The Ultimate Payoneer Review – Everything you need to know
If you are currently looking for a better payment service to receive or send payments at minimal cost for yourself, then The Ultimate Payoneer review is for you, as here you will learn not just only about the ins and outs of Payoneer, but also how they fare against their competitors like PayPal.
A Rising Star
Today, a global market is nothing new, with companies of all sizes offering their services to a large audience that is spread out across the world. Currencies were once something that separated us, coming with frustrating conversions, painful processes and lots of attached fees. Fast forward to today, there seem to be endless options when it comes to connecting buyers and sellers around the world.
One such company that has been showing up time and again on the radar is Payoneer, a border-breaking payment system that does all the leg work, leaving clients to only deposit or withdrawal(and make payments). Since its initiation in 2005, they have received a lot of attention, especially after incorporating top investment firms into their client base. Now, they have become a preferred option from large international corporations to up-and-coming freelancers as an option to make border less business easier than ever before.
If you were looking for a reliable and low cost payment/Money transfer service, whether you run your own business or online business or maybe you are a teacher Teaching English Online or teaching English abroad, in any case, then you’ve come to the right place. Below we have an in-depth look at Payoneer, starting off with a description of how it works followed by a look at how it stands up to the competition including PayPal.
How Payoneer Works
Payoneer is available in over 200 countries, offering users a chance to exchange a large variety of currencies. When you’re an account holder, the payment you receive can be in any currency, where Payoneer will make the exchange, later transferring into your account with the correct currency. Basically, all of the work is taken care of from start to finish, leaving the client only to withdrawal their funds and be on their way.
Companies or individuals needing to transfer money abroad can use Payoneer for any of the following currencies and more:
- Canadian PS
- Australian PS
No matter which currency it’s coming from and which it’s going to, Payoneer takes care of it all. Fees are kept at a minimum throughout the entire transaction, where Payoneer gives the average and most fair conversions rates according to the market. While you’ll find the lowest rates between the USD and Euro (no more than 1%), no matter the currency, total fees incurred cannot exceed $10. If bank transfers really aren’t your thing, the company has a prepaid MasterCard option that comes with conversion fees of 3.5%.
Now that you know a bit about Payoneer and more or less what they are about, we’ll get to the 10 must know details. We have attempted to shine light on every angle, helping you to make the best decision for all your money transferring needs.
The Ultimate Payoneer Review – The 10 things you must know
A look at the A-list companies that have put their cross-border financial needs in the hands of Payoneer says a lot. We are talking big names like:
The company has done a lot since their birth in 2005, most of which was aimed at providing legal and safe money transfers to its users. The investors for Payoneer happen to be the same that are backing big names like Facebook and Expedia.
Their knowledge in safe business practices that provide services to customers worldwide is an important plus. They are fully aware and up to date with jurisdictions both within and outside of the borders of each of the countries and aware of how to comply when they’re mixing with one another.
On top of that, they are recipients of several awards including:
Crain’s Best Places to Work in NYC
Deloitte’s Technology Fast 500 (6 years in a row!)
Inc. Magazine’s Best Places to Work
B2B Innovation Award (2016)
You’ll hear about them in all sorts of publications including mainstream media networks like Forbes, Tech Crunch and Fintech. While the company may have a rock-solid reputation, how do they stand up to today’s cyber security battles? The answer brings us to our next point.
2. Is Payoneer Safe and Legit?
Anything dealing with sensitive customer data and hard-earned money deserves top-notch security. It’s not enough anymore to have two-tier security systems that only require a password and a security question. Nowadays, companies have to think outside the box, attempting to beat cyber slugs to the punch.
Payoneer has a lot of pressure, dealing with not only intimate customer information but also banking details. To stay up to date and prepared for battle against the toughest cyber bugs, the company has put some iron clad measures in place, attempting to stop attacks in their tracks long before ever coming close with information.
How exactly are they doing this? First of all, the site claims to have multiple layers of protection surrounding sensitive details. Embedded into each and every layer are other measures in place, including third-party inception and protection.
