Paypal vs travelex

PayPal vs Travelex

Discover which one is better suited for your next money transfer.

Travelex is well known for its prepaid travel cards and travel insurance, but it also offers online international payments. Similarly, PayPal is almost synonymous with online payments, but it's not as recognised for its international money transfer capabilities.

We'll highlight major features of both, so you can decide if either is your new go-to for sending money across borders.

The fees and rates used in this comparison are accurate as of 28 February 2019.

I want to send

to

Min. Transfer Amount Transfer Speed Online Transfer Fee Rate Amount Received Description CTA Details
AUD 1 1 day AUD 5.99 0.658 USD
6,579
Send money overseas to more than 20 countries. Rate last updated on 17/08/2018 at 1:30 pm. Find out how we calculate this exchange rate. Show details
AUD 500 1 day - - Choose from over 45 currencies. Show details

Compare up to 4 providers

The "Rate" and "Amount Received" displayed are indicative rates that have been supplied by each brand or gathered by Finder.

Exchange rates are volatile and change often. As a result, the exchange rate listed on Finder may vary to the actual exchange rate quoted for the brand. Please confirm the actual exchange rate and mention "Finder" before you commit to a brand.

Which has lower fees?

PayPal

When sending money with PayPal, you'll find a fee of up to $5.99, plus a small amount in the receiving currency (usually equivalent to about 50 cents).

The fees are lower for smaller transfers and will be only $2.99 for transfers under $100 and $0.99 for transfers under $50.

Travelex

Travelex has a very clear-cut fee structure of $15 for any transfer under $10,000, and no fee for transfers over that amount.

Trophy icon
Winner: Travelex

Travelex takes this one with a straightforward fee structure that can help keep costs low for some senders.

Let's crunch the numbers: Sending $1,000 and $10,000 to the US

The table below shows you what a transfer with both PayPal and Travelex looks like.

Sending $1,000 to the US
PayPal Travelex
Transfer fee $5.99 $15
Exchange rate AUD$1 = US$0.692 AUD$1 = US$0.682
Transfer speed 2-3 business days 2-4 business days
Total US dollars received US$688 US$672
Receiver gets US$16 more US$16 less
Sending $10,000 to the US
PayPal Travelex
Transfer fee $5.99 $0
Exchange rate AUD$1 = US$0.692 AUD$1 = US$0.682
Transfer speed 2-3 business days 2-4 business days
Total US dollars received US$6,916 US$6,820
Receiver gets US$96 more US$96 less

In this case, PayPal is offering a more cost-effective transfer in both cases, even when you send enough that Travelex waives its fees.

However, the Travelex International Payment Price Promise still stands, so you could take the PayPal quote to Travelex and see if the company will beat the quote.

Which offers better exchange rates?

PayPal

PayPal receives a wholesale rate quote twice per day from its bank. Add 2.5% to the rate received, and that's used for all transactions that require a currency conversion. Here's an example of what it might look like if you sent money to the US:

  • If the mid-market rate is AUD$1 = US$0.71
  • PayPal's exchange rate may be AUD$1 = US$0.692

Travelex

Currency rates are updated live throughout the day on Travelex's International Payments site. Rates can be up to 4% above mid-market rates, but you're able to lock-in rates with a spot trade and take out forward contracts and limit orders.

Travelex also provides the International Payment Price Promise wherein if you get a better rate within 30 minutes of placing your order, Travelex will exceed that competing rate. Using the same example of sending money to Australia:

  • If the mid-market rate is AUD$1 = US$0.71
  • Travelex's exchange rate may be AUD$1 = US$0.682

Trophy icon
Winner: Tie

PayPal's exchange rates are consistently set at 2.5%, while Travelex's vary and may be better or worse than PayPal's in different situations. Neither is consistently better or worse than the other.

Which is faster?

PayPal

It depends on whether you already have the funds loaded into your PayPal account. Transfers may take only a few minutes from one PayPal account to another but can take several days if you need to transfer funds to or from a bank.

Travelex

You can expect the funds to transfer in two to four business days with Travelex.

Trophy icon
Winner: PayPal

PayPal can offer potentially instantaneous transfers, which is hard to beat.

General features

Payment methods Receiving Options Max and Min Transfer speeds Currencies
PayPal PayPal balance, bank transfer, credit and debit card PayPal account, bank transfer Minimum: $1

Maximum: $60,000

1 day 25+ currencies
Travelex Bank transfer Bank transfer Minimum: $500

Maximum: No limit

1 day 40+ currencies

PayPal

You'll need to register for a free PayPal account before you can send money using it. Once you log in, simply choose who you want to send the money to via the email or mobile number associated with their PayPal account (also referred to as a PayPal wallet) and choose how to fund it.

