Why IntaSend Is Now the Best PayPal Alternative in 2025
Mar 21, 2025
If you're an African business owner or freelancer who relies on PayPal, you've likely received an email about their upcoming policy changes. And if you haven't taken a close look at those changes yet, you might want to sit down before reading further.
Starting April 21, 2025, PayPal is implementing significant fee increases and policy changes specifically targeting African markets—changes that could seriously impact your bottom line.
With these new policies on the horizon, now is the perfect time to consider alternatives. And for businesses operating in Africa, IntaSend has emerged as the standout option that addresses the exact pain points PayPal is creating.
Let's dive into why these PayPal changes matter and how IntaSend offers a more Africa-focused solution.
PayPal's 2025 Policy Changes: A Tough Blow for African Users
PayPal's upcoming changes specifically affect African markets in several significant ways:
1. Substantially Higher International Transaction Fees
The change: Receiving payments from abroad will now cost 4.90% + a fixed fee (varies by currency but roughly equivalent to $0.30 USD) for most African markets.
What this means: If you're a freelancer receiving a $1,000 payment, you'll now pay approximately $49 in percentage fees plus the fixed fee—nearly $50 gone from your hard-earned money.
2. New Withdrawal Fee Structure
The change: Withdrawals under KES 20,000 (approximately $150) will now incur a flat KES 105 fee.
What this means: Smaller withdrawals become significantly less economical. If you withdraw KES 10,000, you're immediately losing over 1% just in withdrawal fees.
3. U.S. Bank Withdrawal Fees
The change: Previously free withdrawals to U.S. bank accounts will now cost African users a 3.00% fee.
What this means: If you're withdrawing $1,000 to a U.S. bank account, you'll now pay an additional $30 for the privilege—a service that used to be free.
4. Introduction of Dispute Fees
The change: Standard disputes will now cost $8, while high-volume disputes increase to $16. Most critically, you'll pay these fees even if you win the dispute.
What this means: Every time a customer files a dispute—even if they're wrong and you ultimately win—you're out at least $8. For businesses dealing with higher dispute volumes, these costs add up quickly.
Why These Changes Matter
These policy updates reflect a troubling trend: global payment platforms often implement their most aggressive fee increases in emerging markets, where users have traditionally had fewer alternatives.
For the average African business owner, freelancer, or entrepreneur, these changes represent a significant increase in the cost of doing business internationally. A business processing $10,000 monthly through PayPal could see annual fees increase by thousands of dollars—money that could otherwise be reinvested in growth.
IntaSend: The African-Built Alternative
This is where IntaSend enters the picture. Built specifically with African businesses in mind, IntaSend offers several key advantages that make it the obvious choice in a post-PayPal fee hike world:
1. More Competitive Fee Structure
While PayPal is increasing its international transaction fees to 4.90%, IntaSend maintains significantly lower fees for cross-border transactions. Their transparent pricing model means you know exactly what you're paying, without the surprise fees that have become PayPal's signature move.
For businesses processing regular international payments, this difference alone could save thousands of dollars annually.
2. No Punitive Dispute Process
Unlike PayPal's new policy of charging businesses even when they win disputes, IntaSend focuses on fair dispute resolution without punishing merchants by default. Their approach recognizes that disputes are sometimes part of business, but shouldn't become a profit center for the payment processor.
3. Direct Bank and Mobile Money Integration
Perhaps IntaSend's biggest advantage is its seamless integration with both traditional banking systems and mobile money platforms that dominate the African financial landscape.
While PayPal requires multiple steps (and fees) to move money to mobile money platforms like M-Pesa, IntaSend offers direct connections that reduce both time and cost.
4. Expanded Cross-Border Capabilities
IntaSend has recently extended its cross-border payment capabilities to seven key African markets:
Uganda
Tanzania
Burkina Faso
Nigeria
Ghana
Ivory Coast
Cameroon
This expansion means businesses can now send money directly to recipients in these countries without the multiple currency conversions and fee layers that PayPal imposes.
5. Built for Both Collection and Disbursement
While PayPal primarily focuses on helping businesses collect payments, IntaSend excels at both sides of the transaction equation:
Collections: Accept payments via cards, mobile money, and bank transfers
Disbursements: Send payments to suppliers, freelancers, and employees across borders
This dual capability eliminates the need for multiple payment platforms, streamlining financial operations and reducing overall costs.