Some of the included security measures are 41st Parameter RSA Adaptive Authentication, Max-mind, AU10TIX and G2 Web Services. This power packed group of security systems work together around the clock and are constantly updated to stay unpredictable, making it more difficult to breech.
If that were not enough, the company takes extra steps, including audits that have scored them a PCI Level 1 certification. This is the top score given to companies that provide top of the line security to their users. As a level 1 company, Payoneer must undergo yearly audits that dissect security measures put in place. This is to ensure that methods are up to par with cyber security issues of today. A Qualified Security Assessor (QSA) completes an assessment of the company year after year, aiming to reveal any weak or vulnerable areas that the system could potentially face.
All these security measures put into place to safeguard information and keep it out of harmful hands is pretty impressive. You can rest assured that the company goes above and beyond for security, which gives one solid answer to question number two, yes. Now that you know you’re dealing with a company you can trust, let’s dig into the fees.
3. What are the Costs and Transfer Fees
Up until now things seem peachy. When you start to look at the smaller things, like fees and costs, that’s when clear separations start to appear between methods. Depending on your currency, country and method of receiving funds, there could be better options for you, you just have to weigh the costs.
Compared to other payment systems of its kind, Payoneer keeps head to head with the competition, attempting to keep rates low and exchanges high. First of all, the costs to you are nothing for signing up. You can start your account with Payoneer in a matter of minutes, only then needing to go through a series of verification’s(Safety measures) to get your bank account connected. Now on to the fees. First, let’s look at receiving payments into your Payoneer account.
- Payoneer to Payoneer – Free
- Receiving currencies EUR, GBP, JPY, AUD, CAD, and CNY – Free
- Receiving USD – Varies by country and comes with 0% to 1%
- Receiving from credit/debit – 3%
- Receiving from e-Check (USD) – 1%
As you can see, there are several free options, customers won’t get caught up in a whirl receiving small fees at each end that can eventually add up. While some transactions are processed with the same currencies on both ends, others have to undergo a change based off of the current market rate of exchanges. For this, Payoneer transactions that require exchange can possibly come tacked with a 0.5% fee. This varies by exchange and by currency so be sure to read the fine print beforehand to avoid any unforeseen pileups.
As far as getting your cash in hand, you have a few options to choose from. How do these fees look when choosing a method to withdrawal to?
When withdrawing to a bank account, the fees depend on the currency. If you’re receiving funds from the currency in which your bank operates, you’re likely to see a fee of 1.50 for that currency. What we mean is, it could be $1.50, €1.50 or £1.50. Though their values vary depending on the market, you’ll be charged this in order to process your withdrawal.
If receiving your withdrawal in a currency other than that of your local bank, the fees can go up to 2% above those of the bank’s fees. This means that, to get the total fees per withdrawal, you will first have to look at what your bank charges and then tack on up to 2% more. To see if this is the best option for you, it is best to first check out the specifics of your bank account.
There is also the option to take the Payoneer MasterCard. Each time that you receive funds, they’re available for use immediately when making purchases with your card. If using the card when purchasing in a different currency than that received, MasterCard conversions fees will kick in plus, Payoneer could add on up to an additional 3.5%. This method is quite possibly subject to the highest amount of fees, so it’s best to take a look at both the currency you’re receiving from plus MasterCard fees.
4. Exchange Rates
Sometimes you get a large payment that looks great in the currency from which it’s coming from only to see it wither away when it comes to exchange. The market for currency is a strong one that is backed by strong values like the Euro and the USD. Payoneer offers its services to more than 200 countries, which in turn makes for a large range of currencies offered that come with the dreaded conversion rate.
The way that Payoneer attempts to play with conversion rates is actually pretty impressive. While the market is in constant motion and has a lot in play depending on what’s going on in the world, Payoneer attempts to always make the exchanges at mid-market range. This is said to be one of the most fair and best rates to use, as it takes both the “buy” and “sell” rates into consideration. What you get after all the math and statistics is a fair and competitive rate compared to other payment systems.
