Pick / avoid summary (fast)
Skim these triggers to pick a default, then validate with the quick checks and constraints below.
- ✓ Slightly lower standard rate (2.89% + 29¢) compared to Stripe (2.9% + 30¢)
- ✓ Native PayPal and Venmo integration without separate contracts
- ✓ Discounted charity pricing (2.19% + 29¢) for verified 501(c)(3) organizations
- ✓ Free tier with basic payment processing and POS - no monthly fees
- ✓ Competitive in-person rate (~2.6% + 10¢) for card-present transactions
- ✓ All-in-one solution combining payments, POS, inventory, and employee management
- × International cards add 1% surcharge (same pain as Stripe)
- × Non-USD currency adds another 1% on top
- × Manually keyed transactions expensive at 3.5% + 15¢ (vs 2.6% + 10¢ in-person)
- × Online/card-not-present at ~2.9% + 30¢ is standard market rate, not competitive
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The trade-offDeveloper payment platform vs packaged retail/omnichannel stack
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Validate byyour channel mix (POS vs online), required payment methods, and whether you need payment optimization
At-a-glance comparison
Braintree
Braintree is PayPal's end-to-end payment platform designed for growth, offering card processing, PayPal/Venmo integration, ACH payments, and fraud tools. Uniquely positioned to leverage PayPal's ecosystem while offering standalone payment processing.
- ✓ Slightly lower standard rate (2.89% + 29¢) compared to Stripe (2.9% + 30¢)
- ✓ Native PayPal and Venmo integration without separate contracts
- ✓ Discounted charity pricing (2.19% + 29¢) for verified 501(c)(3) organizations
Square
Square is an all-in-one commerce platform for small to medium businesses, combining payment processing with point-of-sale hardware, business management tools, and financial services. Known for simplicity and accessibility for non-technical merchants.
- ✓ Free tier with basic payment processing and POS - no monthly fees
- ✓ Competitive in-person rate (~2.6% + 10¢) for card-present transactions
- ✓ All-in-one solution combining payments, POS, inventory, and employee management
What breaks first (decision checks)
These checks reflect the common constraints that decide between Braintree and Square in this category.
If you only read one section, read this — these are the checks that force redesigns or budget surprises.
- Real trade-off: API-first payments with PayPal/Venmo adjacency vs a full POS-led commerce stack with hardware and back-office workflows
- Developer Experience vs Simplicity: Assess internal technical capabilities and API integration requirements
- Transparent Pricing vs Cost Variability: Analyze transaction mix (card types, international %, currency conversions)
Implementation gotchas
These are the practical downsides teams tend to discover during setup, rollout, or scaling.
Where Braintree surprises teams
- International cards add 1% surcharge (same pain as Stripe)
- Non-USD currency adds another 1% on top
- Chargebacks cost $15 each with no refund on transaction fees
Where Square surprises teams
- Manually keyed transactions expensive at 3.5% + 15¢ (vs 2.6% + 10¢ in-person)
- Online/card-not-present at ~2.9% + 30¢ is standard market rate, not competitive
- Advanced features locked behind monthly subscription fees
Pros and cons
Braintree
Pros
- + Slightly lower standard rate (2.89% + 29¢) compared to Stripe (2.9% + 30¢)
- + Native PayPal and Venmo integration without separate contracts
- + Discounted charity pricing (2.19% + 29¢) for verified 501(c)(3) organizations
- + ACH Direct Debit capped at $5 per transaction (better for large payments)
- + American Express pass-through option ($0.15 flat) for existing AmEx merchants
Cons
- − International cards add 1% surcharge (same pain as Stripe)
- − Non-USD currency adds another 1% on top
- − Chargebacks cost $15 each with no refund on transaction fees
- − ACH returns and disputes add $5 per occurrence
- − Chargeback Protection Tools add 0.4%-0.6% per transaction
- − Venmo limited to US market only
- − Charity pricing requires verification and pre-approval
- − Custom pricing only for 'established businesses' - startups pay full rate
Square
Pros
- + Free tier with basic payment processing and POS - no monthly fees
- + Competitive in-person rate (~2.6% + 10¢) for card-present transactions
- + All-in-one solution combining payments, POS, inventory, and employee management
- + Hardware and software integrated - no separate vendor relationships
- + No-code and low-code solutions for non-technical merchants
Cons
- − Manually keyed transactions expensive at 3.5% + 15¢ (vs 2.6% + 10¢ in-person)
- − Online/card-not-present at ~2.9% + 30¢ is standard market rate, not competitive
- − Advanced features locked behind monthly subscription fees
- − Additional software modules (payroll, marketing, appointments) add recurring costs
- − Hardware purchases required for in-person acceptance ($49-$299+)
- − Multi-location businesses pushed to higher-tier subscriptions
- − Custom pricing only for high-volume merchants - SMBs pay full rate
Keep exploring this category
If you’re close to a decision, the fastest next step is to read 1–2 more head-to-head briefs, then confirm pricing limits in the product detail pages.
FAQ
How do you choose between Braintree and Square?
Pick Braintree when you need an API-first gateway with PayPal/Venmo adjacency and you’re building a custom checkout or platform experience. Pick Square when you want a packaged commerce stack (payments + POS + hardware + basic operations) and speed-to-live matters more than deep payment optimization. The deciding constraint is usually whether you’re building a payments layer or buying a commerce system.
When should you pick Braintree?
Pick Braintree when: Slightly lower standard rate (2.89% + 29¢) compared to Stripe (2.9% + 30¢); Native PayPal and Venmo integration without separate contracts; Discounted charity pricing (2.19% + 29¢) for verified 501(c)(3) organizations; ACH Direct Debit capped at $5 per transaction (better for large payments).
When should you pick Square?
Pick Square when: Free tier with basic payment processing and POS - no monthly fees; Competitive in-person rate (~2.6% + 10¢) for card-present transactions; All-in-one solution combining payments, POS, inventory, and employee management; Hardware and software integrated - no separate vendor relationships.
What’s the real trade-off between Braintree and Square?
API-first payments with PayPal/Venmo adjacency vs a full POS-led commerce stack with hardware and back-office workflows
What’s the most common mistake buyers make in this comparison?
Selecting Square for complex multi-channel/payment-method requirements, or selecting Braintree when you actually need POS hardware + retail workflows
What’s the fastest elimination rule?
Pick Braintree if: You’re building custom checkout and want PayPal/Venmo built in (gateway-first)
What breaks first with Braintree?
International expansion hits dual 1% + 1% surcharge wall. Chargeback costs spiral for subscription or high-risk verticals. PayPal fee structure confusion from split governance.
What are the hidden constraints of Braintree?
PayPal transaction fees governed by SEPARATE PayPal merchant agreement. AmEx pass-through requires your own American Express merchant account. Transaction fees NOT refunded for refunded transactions.
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Sources & verification
We prefer to link primary references (official pricing, documentation, and public product pages). If links are missing, treat this as a seeded brief until verification is completed.