Revolut vs PayPal – Which one is better for Americans?

When you need to manage money digitally and send transfers abroad, 2 names often come up: Revolut and PayPal. Both let you send money internationally and handle online payments, but they're also quite different from each other.

PayPal works as an online payment platform that connects to your existing bank accounts and cards. Revolut is a full digital bank, offering checking accounts, debit cards, and even ways to trade stocks. Both providers also allow you to send international money transfers.

So, which one is better when looking at Revolut vs PayPal? Here's everything you need to know about how these providers compare, especially when it comes to international payments and sending money transfers to your family and friends.

We'll also introduce Wise — your international money transfer alternative. Use Wise to send stress-free transfers to over 140 countries - all at the standard mid-market exchange rate.

Learn more 🔎

Revolut vs PayPal – general overview

In simple terms, PayPal is a middleman between you and your existing bank accounts, and Revolut becomes your global banking platform.

You can use PayPal as a payment processor to shop online, pay friends, send money internationally, and even buy cryptocurrency. You add money from your existing bank account or credit card, and can keep a balance in your PayPal account.

PayPal accepts users from the US and allows you to send money internationally to over 100 countries worldwide.¹

Revolut operates as a digital bank that replaces or supplements your traditional bank account. You get an independent bank account, multiple debit cards (physical, virtual, or disposable), and can manage your money directly through their app.

You can also send international transfers to over 140 countries in 25+ currencies.²

Both services charge transfer fees and currency exchange rate markups, so they're not always the cheapest ways to send and manage your money—especially when it comes to international transactions.³⁴

Pros & cons

Revolut vs PayPal – fees

You'll pay fees for sending money with both Revolut and PayPal. Their pricing structures are similar: both providers charge you a transfer fee and a separate currency exchange markup if you're converting your USD into a foreign currency.

Here's how the costs break down:

Revolut's fee structure depends a lot on which plan you choose.

For example, Standard plan users get 1,000 USD monthly in fee-free currency exchanges at the interbank rate, and Premium and Metal subscribers get higher Revolut limits and transfer fee discounts.⁴⁵

PayPal doesn't have different subscription plans, and all accounts are free. However, their hefty 3% to 4% currency conversion fees can add up quickly, especially on larger transfers.³

Revolut vs PayPal – exchange rates

Both Revolut and PayPal make money when you convert your money from USD to another currency, such as EUR or MXN.³⁴

For PayPal, this markup can be as high as 3% to 4%, which is a lot. For Revolut, it's less clear, but you'll see it displayed clearly when you set up your transfer. Currency conversion can seem like a small expense, but you can end up paying quite a lot in these hidden fees.

For example, if the mid-market exchange rate is 1 USD = 20 MXN, but PayPal only gives you 19.2 MXN, you're losing 0.8 MXN per USD. On a 2,500 USD transfer to Mexico, this difference costs you about 100 USD extra.

The markup may be negligible on a very small transfer—although it never feels good to lose money on a simple switch from one currency to another—but on large transfers, it can cost you hundreds of USD.

Not all money transfer services charge you for currency conversion, so it’s worth investigating PayPal and Revolut alternatives to see if you can find a better deal elsewhere.

Supported countries

You'll have global reach when sending international transfers with both PayPal and Revolut.

However, with PayPal, you can only send money to other PayPal users. For more delivery methods, such as bank transfers and cash, you'll need to use Xoom, another money transfer service that PayPal owns. It comes with its own fees and rules.¹

Revolut sends money to over 140 countries in 25+ currencies. You can transfer money to bank accounts, cards, and other Revolut users, with Wallet transfers (when you can send money through a phone number) being currently developed, too.²

Transfer times

Both Revolut and PayPal are fast payment methods.

PayPal international transfers are instant, since you can only send money to other PayPal users and, as a result, are just moving money within their system. Your money should be there in minutes or even seconds.¹

Revolut doesn't give you specific timeframes for all transfer types, but you'll see delivery estimates before you send money. Transfers to other Revolut users or card accounts typically arrive in about 20 seconds. But international transfers to bank accounts can take a couple of days, depending on your destination country.²

Safety & security

Both Revolut and PayPal are safe to use and protect your money during transfers.

PayPal uses encryption to secure your information and offers buyer and seller protection for purchases. They're regulated by financial authorities and have established fraud prevention systems.

Revolut also has strong security features, such as making it easy to freeze your cards instantly through the app if you suspect fraud or lose your card. They also have a disposable card feature that lets you create temporary virtual cards for online purchases, protecting your main account details.

Revolut's fraud prevention system automatically flags high-risk transactions and sends you alerts, helping you spot potential scams.

Overall, you have little to worry about with both providers. However, it's still important to watch out for scams and only send money to people you know and trust.

Frequently asked questions

Does PayPal work like Revolut?

In some ways, but they're mostly very different platforms.

PayPal is a payment service that connects to your existing bank accounts and credit cards. It's convenient for online shopping and sending money to friends, but it's not a bank.

Revolut is a global bank that gives you checking accounts, debit cards, and other banking services. It may not completely replace your traditional US bank, but it can be a great way to supplement it.

Can Revolut be trusted?

Yes, Revolut is safe to use. They're regulated by financial authorities and use strong security features to protect your money. There are also many safety-oriented features, such as being able to instantly freeze your cards and create disposable ones for online shopping.

Does Revolut have a monthly fee?

Revolut's Standard plan is free. However, if you want extra features, Premium costs 9.99 USD per month and gives you higher limits and better rates. Metal costs 16.99 USD per month and includes premium perks like primary accidental medical insurance and priority customer support.⁵

Final verdict: Which provider is better?

Both PayPal and Revolut can handle international money transfers, if that's what you're looking for. They also offer many other features, such as ways to pay for online purchases, with strong safety measures.

However, the main issue with both services is the cost.

PayPal and Revolut charge high transfer fees plus currency exchange rate markups that can cost you a lot of money. With Revolut, you'll also have to pay a monthly fee of either 9.99 USD (Premium) or 16.99 USD (Metal) to access certain perks.³⁴⁵

If you're looking for a cheaper and more convenient way to send money abroad, consider Wise instead. It always uses the mid-market rate with no markup and charges transparent, low fees.

Learn more about Wise

Sources

1. PayPal - Send money internationally
2. Revolut - International transfers
3. PayPal - PayPal Consumer Fees
4. Revolut - Personal Fees
5. Revolut - Pricing Plans

Sources checked 09/10/2025