If you have been looking for the best method to send money to businesses or marketplaces as well as receive payments, then you must have probably come across the two popular online payment services Skrill and Payoneer.
In this article, we’ll be making an honest comparison between the two companies to help you decide which one is best suited for your needs and requirements. We’ll be covering several factors such as exchange rates, security & credibility, fees, ease of use, countries, etc.
Without further ado.
- What is Skrill?
- What is Payoneer?
- Skrill vs Payoneer: Products & Services
- Skrill’s Features & Services
- Skrill vs Payoneer: Fees & Exchange Rates
- Skrill vs Payoneer: Contract Length and Cancellation Fee
- Skrill vs Payoneer: Customer Service & Support
- Skrill vs Payoneer: Credibility & Security
- Skrill vs Payoneer: Pros & Cons
- Final Verdict
What is Skrill?
Skrill – online payment company was launched in 2001, and since then, it has been helping its customers make transactions and send money to several countries across the world. At present, the Paysafe Group owns the company. Paysafe Group is a multinational payments group that offers payment services in person, online, and through other channels.
Initially, Skrill started as a payment gateway for eCommerce and was specialized in gambling. However, the company has broadened its services and now it offers an online service referred to as the Skrill Money Transfer. It enables you to transfer payments around the world.
Skrill Money Transfer service is simple, fast, and affordable due to its attractive pricing, fees, and exchange rates. When you sign up with Skrill, you’ll have access to this service along with Skrill Wallet (we’ll be talking more on that below).
You can transfer money overseas by using the Skrill Money Transfer service and even fund the payment either with your credit/debit card, bank transfer, or SOFORT, depending on your location and your currency.
The payee can opt to receive their payments into their accounts directly. Aside from that, Skrill also offers beneficiaries of certain countries the option to receive funds into their mobile wallets.
What is Payoneer?
Payoneer is another online payment company, which is located in New York. Established in 2005, the company can process online transactions for both the US as well as overseas users. It has over 4 million users in more than 200 countries worldwide. The company can also facilitate cross-border payments in over 150 currencies.
Payoneer’s services are used in various major eCommerce marketplaces like Upwork, Airbnb, Fiverr, Google, and Amazon. If your organization needs to transfer or receive funds either internationally or domestically, Payoneer’s services can be beneficial.
Payoneer mainly focuses on currency conversions, receipts, and business payments. As such, the services it offers are slightly different compared to the traditional currency exchange providers. It depends on your and the payee’s Payoneer account status.
Its services work best for businesses, professionals, product/service marketplaces, and freelancers that work with international clients a lot. It’s also quite beneficial for companies that make or receive several B2B payments.
Skrill vs Payoneer: Products & Services
To understand how Skrill differs from Payoneer and vice versa, let’s dive deep into features that both companies provide to the community worldwide.
When it comes to products and services, you need to note that Payoneer isn’t like the standard merchant account provider. It doesn’t provide the full range of services you’d normally get from traditional providers. As such, you can’t use the POS system or the credit card terminal via your Payoneer account.
The company also doesn’t have any support for a virtual terminal or a payment gateway. Here are some of the features Payoneer offers:
Payoneer’s Global Payment Service provides a Payoneer account to its users. This account enables you to accept funds in various currencies, and whenever someone sends a payment, it’ll be transferred to your Payoneer account.
It also allows you to transfer money to other Payoneer users across the globe, for free. Do note that Payoneer’s services are not tailored for personal use but for just business transactions.
Payoneer’s Billing Service
Payoneer’s Global Payment service and its billing service work alongside each other. Therefore, requesting business payments requires a few clicks, allowing you to transfer it to your customers quickly.
The clients can then pay the invoice or bill with their debit card, credit card, or bank account. They don’t need to have a Payoneer account to transfer the money. Once they make the payment, it’ll be sent to your Payoneer’s receiving account. There are, however, certain restrictions you need to be aware of (find out here).
Payoneer’s Prepaid Mastercard
The company also offers prepaid MasterCard to its account holders, which is used for making payments once your Payoneer account has sufficient funds. Additionally, it charges a yearly fee of $29.95 for this card. The price is quite a lot, especially if you don’t use your Payoneer account frequently.
