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Small Business · All prices verified 2026-10-28

Best payment processors for small businesses (2026)

There is no single cheapest processor — the cheapest one depends on where you sell. A business that sells mostly online, mostly in person, or mostly through a familiar checkout button will pay a different effective rate on the same $100 sale. Every rate below was verified against each provider's official pricing page on October 28, 2026, and the comparison covers flat-rate published pricing only.

The honest finding: on the same $100 sale, Stripe online costs $3.20 (you keep $96.80), Square in-person on the Free plan costs $2.75 (you keep $97.25), and PayPal Checkout costs $3.98 (you keep $96.02) — a $1.23 gap that becomes about $123 a month on $10,000 of monthly sales at a $100 average ticket, before refunds, disputes, international surcharges or add-ons. Start with your sales channel, then compare the published rate for that channel, then check the add-ons you will actually use. And remember the fixed fee: on a $10 sale, a 30¢ fixed fee alone is 3% of the sale before the percentage is added.

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Our top picks

Best for online sales

Stripe

Unpack Money score: 86/100

Verified Oct 28, 2026

Online checkout, subscriptions and developer tooling at 2.9% + 30¢ — the online default.

Read the full review →

Best for in-person sales

Square

Unpack Money score: 84/100

Verified Oct 29, 2026

Counter, readers and inventory in one system, with the lowest headline in-person rate at 2.6% + 15¢ on the Free plan.

Read the full review →

Best for buyer trust

PayPal

Unpack Money score: 83/100

Verified Oct 28, 2026

The familiar button buyers already trust at 3.49% + $0.49 via Checkout — worth it when it completes sales a card-only checkout would lose.

Read the full review →

Compare all options

ProductStarting priceFree trial / planBest forOur scoreCheck price
Stripe
Verified Oct 28, 2026
From 2.9% + 30¢ per online transaction—Businesses that sell online and want a custom checkout, subscriptions or an embedded payment flow86/100Check price
Square
Verified Oct 29, 2026
From No monthly fee (Free plan); 2.6% + 15¢ in personFree 30-day trial on Plus and PremiumBusinesses that sell in person and want one system for the counter, inventory and a simple online store84/100Check price
PayPal
Verified Oct 28, 2026
From No fee to open a business account; 3.49% + $0.49 via Checkout—Online sellers whose buyers already use PayPal, especially as a second checkout option alongside a card processor83/100Check price

Prices verified from each provider's official site — oldest check 2026-10-28. Prices change — confirm before you buy.

Make your decision

Not just a table — here's how to choose, who should walk away, and our verdict.

At a glance

AspectStripe
Stripe
Verified Oct 28, 2026
Square
Square
Verified Oct 29, 2026
PayPal
PayPal
Verified Oct 28, 2026
Best forBusinesses that sell online and want a custom checkout, subscriptions or an embedded payment flowBusinesses that sell in person and want one system for the counter, inventory and a simple online storeOnline sellers whose buyers already use PayPal, especially as a second checkout option alongside a card processor
CostFrom 2.9% + 30¢ per online transactionFrom No monthly fee (Free plan); 2.6% + 15¢ in person · Free 30-day trial on Plus and PremiumFrom No fee to open a business account; 3.49% + $0.49 via Checkout
Main advantageTransparent published pricing with no setup or monthly fee on the standard planThe lowest headline in-person rate among the three flat-rate processors compared hereBuyer recognition and trust, which can raise checkout completion
Biggest drawbackAdd-ons stack: billing, tax calculation, fraud tools and invoicing each carry their own feeOnline sales cost more on the Free plan than on Stripe (2.9% + 30¢) or PayPal standard card payments (2.99% + $0.49)The highest Checkout rate of the three processors compared here (3.49% + $0.49)

Choose the right one

Choose Stripe Stripe if…

  • you sell mainly online and want a custom checkout, subscriptions or an embedded payment flow
  • you want no monthly fee on standard pricing and broad payment-method and currency support

