Head-to-head
Skrill vs PayPal: Which E-Wallet Wins in 2026?
PayPal has more merchants. Skrill has cheaper FX, instant gaming deposits, crypto built-in, and a cash-back loyalty program. Here's when each wins.
Open a Skrill accountFull feature comparison
| Feature | Skrill | PayPal |
|---|---|---|
| Merchant checkout fee | 1.9% flat | 2.9% + fixed |
| FX markup | 1.29%–3.99% (VIP-dependent) | ~4% on all cards |
| Send money to friends | 1.45% (free bank withdraw at VIP) | Free within country, ~4% abroad |
| Gaming & betting | Accepted at 200+ brands, instant deposits | Blocked or restricted in most markets |
| Crypto buy/sell | Built-in, 30+ coins | Limited to a few coins, US-mostly |
| Loyalty rewards | Knect — cash back in wallet | None |
| Prepaid card | Skrill Prepaid Mastercard | PayPal Debit (US only) |
| Currencies | 40+ | 25 |
| Countries | 180+ | 200 |
| Best for | Gaming, crypto, Forex, freelancers | General e-commerce |
Where Skrill beats PayPal
- Cheaper for international sending — Skrill VIP FX starts at 1.29%; PayPal is stuck near 4% on card-funded transfers.
- Gaming & Forex — Skrill is the default cashier at bet365, PokerStars, and most Forex brokers. PayPal blocks or restricts them in most markets.
- Crypto — Skrill lets you buy, sell, and transfer 30+ coins with high limits. PayPal's crypto is US-restricted and can't be moved off-platform easily.
- Knect loyalty — earn points on eligible payments and redeem as cash. PayPal offers no equivalent.
Where PayPal still wins
- Buyer protection on physical goods — PayPal's dispute system is more consumer-friendly for eBay/Etsy-style purchases.
- Merchant reach on general e-commerce — checkout button on more mainstream stores.
Cost example: sending €1,000 abroad
- PayPal — roughly 4% FX markup plus a cross-border fee, so about €45–50 in total cost.
- Skrill (no VIP) — 1.45% send fee plus 3.99% FX, about €54.
- Skrill (Gold VIP) — free sends and 1.99% FX, about €20.
- Skrill (Diamond VIP) — 1.29% FX, about €13, roughly a quarter of PayPal's cost.
Check your own scenario in the Skrill fees calculator.
Speed: how fast is your money usable?
- Wallet-to-wallet — instant on both.
- Merchant deposit — instant on both; Skrill is accepted at gaming cashiers where PayPal is not.
- Withdrawal to card — Skrill same-day to 2 days; PayPal minutes for 1.75%.
- Withdrawal to bank — Skrill 2–5 days (free at VIP); PayPal 1–3 days free.
Safety and buyer protection
Skrill is authorised by the UK Financial Conduct Authority and safeguards customer balances in segregated accounts; PayPal operates in Europe under the Central Bank of Ireland. Neither is a bank, so neither balance is covered by deposit insurance. PayPal's advantage is dispute resolution on physical goods — if a parcel never arrives, PayPal will usually refund. Skrill is deliberately stricter on chargebacks, which is exactly why gaming and Forex merchants accept it. More on this in is Skrill safe.
Which should you choose?
- Buying physical goods from unfamiliar sellers → PayPal.
- Depositing at betting sites, casinos or Forex brokers → Skrill.
- Sending money internationally more than once a month → Skrill VIP.
- Buying or moving crypto from a wallet → Skrill.
- Getting paid by small online stores and clients → whichever they support; most freelancers keep both.
See our full Skrill review, the fees breakdown, our dedicated Skrill vs PayPal for gaming and betting guide, or compare every wallet in our best e-wallets ranking and PayPal alternatives guide.
Frequently asked questions
Is Skrill cheaper than PayPal?
For merchant checkout Skrill's flat fee (typically 1.9%) beats PayPal's 2.9% + fixed, and Skrill's FX markup at VIP tiers drops to 1.29% versus PayPal's ~4%.
Can I send money from Skrill to PayPal?
Not directly. You must withdraw from Skrill to your bank, then top up PayPal from the same bank account.
Which is safer, Skrill or PayPal?
Both are regulated (Skrill by the FCA in the UK, PayPal by the CBI in Ireland) and safeguard customer funds. PayPal offers stronger buyer protection on physical goods; Skrill is stricter on chargebacks.
Is Skrill accepted at more sites than PayPal?
For gaming, betting, Forex brokers, and crypto exchanges — yes. For general e-commerce PayPal has wider merchant coverage.
How long do Skrill and PayPal withdrawals take?
Skrill wallet-to-wallet sends are instant, card withdrawals usually land same-day to 2 business days, and bank withdrawals take 2–5 days. PayPal instant transfers to a debit card arrive in minutes for a 1.75% fee, or free to a bank in 1–3 business days.
Which has better customer support?
PayPal has 24/7 phone support in most markets. Skrill offers email and live chat, with faster response times once you reach a VIP tier.
Can I use both Skrill and PayPal?
Yes, and that is the common setup: PayPal for everyday shopping where buyer protection matters, Skrill for gaming, Forex, crypto and cheaper international sending.
Does Skrill or PayPal have better exchange rates?
Skrill. Its FX markup runs from 3.99% down to 1.29% at Diamond VIP, while PayPal applies a roughly 3–4% markup regardless of how much you transact.