Stripe or PayPal: Drawbacks of Using Them in the Region and What to Consider Before Choosing a Payment Gateway

The payment gateway is the final and most sensitive stage of the sales process. It’s where the sale is completed, customer trust becomes tangible, and cash flow is secured. In Central America and the Caribbean, choosing the right gateway is a strategic decision, not just a technical one.

Although platforms such as Stripe and PayPal enjoy widespread global recognition, their performance in the region has significant limitations. By contrast, other solutions are specifically designed to meet the realities of commerce in Central America and the Caribbean. 

<< Fast, secure, and hassle-free online payments for your business >>

Among them, Tilopay stands out for its regional focus, adaptability, and commitment to transaction efficiency.

General comparison

Feature	Stripe	PayPal	Tilopay
Availability in Central America and the Caribbean	Limited (only some countries)	Widely available	Designed for the region
Time until funds are available	3–7 days	5–10 days	Daily, weekly, biweekly, or monthly—you choose
Support in Spanish	Limited	Partial	100% local and in Spanish
Integration with local payment methods	Low	Low	High (Yappy, Tafi, Clave, etc.)
Fees	Starting at 2.9% + additional fees	Starting at 3.49% + additional fees	Rates tailored to each country, with no hidden fees.
Tax compliance	Not integrated	Not integrated	Adapted to local regulations
Bank transfer	Requires an account in the US or another country	Requires an intermediary bank	Direct deposit into a local bank

Cost comparison by country

Country	Method	Tilopay fee	Flat fee	Supported methods
Honduras, Nicaragua, El SalvadorCaribbean countries	Cards	Set by the bank + 1%	Varies by bank	BAC
Panama	Cards	3.75%	$0.50	Visa, Mastercard, AMEX
	Yappy	1%	—	Yappy
	BAC Tasa Cero	From 3.75% to 7%	$0.50	BAC Credomatic
	Tafi	2.50%	$0.50	Tafi
Guatemala	Cards	4.50%	Q3	Visa, Mastercard
	Neonet installments	7.5% to 10%	Q3	Neonet
Costa Rica	Cards	4.25%	$0.35	Visa, Mastercard
	SINPE Móvil	2%	$0.35	SINPE
	BAC Tasa Cero	8% to 17%	$0.35	BAC Credomatic
	Minicuotas BAC	4.25%	$0.35	BAC Credomatic
	Credix	6% to 14%	$0.35	Credix

Operational flexibility and customer experience

Stripe supports customization but requires technical development. PayPal requires users to leave the site to complete their payment. Tilopay offers an integrated checkout that adapts to any environment (website, WhatsApp, payment link), with no redirects or advanced programming required.

Aspect	Stripe	PayPal	Tilopay
Custom checkout	Requires programming	Not available	Customizable look and feel with no code
Social media sales	Not integrated	Limited	Payment links through WhatsApp/IG and QR codes
Integration with POS or other systems	Limited to third parties	Not available	Integrated with local systems

Support and guidance

Both global platforms offer technical support through forms or forums. In urgent situations, merchants have no immediate assistance. Tilopay provides support from real people during local business hours, backed by an understanding of each country’s specific context.

Security, compliance, and regulations

All three solutions comply with PCI DSS standards. But only one is designed to meet the region’s tax regulations, including accounting report generation, integration with local invoicing systems, tax validation, and more.

Why is Tilopay the right solution?

Tilopay isn’t a generic gateway with a partial regional adaptation. It’s an ecosystem of payment solutions built for Central America and the Caribbean. It includes:

• Payment solutions for Services, Retail, and Hospitality.






• Direct integrations with Shopify, Vtex, WooCommerce, and the leading hospitality PMS platforms.






• Support for recurring payments, payment links, physical POS systems, tokenization, and digital catalogs.






• Booking protection, BIN-based discounts, custom payment forms, and more.

In a region where every transaction counts, Tilopay helps merchants grow with local, modern, and scalable technology.

Before deciding how to accept payments, decide how much you want to grow.