This however is only the standard rate of conversion. Payoneer is also subject to attach a 2% fee for conversion on top of that(Not for USD, GBP and Euro). This may sound like it can add up, and it can, but rest assured that Payoneer is hard at work to break through and become more normalized in each of its 200 successfully operating countries.
Their long-term goal is to localize more options, which would make them eligible to operate without hefty conversion fees across borders. When comparing these rates with other payment systems of its kind, Payoneer still remains at the top of the chain keeping close with the toughest of competitors. Speaking of competitors, lets take a look at one of its biggest and get a glimpse of how they stand up in a face off.
5. Payoneer vs PayPal
PayPal has been a big name in online money services for years. Known as a safe and secure option for online purchases, it’s no wonder that they are still at the top and a large competitor with other services like Payoneer. But, how do they look when they go up against one another? While both services check out when it comes to legitimacy and security, they differ in the important stuff like fees and regulations. This is what we will focus on here, as the other stuff really just comes down to personal preference.
First up, let’s look at exchange rates. PayPal and Payoneer both offer their services in over 200 countries but, the way that they choose to convert is a bit different. While PayPal tacks on a 4.4% fee plus those incurred through conversions depending on currency, Payoneer chooses to do things based off of current market values.
They use the ‘mid-market’ range in an attempt to be fairer and take a lower percentage. With Payoneer, you’re informed beforehand about the rate of exchange and the transaction will only process if you agree with the rate. A look at the two based off of other fees included in transactions are:
- Country of account directly affects fees
- Transfers come tacked with fees up to 2%
- Possible currency conversion fees + transfer fees
- Credit card fees higher than bank account
- Send money to any country within the Payoneer account with 0 fees
- Withdrawals come with fees, 1,50 per withdrawal for USD, EUR and GBP and up to 2% for any other country.
- Payoneer to Payoneer transactions are free of fees
- 1% fee if received from Global Payment Service
One thing that might sell you on Payoneer is the fact that there are a few currencies that come without attached fees. These are EUR, GBP, JPY and USD always com with less than 1%. If you’re receiving payments from any one of these currencies frequently, Payoneer could be the best option. Plus, they’ve added advanced payment options such as billing and mass payouts from top services like Amazon and Airbnb. The process is simple and easy, making it great for companies of all sizes that make transactions of all amounts.
6. Pros and Cons of Payoneer
While this system is pretty solid, it is not perfect. That being said, we lined up some things we really like and some we really don’t like so that it would give you a better insight.
- A long list of services for everything dealing with finances
- Processing times are quick no matter where in the world they are coming from or going to
- Exchange rates are highly competitive
- Both bank account and MasterCard options
- Different Ways to contact support, including Online messaging function and E-mail.
- Top-tier security system
- May take longer to get your account approved and to get started
- Just Like PayPal, Customer care response can be a bit slow(But not worse)
- MasterCard option comes with annual fees
7. Customer Support
Our research around the web led us to believe that the overall level of satisfaction dipped a bit lower due to customer care. There were tales of long wait times and a few issues that were left unresolved. However, the company has improved immensely when it comes to customer care, branching out and beginning to offer customers something more.
Now, when visiting the site, options to strike up a chat with a customer care operator are available via the live chat option which PayPal doesn’t have. This is possibly the one with the best feedback, as operators are generally on standby. Other than that, there are telephone numbers and email addresses listed, however these are only available within business hours. These vary by country, with majority open from 9am to 9pm in the corresponding time zone from Monday to Friday.
8. Customer Reviews
If we take a look at what customers had to say about Payoneer, the response is mostly positive. We took a look at a few third-party review sites, including Trust pilot, where the site has a 9.2 out of 10. Out of all of the reviews collected, there were only a small few that rated the company poor, most of the complaints were about the time issues got resolved.
