Braintree vs Stripe
Why people compare these: Both are developer-focused payment platforms with similar base rates (2.89% vs 2.9%), but differ in ecosystem integration and feature depth
The real trade-off: PayPal/Venmo native integration vs best-in-class developer experience and feature breadth
Common mistake: Choosing based on 1¢ rate difference while ignoring PayPal ecosystem value or Stripe feature depth
At-a-glance comparison
Braintree ↗
Braintree is PayPal's end-to-end payment platform designed for growth, offering card processing, PayPal/Venmo integration, ACH payments, and fraud tools. Uniquely positioned to leverage PayPal's…
- ✓ Slightly lower standard rate (2.89% + 29¢) compared to Stripe (2.9% + 30¢)
- ✓ Native PayPal and Venmo integration without separate contracts
- ✓ Discounted charity pricing (2.19% + 29¢) for verified 501(c)(3) organizations
Stripe ↗
Stripe is a developer-first payments platform offering comprehensive payment processing, billing automation, fraud prevention, and financial tools. Known for best-in-class developer experience with…
- ✓ Industry-leading developer experience with extensive APIs and SDKs
- ✓ Transparent, pay-as-you-go pricing with no setup or monthly fees
- ✓ Comprehensive fraud prevention with machine learning (Radar)
Where each product pulls ahead
These are the distinctive advantages that matter most in this comparison.
Braintree advantages
- ✓ Native PayPal and Venmo without separate contracts
- ✓ Charity pricing (2.19%) for verified 501(c)(3) organizations
- ✓ ACH capped at $5 (better for large transactions)
Stripe advantages
- ✓ Industry-leading developer experience and documentation
- ✓ Rich ecosystem (Billing, Connect, Terminal, Issuing)
- ✓ Comprehensive machine learning fraud prevention (Radar)
Pros & Cons
Braintree
Pros
- + You want native PayPal and Venmo integration
- + You have existing American Express merchant account (pass-through saves fees)
- + You are a verified 501(c)(3) charity (2.19% rate)
- + You process large ACH transactions (benefits from cap)
- + You prefer PayPal brand recognition and ecosystem
Cons
- − International cards add 1% surcharge (same pain as Stripe)
- − Non-USD currency adds another 1% on top
- − Chargebacks cost $15 each with no refund on transaction fees
- − ACH returns and disputes add $5 per occurrence
- − Chargeback Protection Tools add 0.4%-0.6% per transaction
- − Venmo limited to US market only
- − Charity pricing requires verification and pre-approval
- − Custom pricing only for 'established businesses' - startups pay full rate
Stripe
Pros
- + You need best-in-class developer experience and APIs
- + You require subscription billing automation (Stripe Billing)
- + You are building a marketplace or platform (Stripe Connect)
- + You want comprehensive fraud prevention (Radar)
- + You value extensive documentation and developer community
Cons
- − International cards add 1.5% surcharge making global scaling expensive
- − Currency conversion adds another 1% on top of base rates
- − Manually keyed transactions penalized with extra 0.5%
- − Buy Now Pay Later options jump dramatically to 5.99% + 30¢
- − Add-on products (Radar for Fraud Teams, custom domains) increase costs
- − Chargeback and dispute fees ($15-$29) can accumulate for high-risk businesses
- − Enterprise pricing (IC+) requires significant volume commitment
Which one tends to fit which buyer?
These are conditional guidelines only — not rankings. Your specific situation determines fit.
- → Pick Braintree if: You need native PayPal/Venmo integration, run a 501(c)(3) charity, or have existing AmEx merchant account
- → Pick Stripe if: You need best-in-class APIs, subscription billing, marketplace features, or extensive developer tools
- → Base rates are nearly identical (2.89% vs 2.9%)—total costs diverge with international cards, currency conversion, and add-on features
- → The trade-off: PayPal ecosystem integration vs developer experience and feature breadth—not pricing