Real-World Impact: Comparing Costs
Let's look at a practical example to illustrate the difference these changes will make:
Scenario: A Kenyan web development agency receiving a $5,000 payment from a U.S. client
With PayPal (after April 2025):
International transaction fee (4.90% + fixed fee): $245 + $0.30 = $245.30
Withdrawal fee to local bank (varies but typically 2.5%): $125
Total fees: $370.30 (7.4% of the payment)
With IntaSend:
International transaction fee (approximately 3.5% for comparison): $175
Withdrawal fee to local bank or mobile money: Minimal or free depending on amount
Total fees: Approximately $175-$185 (3.5-3.7% of the payment)
Savings with IntaSend: Approximately $185-$195 per $5,000 transaction
For a business processing $20,000 monthly, that's a potential annual savings of nearly $9,000.
Beyond Fees: Additional IntaSend Advantages
The benefits of switching to IntaSend extend beyond just saving on fees:
1. Multiple Payment Channels
Payment collection with IntaSend is made simple through payment links or requests, supporting Google Pay, Apple Pay, CashApp/Bitcoin, card payments (Mastercard, Visa), and M-Pesa.
2. Local Mobile Payment Support
While PayPal has limited integration with African mobile money systems, IntaSend excels with deep local payment integrations:
M-Pesa Integration: Direct connection to Kenya's dominant mobile money platform with over 30 million users
Real-Time Processing: Instant notifications and confirmations
B2C and B2B Support: Send money to both consumers and businesses
Bulk Disbursements: Pay multiple recipients with a single transaction
STK Push: Streamlined payment experience with fewer steps than traditional mobile money transactions
For businesses operating in Kenya and East Africa, this native mobile money support eliminates the costly and time-consuming workarounds required when using PayPal.
3. API-First Architecture
IntaSend's developer-friendly API makes it easy to integrate payment processing directly into your website, app, or business systems. This allows for:
Customized checkout experiences
Automated payment reconciliation
Seamless subscription billing
Embedded payment links
4. Business-Focused Features
IntaSend offers features specifically designed for African businesses:
Bulk payment processing for payroll and supplier payments
Detailed transaction reporting for accounting
Multi-user access with permission controls
Customizable payment pages
5. Local Knowledge, Local Support
Perhaps most importantly, IntaSend is built by a team that understands the unique challenges and opportunities of the African payment landscape. Their support team understands local banking systems, compliance requirements, and business realities in a way that global giants like PayPal simply cannot match.
How to Transition from PayPal to IntaSend
If you're considering making the switch before PayPal's new fees kick in, here's a simple transition plan:
Set up your IntaSend account - The process takes minutes and requires standard business verification
Integrate IntaSend payments - Add payment links or API integration to your website or invoices
Inform your clients - Let them know you're offering a more efficient payment method
Gradually transition - You can run both systems in parallel initially to ensure a smooth transition
Analyze the savings - Track the fee difference to quantify your savings
Is PayPal Still Useful for Anything?
To be fair and balanced, there are still some scenarios where maintaining a PayPal account might make sense:
If you have clients who absolutely refuse to use any other payment method
For marketplaces that only pay out via PayPal
As a backup payment option for specific situations
However, for the core of your payment processing—especially for African businesses dealing with international clients—IntaSend now offers a clearly superior alternative.
Conclusion: The Clear Choice for African Businesses
PayPal's decision to increase fees specifically for African markets in 2025 follows an unfortunate pattern of treating emerging markets as profit centers rather than growth opportunities. These changes make an already expensive service prohibitively costly for many African businesses.
IntaSend, built with African business needs at its core, offers not just a viable alternative but a genuinely better solution. With lower fees, better local integration, expanded cross-border capabilities, and features designed specifically for the African context, it represents the future of payments for businesses across the continent.
As PayPal raises its drawbridge on April 21, 2025, African businesses have a clear path forward with IntaSend—a payment platform that understands that Africa deserves better than to be an afterthought in global payment systems.
Have you experienced issues with PayPal's fees or policies? How are you planning to adapt to the upcoming changes?