Some locations don't require the recipient to have a PayPal account and can have the funds transferred directly to their bank account.

Travelex

Travelex also requires that you create an account. You may need to verify your identity with Travelex, a process that can take one to several business days.

Once the account is fully verified, you can start sending money. You'll need to enter your information as well as your recipient's information, including their bank account details. Only bank-to-bank transfers are accepted.

Bottom line

Travelex wins out when it comes to a clear fee structure, but PayPal offers instant delivery. Meanwhile, the one with better rates will vary depending on the situation and the timing. Your needs will dictate which is the better service in terms of saving you money and getting the most to your destination.

But you'll find much more than just these two transfer companies out there. Take the time to compare your options before you settle to find the one that serves you best.

Looking for more options?

Enter your transfer details into the table below to see which one can help you save on international transfers.

I want to send

to

Min. Transfer Amount Transfer Speed Online Transfer Fee Rate Amount Received Description CTA Details
AUD 200 1 day AUD 0.00 0.683 USD
6,835
TorFX guarantees to match any competitor's exchange rate. Conditions apply.
Send money overseas in 30+ currencies with competitive rates for transfer amounts over $2,000.
Go to site Show details
AUD 2,000 1 day AUD 0.00 0.683 USD
6,835
Limited offer: $50 Myer gift card for first time users transferring over $5,000 in May 2019. T&Cs apply.
Send 60+ currencies at competitive rates with $0 transfer fees for Finder customers. WorldFirst will beat any eligible quote from another provider.
Go to site Show details
AUD 250 1 - 2 days AUD 0.00 0.683 USD
6,835
$0 transfer fees for Finder customers.
$0 transfer fee on transfers over AU$10,000, $15 flat fee applies otherwise. 24-hour customer service available with a local support team.
Go to site Show details
AUD 200 1 day AUD 0.00 0.683 USD
6,833
Low minimum transfer amount of just AU$200, with no set-up fees or transfer fees. Go to site Show details
AUD 1 1 - 2 days AUD 45.00 0.686 USD
6,831
Make online transfers at the mid-market rate with transparent fees in 45+ currencies. Go to site Show details
AUD 5 1 - 2 days EUR 3.00 0.683 USD
6,827
Special offer: Pay zero fees on your first 5 transfers
Get bank-beating exchange rates and fast transfer times on 15+ popular currencies.
Go to site Show details
AUD 1 Within an hour AUD 3.99 0.683 USD
6,825
An online money transfer service with cash pickup, bank account to bank account and airtime transfers available. Go to site Show details
AUD 3,000 1 day AUD 0.00 0.683 USD
6,834
Global Reach will match any competitor's exchange rates. Conditions apply.
No transfer fee when transferring more than £10,000 or equivalent. Send money in over 130 currencies. No maximum transfer amount.
Go to site Show details
AUD 1 1 day AUD 0.00 0.683 USD
6,828
With global payments provider XE, enjoy fast and secure transfers and a range of foreign currency tools and calculators while benefiting from $0 transfer fees. Go to site Show details
AUD 200 1 - 2 days AUD 50.00 0.687 USD
6,834
Exclusive: Finder customers receive $15 off their first transaction. T&Cs apply.
Quick and simple international money transfers with zero-margin exchange rates. There's a flat 0.5% transfer fee for most transfers. Earn loyalty points on sign up, referral and every transaction.
Go to site Show details

Compare up to 4 providers


The "Rate" and "Amount Received" displayed are indicative rates that have been supplied by each brand or gathered by Finder.

Exchange rates are volatile and change often. As a result, the exchange rate listed on Finder may vary to the actual exchange rate quoted for the brand. Please confirm the actual exchange rate and mention "Finder" before you commit to a brand.

Frequently asked questions

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Important Information*
Logo for TorFX International Money Transfers
TorFX International Money Transfers

TorFX guarantees to match any competitor's exchange rate. Conditions apply.
Send money overseas in 30+ currencies with competitive rates for transfer amounts over $2,000.

Logo for WorldFirst International Money Transfers
WorldFirst International Money Transfers

Limited offer: $50 Myer gift card for first time users transferring over $5,000 in May 2019. T&Cs apply.
Send 60+ currencies at competitive rates with $0 transfer fees for Finder customers. WorldFirst will beat any eligible quote from another provider.

Logo for OFX (Ozforex) International Money Transfers
OFX (Ozforex) International Money Transfers

$0 transfer fees for Finder customers.
$0 transfer fee on transfers over AU$10,000, $15 flat fee applies otherwise. 24-hour customer service available with a local support team.

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FlashFX International Money Transfers

Low minimum transfer amount of just AU$200, with no set-up fees or transfer fees.

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