See the deep dive →

Choose Square Square if…

  • you sell face to face and want a counter system out of the box
  • you want to start with no monthly fee at 2.6% + 15¢ in person on the Free plan

See the deep dive →

Choose PayPal PayPal if…

  • your buyers choose the PayPal button, or you want a second checkout option to reduce abandonment
  • you invoice large amounts and want the Pay by Bank option at 1%, capped at $10

See the deep dive →

Neither is ideal if…

  • you do not accept card or wallet payments at all
  • your volume is high enough that flat-rate pricing is no longer competitive and you need a custom or interchange-plus quote — not compared here
  • you sell only through a marketplace or platform that mandates its own payment system

Better alternatives

Unpack Money Verdict

Start with your sales channel, not the headline rate. Stripe is the online default at 2.9% + 30¢ with no monthly fee, Square is the counter default at 2.6% + 15¢ in person on the Free plan, and PayPal is best as a second option — the familiar button at 3.49% + $0.49 via Checkout, with standard card payments cheaper at 2.99% + $0.49. On a $100 sale that is $3.20, $2.75 and $3.98 respectively, before refunds, disputes or international surcharges.

Saved comparisons live on your dashboard — in your browser only.

Stripe

Verified Oct 28, 2026

Stripe is a payments platform for businesses that sell online: it processes card and wallet payments on your website or app, handles payouts to your bank account, and sells optional products around billing, invoicing, tax calculation, fraud screening and dispute handling. There are no setup fees or monthly fees on standard pricing — you pay per successful transaction plus whatever add-ons you use. Its headline cost is simple; its total cost depends on which add-on products you switch on.

Pricing tiers

  • Online domestic card: 2.9% + 30¢ — Per successful transaction, domestic cards
  • International card: +1.5% — On top of the standard rate
  • Currency conversion, where required: +1% — On top of the standard rate
  • In-person (Stripe Terminal, domestic card): 2.7% + 5¢ — Per in-person transaction
  • ACH Direct Debit: 0.8%, capped at $5 — As listed on the pricing page
  • Disputes: $15 received; $15 countered — Countered fee returned if you win, kept if you lose

What we like

  • Transparent published pricing with no setup or monthly fee on the standard plan
  • One platform for online, in-person, subscription and invoice payments
  • Broad payment-method and currency support for businesses selling internationally

Watch out for

  • Add-ons stack: billing, tax calculation, fraud tools and invoicing each carry their own fee
  • The original processing fee is not returned when you refund a payment
  • Disputes cost $15 on receipt plus $15 if you counter manually
  • In-person selling needs Terminal hardware and integration — no ready-made counter system

Check current pricing on the official site

Square

Verified Oct 29, 2026

Square is a point-of-sale and payments system for businesses that sell in person — shops, cafés, salons, market stalls and service businesses with a counter. The core is a free app that takes card, tap and wallet payments, tracks sales and manages an item library. Around it sit optional hardware (readers, terminals, registers), an online store, invoicing, staff management, loyalty and marketing tools. You pay per transaction, plus any paid plan or hardware you choose.

Pricing tiers

  • Free plan — in person (tap, dip, swipe): 2.6% + 15¢ — Per in-person transaction
  • Free plan — online: 3.3% + 30¢ — Per online transaction
  • Plus plan — $49/mo per location: 2.5% + 15¢ in person; 2.9% + 30¢ online — Lower processing rates; free 30-day trial
  • Premium plan — $149/mo per location: 2.4% + 15¢ in person; 2.9% + 30¢ online — Lowest processing rates, no gift card load fees; free 30-day trial

What we like

  • The lowest headline in-person rate among the three flat-rate processors compared here
  • A complete counter system — app, hardware, reporting — without assembling separate vendors
  • No monthly fee to start, and no long-term contract on the standard plans as described by Square