It provides a free Payoneer app with limited functionality. The app is compatible with both android and IOS devices. It enables you to withdraw funds, check your transaction history, instantly check account balance and currencies, and preset criteria by filtering key transactions.
- Withdraw funds: To access your Payoneer funds, it enables you to transfer it to the local bank account and can be converted into the local currency. You can even withdraw the money via the ATM or a prepaid card.
- VAT Services: The company allows businesses to transfer VAT payments to authorities in the UK and the EU with EUR and GBP funds in the user’s Payoneer account.
Features several integrated services across various niches. The partner directory of Payoneer features all of those businesses and services.
Integrated Payments Platform
The company allows business owners to make use of its payment platforms via a comprehensive API. This makes it easier for them to transfer or receive funds worldwide without having to leave the business’s website.
Now that you know some of the best features Payoneer offers its customers, let’s have a look at what Skrill has in store for its users to help you determine how Skrill Vs Payoneer differs in terms of products and services.
Skrill’s Features & Services
Skrill offers the following two merchant services:
- Skrill’s wallet payments:
You’d expect, Skrill allows businesses to accept funds from anyone who uses the digital wallet.
- Skrill’s hosted payments: This service lets you receive funds from both Skrill users and non-users. When they check out from your site, they are redirected to the website to complete their transaction, which is quite similar to how PayPal works.
Also offers an inframe to accept funds via Skrill while keeping the customers on your site. Skrill boasts that its hosted payment solution can support over a hundred local payment methods & more than 170 bank transfers directly by using a single integration.
Here’s a list of some of the features Skrill offers:
1-tap feature enables users of the Skrill wallet to accept purchases automatically, without the need to go through the authorization process every time.
Shopping cart integration
This feature is not as advanced as some of the tools you’d get in other merchant services, it’s still an excellent option for membership and subscription.
Offers a mass payment feature that enables users to transfer money to several people at once.
In-app microtransactions and payments
Allows developers to facilitate transactions in online apps, specifically within games.
Skrill’s prepaid Mastercard
With this prepaid card you can access your account balance for making any payments worldwide, wherever MasterCard is accepted. You can know more about its prepaid card here.
Skrill’s mobile app
Skrill offers an application for IOS and android devices so that you can use your Skrill wallet and account, wherever you are. The app enables you to check your balance, upload and withdraw funds, transfer or accept money, and make a transaction with Skrill’s prepaid Mastercard.
- Additionally, it is also worth noting that it is PCI-compliant. However, you don’t have to worry as you do not host your own transaction page. Skrill also enables you to have access to its analytics. It may seem pretty basic, but it helps you to be aware of your processing volume.
- Skrill doesn’t offer in-person payments. It is strictly mobile and online only. Another downside of Skrill is that there is no invoice support for users in the US.
Skrill vs Payoneer: Fees & Exchange Rates
One of the most crucial factors that will help you in determining whether Skrill or Payoneer is ideal for you is their fees. We are not talking about just transfer fees, but other charges associated with withdrawing and depositing funds and their exchange rates.
When it comes to depositing funds, Skrill will charge you a fee of one percent, meaning if you deposit £500 to your account, you’ll have to pay a £5 fee. As far as withdrawing fees are concerned, you’ll have to pay £4.82 via your Skrill wallet.
If you wish to withdraw money from your Skrill wallet back to your debit or credit card, then you’ll have to pay 7.5%, meaning a £100 withdrawal will cost you £7.50 in fees.
Transferring money with Skrill will charge 1.45 percent of the amount transferred. On the contrary, Payoneer’s fee structure is what makes it quite popular among affiliates and freelancers. When you receive payments through your receiving account, you won’t have to pay any additional fees.
That said, Payoneer does charge a fee for USD (0%-1%), depending on the payer’s country. Also, there’s a 3% charge for receiving payments via debit or credit card and a 1% fee (for eCheck in USD). For transferring funds to your account, there’s a 2% fee above the mid-market rate. You can have a look at the image below or check their fee page.
When it comes to exchanging rates, Skrill charges a fee of 3.99% whereas Payoneer users are subject to paying a fee of 0.5%, above the interbank exchange rate.
Skrill vs Payoneer: Contract Length and Cancellation Fee
The next factor that we’ll be talking about in our Skrill Vs Payoneer comparison is the contract length and cancellation fee of both the platforms.
