If you sell products, take deposits or charge for bookings, you need a way to accept cards on your website. In Canada the three names you will hear most are Stripe, Square and PayPal. They all work, and they all take a small cut of each sale. The right choice depends on how you sell.
How online payments work, in one minute
Your customer enters their card on your checkout page. A payment processor handles the card securely, charges it, and sends the money to your bank account a few days later, minus a fee. You never store card numbers yourself, which keeps your website simpler and safer.
What they typically cost
Third-party comparisons published in 2023 to 2026 list a similar headline rate for online card payments: about 2.9% plus 30 cents per successful charge for Stripe, and a comparable figure for PayPal and Square's online processing. Extra fees usually apply for international cards, currency conversion and chargebacks (disputes). One comparison put Stripe's extra charge for currency conversion at 1% to 2%, and sources disagree on small details.
Important: rates change and differ by plan, card type and volume. Always check each provider's own pricing page for Canada before you decide. Do not rely on a blog post, including this one, for the exact figure.
Stripe, Square and PayPal at a glance
- Stripe: built for websites and custom checkouts. No monthly fee in the standard plan, supports many currencies, and works well with custom-built sites and subscriptions. It is the usual choice when a developer builds your checkout.
- Square: strongest if you also sell in person (shop, salon, market stall). One account covers the card reader, the online store and invoices. Note that Square card payments are tied to the country where you activate the account.
- PayPal: the name many customers already trust, which can lift checkout completion. It also offers invoicing without a monthly subscription. International and some other payment types carry higher fees.
How to choose
- Do you also sell in person? Square is often the simplest all-in-one.
- Do you have a custom website or need subscriptions? Stripe is usually the best fit.
- Do your customers ask for PayPal? Offer it as a second option next to cards. Many stores use two.
- Do you sell abroad? Compare currency conversion fees, not only the headline rate.
Quebec and Canada: things to remember
- Sales taxes: your checkout must charge GST and QST correctly if you are registered. Make sure your store or developer sets this up.
- French checkout: in Quebec, customers expect, and the rules generally call for, a checkout available in French. Choose a setup that supports both languages.
- Interac: many Canadians like paying by debit. Check whether your provider supports Interac, and what it costs.
- Chargebacks: keep order records and clear refund terms to handle disputes.
Common mistakes
- Choosing only on the lowest rate and ignoring conversion, dispute and payout fees.
- Skipping a test purchase before going live.
- Using a plain "Pay" button with no confirmation email or receipt.
- Forgetting taxes, shipping and refund policy on the checkout page.
Want a checkout built into your own site? See our online store demo, or contact GoshenWebX and we will set up secure payments for your business.
Sources
- Wise, comparing Stripe, Square and PayPal in Canada (December 2023)
- dotCanada, ecommerce payments in Canada (July 2024)
- EcomCalcTools, Stripe Canada fees (April 2026)