPal checkout
- Venmo
- Buy now pay later
- Invoicing
- Mass payouts
Square key features
- Card reader & POS
- Online store
- Invoicing
- Payroll add-on
- Inventory
PayPal — pros & cons
Pros
- Brand trust lifts conversion
- Easy buyer protection
- Wide acceptance
Cons
- Higher fees than Stripe
- Hold/freeze risk
Square — pros & cons
Pros
- Best omnichannel for SMB
- Hardware integrated
- Transparent pricing
Cons
- Less developer-friendly than Stripe
- Account stability complaints
When to pick which
Choose PayPal if…
- Payment processing
- Ecommerce checkout
- Invoicing
Choose Square if…
- Payment processing
- Point of sale
- Restaurants
- Retail