Payoneer charges on a monthly basis and doesn’t require its users to sign any long-term contract. Also, there isn’t any early cancellation fee when you close your account. However, it is recommended that you follow its account closure procedure as outlined in the contract to make sure that your account has been terminated for real.
Payoneer’s flexibility in offering a monthly-billing option is commendable. However, as we have mentioned before, you still need to pay the annual fee. Although this fee is actually supposed to be a payment for the Payoneer debit card, setting up an account isn’t possible without this card.
Therefore, the annual fee is quite similar to the account fee that most merchant payment service providers charge. On the contrary, Skrill service is more of a pay per transaction basis, where merchants have to pay per usage. Depending on its additional agreements, business accounts may have to pay other monthly fees. Like Payoneer, there isn’t any early cancellation fee for Skrill as well.
Skrill vs Payoneer: Customer Service & Support
When it comes to customer service or support, both platforms do a pretty decent job. They both have their own support center available on their website.
If you need any assistance while using your Skrill account, it’s worth going through their large FAQ section first. Most account related queries can be answered by checking the extensive guide that’s on offer.
If you wish to interact with the team directly, there are quite a handful of options at your disposal. Firstly, you can contact Skrill via telephone. The company offers several local phone numbers, which include that of the US and the UK.
Before contacting them, you need to have your reference number (you can find it on the top-right). This enables the support agent to bring up your account.
You can also message the support team directly using your Skrill account. You can expect to hear back from them within 24 hours, but, if you require instant support, contacting via telephone is preferable.
If you happen to be a VIP Skrill member, you can have access to its 24/7 customer support by using their dedicated phone number. As such, you won’t have to worry about any delay. Unfortunately, it doesn’t offer a live chat option.
Similar to Skrill, Payoneer features an efficient Support Center on its site. You will find an extensive FAQ segment containing detailed and thorough information for answering any queries and troubleshooting issues.
Get access to the live chat feature by signing in to their Payoneer account. You can also get in touch with the team via email. The telephone support, however, is only intended for reporting stolen or lost debit cards.
The live chat option is available in three languages, namely, English, Russian, and Spanish. If you aren’t familiar with these languages, you are better off with the email option as it features plenty of additional languages.
Skrill vs Payoneer: Credibility & Security
Can Skrill or Payoneer be trusted? The short answer to this is yes. Here’s why:
Formerly known as Moneybookers, Skrill has been running since 2001. They are fully regulated and authorized and have millions of users to back their credibility. They have been helping users make domestic as well as overseas transfers and even make online payments with ease.
Its owner, Paysafe, has offices in more than 20 locations worldwide and that includes the USA and the UK.
On the other hand, Payoneer may be relatively new in comparison to Skrill. However, it has still managed to win the trust of millions when it comes to making payments online.
Developed in 2005, Payoneer is backed by Expedia and Dropbox, the very investors that funded Facebook. Ever since its establishment, Payoneer has over a thousand employees worldwide, located across fourteen offices all over the world.
Several marketplaces, individuals, and companies use Payoneer’s services to receive and make payments and also to transfer funds across the globe.
All of these prove that both platforms are legitimate and can be fully trusted.
Skrill vs Payoneer: Pros & Cons
- Skrill Money Transfer offers very competitive exchange rates and fees.
- Excellent user reviews on Trustpilot.
- Convenient, secure, and fast transfers via Skrill Money Transfer.
- You can only transfer funds to the mobile wallet or bank account.
- Available in limited countries.
- High fees.
- Offers extensive payment services & solutions.
- Reasonable currency exchange fees.
- Quick transactions from anywhere across the world.
- Stringent terms & conditions for using its service.
- Currency conversion only meant for business payments and transactions.
- Lots of additional fees.
To determine a winner between Skrill Vs Payoneer, it will ultimately depend on your personal needs and preference and your location.
If we were to pick a winner, it’d be Payoneer. It is an excellent tool for international businesses and freelancers. Its ability to manage currency conversions and transfer payments to bank accounts worldwide makes it a compelling choice for most users.
Payoneer is an ideal choice to go for if you do international business or are just looking for a platform to make currency conversions and transfer payments.
That’s not to say that Skrill is any less; it is a beneficial tool for sending and receiving money online. It allows you to transfer funds anywhere around the world. However, it’s more on the expensive side.