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In the last 2 weeks, I’ve seen at least 15 posts between Instagram and Facebook about whether to use PayPal or Square Cash (also known as Cash App). I decided it was time to take a look at both, especially as it relates to the fees.

PayPal and Square Cash (Cash App) can be used for both personal and business transactions. If you’ll be using either of them for both business and personal use, they recommend creating separate accounts.

Now, let’s get to it!

Square Cash Fees

Sending Money:

Sending money is free unless you send using a credit card. When using a credit card, a 3% charge must be paid by the sender. However, a fee is not applied when sending a credit card payment to a merchant using Cash for Business.

Receiving Payment:

For business payments, the recipient can expect to pay a 2.75% fee for each transaction. Otherwise, receiving money should be free.


  • Standard Deposit – This option is free. You should receive your money on the next business day or the second business day (depending on the time of day you made the request for deposit).
  • Instant Deposit – If you need your money ASAP, then you will be charged 1% of the deposit total.

PayPal Fees

Sending Money:

Sending money is free unless you are sending a personal payment using a debit card or credit card. The sender must pay 2.9% plus $0.30 if they are using a debit or credit card.

Receiving Payment:

You can receive money from family and friends in the United States for free. However, if you receive money from goods and services, the fee for each transaction is 2.9% plus $0.30 of the amount you receive.


  • If you’re withdrawing money using a Visa or MasterCard debit or prepaid card, then a $0.25 fee will be applied. The money should arrive within 30 minutes.
  • If you’re withdrawing money from your PayPal balance to your local bank, there is no charge. You should receive your money in 1 business day depending upon your bank.

Do you use PayPal or Square Cash?

– Tell us about your experience and why you chose the one that you did –

For more information on Square Cash, visit their website!

For more information on PayPal, visit their website!

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