Why I Stopped Using PayPal (and Why I No Longer Recommend It)

For many years, PayPal was my main tool for receiving international payments. It was convenient, well known by clients, and — at the time — relatively fair in terms of fees. Whenever someone asked how to pay me from abroad, PayPal was almost always my default answer.

Today, after using it extensively and comparing it with other alternatives, I’ve made a clear decision: I’m no longer using PayPal. This wasn’t a rushed or emotional choice, but the result of a long and increasingly frustrating experience.

This article is my personal experience — not an attempt to demonize the platform, but an honest explanation of why it no longer works for me.

When PayPal Actually Worked

A couple of years ago, the process was simple:

1. The client sent the payment.
2. I paid a single commission.
3. I transferred the money to my bank account.

The client barely noticed any fees, I clearly understood what I was being charged, and the whole process was fast. It wasn’t perfect, but **it was reasonable**.

That version of PayPal no longer exists.

The Problem Isn’t One Fee — It’s All of Them Combined

Over time, I started noticing what many users are experiencing today:

The client pays a fee when sending money.
I pay a fee when receiving it.
I pay another fee when withdrawing it.
And on top of that, I lose money through **an inflated exchange rate** fully controlled by PayPal.

Every step has a cost. But the biggest issue is not just the cost — it’s the lack of clarity. Many times, you only realize how much you lost once the money hits your bank account and you ask yourself:

“Where did the rest go?”

When everything is added up, PayPal can easily keep a significant percentage of the original payment — far more than most people expect.

Lack of Transparency and a Constant Feeling of Distrust

Another growing issue for me was the constant sense of being under suspicion.

Funds placed on hold “for review”.
Policy changes that aren’t clearly communicated.
Automated, generic customer support responses.

A platform that once felt like a reliable intermediary now feels like a rigid system where the user almost always loses.

Even when everything is in order, the experience is stressful. And if you work independently, that uncertainty is not something you can simply ignore.

The 2022 Episode: A Major Red Flag

In 2022, something happened that — even though PayPal later tried to downplay it — became a turning point for many users. A policy update was published mentioning potential fines of up to $2,500 for “misinformation”, which was later withdrawn and described as a mistake.

Regardless of whether that policy ever went into effect, the message was clear:

PayPal was no longer thinking primarily as a payment tool for users, but as a platform willing to enforce vague rules with serious financial consequences.

For me, that was a significant warning sign.

Comparing Alternatives Was Inevitable

Eventually, I started using and analyzing other platforms like Wise and Payoneer. That’s when everything became obvious:

Lower fees.
Real or near-real market exchange rates.
Clear costs shown before confirming transactions.
Less friction when moving money.

They’re not perfect platforms, but the difference in transparency is massive.

And when you compare real numbers — not marketing promises — sticking with PayPal simply stops making sense.

So, Why Am I Leaving PayPal?

Not because it’s “the worst service ever,” but because:

It’s no longer competitive.
It has become expensive for freelancers and creators.
It penalizes small and medium international payments.
It complicates processes that should be simple.

Today, there are alternatives that do the same job — better and at a lower cost.

My Final Decision

PayPal was useful for many years and served its purpose. But tools, like everything else, stop being useful when they no longer adapt to the user’s reality.

That’s why I’ve decided to stop using PayPal as a payment method and fully migrate to more transparent and efficient options.

This isn’t an ideological stance or a trend-driven decision. It’s a practical one.

If you also work with international clients, I recommend doing the same exercise: compare platforms, review real numbers, and decide calmly.

Sometimes it’s not about loyalty to a platform — it’s about protecting your work and your money.

*This article reflects my personal experience and opinion as a user. Every situation is different, but sharing these experiences can help others make more informed decision