Customers raved about:
The helpful customer care they received when a question arose
The large number of options for receiving and withdrawing payments
The competitive exchange rates and additional fees
Customers were not so happy with:
Issues that took a long time to resolve
Delayed payments or payments that went into pending for long periods of time
9. Credibility and Security
Because this is a company that deals with money of all quantities, they take special care to ensure that the entire process from start to finish is done safely and efficiently. As money makes its way across borders, Payoneer makes sure that all steps and conversions are in compliance with each jurisdiction. Not only are there security measures put in place on the site, but there are also third-party companies that are on the lookout.
As a company that could be a target for illegal or unsafe hacking and fraud, they have worked hard to prevent this from happening, keeping a Level 1 status for their annual, and sometimes quarterly, audits. This speaks volumes of their credibility and security, as this status is not so easily achieved. A long checklist is required, including an in-depth look of potential breeches or vulnerable areas.
10. Service and Coverage
The thing that makes Payoneer impressive are its large number of services offered. They are more than just a payment service, with additional services in place including:
Global Payment Service – With this account, you’re able to receive payments from all kinds of currencies. Plus, you can send to other Payoneer users free of charge.
Billing Services – With this service, users can send an invoice to clients in which they do not need a Payoneer account. This is a perfect option for freelance or business accounts.
Currency Conversion – A unique feature of each Payoneer account is that balances are separated by currency. The conversion happens when you’re ready to withdrawal, and that’s when the fees are added. You can always see the conversion and total before choosing to withdrawal, so you can see all fees before processing.
Mass Payout Options – If you’re a seller on some of today’s biggest platforms like Amazon or Airbnb, you can choose to use the Payoneer mass payout option. This will gather up all the funds received and put them into one place where you can make an easy withdrawal.
Payment System – You can also use your account to pay for other services whether it’s something from a contractor or supplier. This works seamlessly so long as they have a Payoneer account.
Does ALifeOfGreatness use Payoneer?
Yes We Do!
Although we made an account more than a year ago, we have only just started using Payoneer just for a few months now and it has been great so far. The fees were little to nothing in comparison to PayPal and if we needed to change the currency for example from USD to EUR, the costs were also less. Their customer support services are also far more easier to reach, with different contact options available. This was for us one of the main reasons why we moved most of our business away from PayPal to Payoneer.
So far, our experience with the Payoneer payment platform has been great and we love it and we plan to continue using it for many years to come. There may be one question that comes into your mind right now, that is if we already made an account more than a year ago, why did it take us so long to get started? Good question!
The truth is that we had some initial fears about the platform which were:
- Payoneer was new for us and we didn’t know anything about it
- We didn’t know if Payoneer could be trusted
- We were too comfortable with our current payment platform(which is PayPal)
- And the Last and maybe most important part: Fear of change
Although these were all legit concerns and I’m pretty sure most of you have them as well, fear should never be a reason to hold you back. However when dealing with issues as important like making online payments, you just want to be absolutely sure that you are dealing with the right, secure and a super trustworthy platform. Everyone wants to have this important feeling of security when they want their money to safely arrive into their bank accounts or make payments, that is just a simple fact.
We had the same initial fears and questions going through us, but eventually we just started with small secure money transfers and it all turned out to be legit, even better, Payoneer turned out to be far more money saving than PayPal. This is our experience with Payoneer and the way it’s going right now, it will become the payment platform of the future.
When choosing a payment system, it’s always best to weigh your options. Nowadays, you have many, which means that you can be picky and really get the best hit for your buck. While there is not one solid system that is perfect, Payoneer is a great option, especially compared to their competitor PayPal, which has countless of horrendous stories, which is including but not limited to: stories about account freezes, account deactivation’s, only one method of contacting support when login in is not possible(which is calling) and many more.
I personally also had the issue of account freezes many times over and the methods for contact support are horrible, especially if you cant login into your account, then the only way is calling. That and the High fees were the main reasons why we are trying to move all our business away from PayPal. However we still use it simply because some of our clients use it.
Payoneer is a Rising Star in it’s field of business and if their competitors like PayPal don’t evolve their current practices, then they will find themselves losing their number One position. This is just a simple fact and possibly the beginning of the end for their precious business. In any, We love Payoneer and we hope you do too and that you enjoy all the benefits they have to offer!