Payment Gateways Comparison: Stripe, PayPal, Redsys and MercadoPago

Introduction

Choosing the right payment gateway is one of the most important decisions for your online store. The gateway is the system that processes your customers’ payments: it determines which payment methods you accept, how much commission you pay and in which countries you can sell.

In this article you’ll see a clear comparison of the four most widely used gateways: Stripe, PayPal, Redsys and MercadoPago. At the end you’ll know which one best fits your business.

What a payment gateway is

A payment gateway is the service that connects your online store to the banking system. When a customer pays, the gateway handles:

1. Collecting the customer’s payment data securely.
2. Checking that the card or account has funds.
3. Transferring the money to your account.

[Imagen sugerida: simple diagram of how a payment gateway works]

No payment gateway works without an SSL certificate. Before configuring any gateway, make sure your site loads with https://. At miHosting all plans include free SSL.

The four most widely used gateways

1. Stripe

Stripe is a modern and very popular payment gateway, especially in Europe and the United States.

• Methods it accepts: credit and debit card, Apple Pay, Google Pay, SEPA, iDEAL and many more depending on the country.
• Ease of setup: high. The official WooCommerce plugin is one of the best.
• Commissions: around 1.5% to 2.9% + a fixed amount per transaction, depending on the country.
• Settlement: between 2 and 7 business days.
• Ideal for: stores in Europe that want to charge by card easily.

2. PayPal

PayPal is the best-known gateway in the world. Many customers prefer it because they don’t need to enter their card details in every store.

• Methods it accepts: PayPal balance, card and linked bank account.
• Ease of setup: high. Excellent official plugin.
• Commissions: around 3% to 4% per transaction, depending on the country. Higher than Stripe.
• Settlement: instant in the PayPal account. Bank transfer in 1-3 days.
• Ideal for: building trust with customers who already use PayPal.

3. Redsys

Redsys is the most widely used card payment system in Spain. Spanish banks use it for their virtual POS.

• Methods it accepts: credit and debit card, bizum in some cases.
• Ease of setup: medium. Requires contracting a POS with your bank.
• Commissions: usually lower than PayPal (around 0.5% to 1.5%), but depends on your bank.
• Settlement: direct to your bank account, usually in 1-2 days.
• Ideal for: stores in Spain with medium or high volume, where the low commission compensates for the setup effort.

4. MercadoPago

MercadoPago is the most widely used gateway in Latin America.

• Methods it accepts: card, transfer, funds in MercadoPago account, installment payment.
• Ease of setup: high. Official plugin for WooCommerce.
• Commissions: vary by country and method (around 3% to 5%).
• Settlement: in the MercadoPago account, transferable to bank.
• Ideal for: stores selling in Latin America.

Quick comparison table

Gateway	Best for	Approx. commission	Difficulty	LatAm support
Stripe	Europe and global	1.5 - 2.9 %	Low	Limited
PayPal	Global trust	3 - 4 %	Low	Yes
Redsys	Spain	0.5 - 1.5 %	Medium	No
MercadoPago	Latin America	3 - 5 %	Low	Excellent

Commissions are indicative and vary by country and type of sale. Always check updated rates on each gateway’s website.

How to choose the right gateway

Question 1: Where do you sell?

• Only in Spain: Redsys or Stripe.
• In Europe: Stripe or PayPal.
• In Latin America: MercadoPago.
• Worldwide: combine Stripe + PayPal.

Question 2: How much sales volume do you expect?

If you expect high volume, commissions matter a lot. A 1% difference across thousands of sales is noticeable. In that case, Redsys in Spain or Stripe in Europe are the most profitable options.

If you expect low volume at first, setup ease weighs more than commission. PayPal or Stripe are the fastest options.

Question 3: Which method does your customer prefer?

• If your customer is Spanish, they value paying with bizum or their usual bank (Redsys).
• If your customer is international, they value PayPal for brand trust.
• If your customer is Latin American, they value MercadoPago and installment payment.

Question 4: Do you need several methods at once?

Yes. Ideally, offer at least two payment methods. For example:

• Stripe + PayPal for international customers.
• Redsys + PayPal for stores in Spain.
• MercadoPago + Stripe for stores in LatAm.

Useful tips

• Offer more than one gateway. The more methods you offer, the more customers can buy.
• Compare commissions before deciding. A 1% difference can be a lot of money at year’s end.
• Consider the customer experience. A fast, frictionless gateway sells more.
• Check country availability. Not all gateways work in all countries.
• Measure which gateway converts more. WooCommerce lets you see which payment method your customers use most.

Common problems

I don’t know which gateway to choose to start

Start with PayPal or Stripe. They’re the fastest to set up and don’t require talking to your bank. When you have volume, consider adding Redsys to reduce commissions.

A gateway isn’t available in my country

Check availability before starting. Stripe and PayPal cover many countries, but not all. MercadoPago covers most of Latin America.

Commissions seem high to me

Negotiate with your bank if you use Redsys and have volume. With Stripe or PayPal, commissions are fixed and can’t be negotiated until very high volumes.

The customer doesn’t complete the purchase at the gateway

Check that the checkout page loads fast, SSL works and the process is simple. The fewer steps, the more conversion.

Frequently asked questions

Can I use several gateways at once?

Yes. In WooCommerce you can have several gateways active simultaneously. The customer will choose their preferred one at checkout.

Do I need a bank POS to use Stripe or PayPal?

No. Stripe and PayPal act as gateways and don’t require you to contract an additional POS with your bank. You just need to create an account with them.

Which gateway is the cheapest?

It depends on the country and volume. In Spain, Redsys is usually cheapest for medium volumes. To start, Stripe usually has competitive commissions.

Can I switch gateways later?

Yes. You can change or add gateways at any time. Already processed orders aren’t affected.

Are payment gateways secure?

Yes. Official gateways comply with security regulations and encrypt data. What’s important is that your site has active SSL and you use official plugins, not unknown third-party ones.

Choose the gateway that sells most

There’s no gateway that’s better in the abstract. The choice depends on where you sell, what volume you expect and which method your customer prefers. The most important thing is to offer more than one option so the customer can choose how to pay.

If you need help configuring any payment gateway in your WooCommerce or PrestaShop store, at miHosting we have optimized plans with free SSL and support from real technicians. We can also design your complete store from €350. Open a ticket from your client panel and we’ll advise you.