Watch out for

  • Online sales cost more on the Free plan than on Stripe (2.9% + 30¢) or PayPal standard card payments (2.99% + $0.49)
  • Paid plans cost $49/mo (Plus) or $149/mo (Premium) per location — the lower rates only pay for themselves above a certain volume (Plus's $0.40 online saving per $100 sale needs about $12,250/mo of online sales to cover its fee)
  • You are locked to Square processing while you use Square's point-of-sale system — switching processor means switching system

Check current pricing on the official site

PayPal

Verified Oct 28, 2026

PayPal is a wallet and payments provider. Buyers can pay with a PayPal balance, bank account or card without re-entering card details; sellers can accept payments through Checkout buttons, invoicing, payment links and (with additional products) a point-of-sale flow. There is no fee to open a business account as described by PayPal; fees are taken from each payment received. Its strength is buyer recognition; its cost is the highest Checkout rate of the three flat-rate options compared here.

Pricing tiers

  • PayPal Checkout, Guest Checkout, Pay with Venmo: 3.49% + fixed fee ($0.49 in USD) — Per Checkout transaction
  • Standard credit/debit card payments: 2.99% + fixed fee ($0.49 in USD) — Per card transaction
  • PayPal Pay Later options: 4.99% + fixed fee — Per Pay Later transaction (buyer chooses the option, not the seller)
  • International commercial transactions: +1.50% — On top of the domestic rate
  • Invoicing: Pay by Bank (ACH): 1%, capped at $10 — Per invoiced bank-payment transaction

What we like

  • Buyer recognition and trust, which can raise checkout completion
  • Invoicing with a low-cost bank-payment option for large invoices
  • No monthly fee to open and hold a business account; fees scale with sales

Watch out for

  • The highest Checkout rate of the three processors compared here (3.49% + $0.49)
  • Fees are not returned on refunds, so a high-refund business pays processing on sales it does not keep
  • Account holds and risk reviews are a widely reported friction for sellers; never rely on a single processor for cash flow

Check current pricing on the official site

How we rate payment processors

Our editorial score starts with what a small business actually pays for the channel it uses: the published flat rate for online, in-person and checkout-button sales, the weight of the fixed fee on small tickets, and what refunds, disputes and international surcharges add. We penalize missing or quote-only pricing — when a provider doesn't publish a rate, we say so rather than filling the gap with third-party numbers — and we exclude processors whose published offer and terms we could not verify (Helcim is not included for exactly that reason). Every rate is verified against the provider's official pricing page — never review aggregators — and date-stamped. Read our full rating methodology.

FAQs

Is the cheapest headline rate always the cheapest processor?
No. Hardware, paid plans, add-on products, refund policy, dispute fees and international surcharges all change the monthly total. Compare a full month of your own sales, not one rate in isolation.
Can I switch processors later?
Usually yes, but switching costs time: a new checkout integration, new payout account, staff retraining and a period of running two systems. That switching cost is a reason to choose carefully the first time, not a reason to stay with a bad fit forever.
Should I offer more than one payment option?
Often yes. A card option plus a wallet option (such as PayPal) can raise completed checkouts even when one option costs more per sale, because an abandoned checkout costs 100% of the sale. Measure completion, not just the fee.
What about processors not compared here, like Helcim?
Helcim is not reviewed here. We could not verify its interchange-plus offer and terms against a primary source, and this site does not publish a review on an unverified offer. It may be added later, once its published terms can be checked against a primary source.
How does Unpack Money make money from this comparison?
It currently doesn't: Unpack Money earns $0 affiliate revenue and has no approved affiliate programs, and this comparison contains no affiliate links. Learn more.

Sources

Every price on this page was verified against each provider's official website. Verification dates differ by provider — the oldest is 2026-10-28. We never use aggregator sites as sources.

Your next step

If you have a shortlist, read the in-depth review before you buy — pricing pages change, and the review covers the add-ons, refund policy and dispute costs the pricing table can't. If payments are part of a bigger setup, compare the accounting side too: card income has to land in your books.