OFX vs PayPal: Fees, Rates & Speed Compared
OFX
4.4OFX is a global money transfer service specializing in large transfers for individuals and businesses, offering competitive rates with no transfer fees.
PayPal
3.5PayPal is a widely-used online payment platform that also offers international money transfers, though fees and exchange rates can be less competitive than specialists.
OFX and PayPal are both popular choices for international money transfers, but they take different approaches. OFX, founded in 1998 and headquartered in Sydney, Australia, is best known for large transfers and business payments. PayPal, operating since 1998 from San Jose, USA, focuses on international money transfers. This comparison uses real transfer data collected from both providers across 6 popular corridors to show you exactly which one offers better value for your specific needs. Our data shows the difference can be significant — on a £1,000 GBP → EUR transfer, OFX delivers €19.06 more to the recipient.
In this comparison
Live comparison: OFX vs PayPal across popular corridors
The table below shows how much the recipient receives when sending through OFX vs PayPal on 6 popular corridors. Data is refreshed every 6 hours from provider APIs and websites.
| Corridor | OFX | PayPal | Winner |
|---|---|---|---|
| USD → INR($1,000) | ₹90,825.83 | — | N/A |
| GBP → EUR(£1,000) | €1,121.36 | €1,102.30 | OFX (+€19.06) |
| USD → PHP($500) | ₱28,533.99 | — | N/A |
| USD → MXN($1,000) | MX$16,837.46 | — | N/A |
| GBP → PKR(£500) | — | — | N/A |
| USD → NGN($200) | — | — | N/A |
Amounts shown are what the recipient receives. Based on current scraped data, updated every 6 hours.
Key differences between OFX and PayPal
OFX vs PayPal: Feature comparison
| Feature | OFX | PayPal |
|---|---|---|
| Overall rating | 4.4/5 (Excellent) | 3.5/5 (Good) |
| Fee structure | No transfer fees | 5% with $0.99 min, $4.99 max |
| Exchange rate markup | 0.5% - 1.5% above mid-market | 3% - 4% above mid-market |
| Transfer speed | 1-3 business days | Instant to 3 days |
| Supported countries | 190+ | 200+ |
| Supported currencies | 55+ | 25+ |
| Max transfer | No limit | $60,000 |
| Payment methods | Bank Transfer | Bank Transfer, Debit Card, Credit Card, PayPal Balance |
| Delivery methods | Bank Deposit | PayPal Account, Bank Deposit |
| Regulators | ASIC, FCA, FinCEN | FinCEN, FCA, Various |
| Founded | 1998 | 1998 |
Pros and cons
OFX
Pros
- No transfer fees on any amount
- Competitive rates for large transfers
- 24/7 customer support
- Forward contracts available
- Business solutions
Cons
- Higher minimum transfer ($100+)
- Only bank transfer payments accepted
- Rates less competitive for small amounts
PayPal
Pros
- Widely accepted globally
- Instant transfers to PayPal users
- Buyer protection available
- Easy to use interface
- Available in 200+ countries
Cons
- High exchange rate markup (3-4%)
- Transfer fees can add up
- Recipient needs PayPal account for instant transfer
When to choose OFX vs PayPal
Choose OFX if:
- You want the real mid-market exchange rate with no hidden markup
- You need to transfer large sums (OFX has no upper limit)
- You want to lock in an exchange rate with a forward contract
Choose PayPal if:
- You want the real mid-market exchange rate with no hidden markup
- You want zero transfer fees (5% with $0.99 min, $4.99 max)
- PayPal's strengths (PayPal Account, Bank Deposit) match your needs
Verdict: OFX or PayPal?
Cost winner: OFX
OFX wins on cost in 1 of 6 corridors we tested. For example, on GBP → EUR (£1,000), the recipient gets €19.06 more with OFX. OFX achieves this through transparent pricing with the real mid-market exchange rate.
Faster: PayPal
PayPal is generally faster, with transfers arriving in Instant to 3 days, compared to 1-3 business days for OFX.
Coverage: Comparable reach
Both providers have comparable coverage. OFX supports 190+ countries and 55+ currencies, while PayPal covers 200+ countries with 25+ currencies.
Bottom line
Overall, OFX edges ahead for most users thanks to transparent pricing with the real mid-market exchange rate. That said, PayPal is the better pick if you need international money transfers.
Frequently asked questions
Is OFX or PayPal cheaper for international transfers?
Based on our data, OFX is generally cheaper across most corridors. OFX charges No transfer fees with a 0.5% - 1.5% above mid-market exchange rate markup, while PayPal charges 5% with $0.99 min, $4.99 max with a 3% - 4% above mid-market markup. For example, on a £1,000 GBP → EUR transfer, OFX delivers €19.06 more. However, costs vary by corridor, so always compare for your specific route.
Which is faster, OFX or PayPal?
OFX typically completes transfers in 1-3 business days, while PayPal takes Instant to 3 days. Actual speed depends on the corridor, payment method, and delivery option you choose. Bank transfers tend to be slower than card-funded transfers, and bank deposits are generally faster than cash pickups.
Are OFX and PayPal safe to use?
Yes, both are regulated money transfer services. OFX is regulated by ASIC, FCA, FinCEN and has a 4.4/5 Trustpilot rating. PayPal is regulated by FinCEN, FCA, Various with a 3.5/5 Trustpilot rating. Both companies are required to safeguard customer funds under their respective regulatory frameworks.
What are the transfer limits for OFX vs PayPal?
OFX has a maximum transfer of no published upper limit (minimum $100), while PayPal allows up to $60,000 (minimum $1). Limits may vary by corridor, account verification level, and payment method. New accounts typically start with lower limits that increase over time.
Can I get cash pickup with OFX or PayPal?
OFX offers Bank Deposit. PayPal offers PayPal Account, Bank Deposit. Neither provider offers cash pickup — both deliver to bank accounts only.
Should I use OFX or PayPal to send money internationally?
For most users, OFX offers better overall value thanks to transparent pricing with the real mid-market exchange rate. However, PayPal is the better choice if you need international money transfers. The best provider for you depends on your corridor, transfer size, and whether you need features like Bank Deposit.