Fintech companies: Stripe vs. Block (Square)
Quick Verdict
Stripe is better suited for businesses requiring extensive customization, global reach, and robust developer tools. Block (Square) is a strong choice for businesses prioritizing ease of use, quick setup, and integrated hardware solutions, particularly for in-person transactions.
- Both Stripe and Block (Square) are popular payment processing platforms with strengths in different areas.
- Stripe is known for its developer-friendly APIs, extensive documentation, and scalability, making it suitable for businesses of all sizes, especially those with complex integration needs.
- Block (Square) excels in ease of use and quick setup, making it a great choice for small to medium-sized businesses, particularly those needing hardware solutions for in-person payments.
- Stripe offers more comprehensive global reach and currency support, operating in over 46 countries and supporting over 135 currencies, while Block's international operations involve currency and execution risk.
- Customer support for Stripe is generally considered more robust, with 24/7 email support and phone support for high-volume accounts, whereas Block (Square) receives mixed reviews for support responsiveness and availability.
- Stripe is PCI Service Provider Level 1 certified and complies with SOC 1 and SOC 2 standards, while Block (Square) is PCI DSS compliant.
Key features – Side-by-Side
| Attribute | Stripe | Block (Square) |
|---|---|---|
| Payment processing fees | Vary depending on the payment method and transaction type. Online payments: typically 2.9% + $0.30 per transaction. In-person payments (Stripe Terminal): often around 2.7% + $0.05 per transaction. Additional fees apply for international transactions, currency conversions, ACH or wire transfers, and services like instant payouts. ACH direct debit transactions are charged at 0.8% (capped at $5), while ACH credit payments have a flat fee of $1. Wire transfers cost $8 per transaction. Fees for alternative payment methods like Klarna and Afterpay vary. | In-person: 2.6% + $0.10 per transaction; Online: 2.9% + $0.30 per transaction; Manually entered: 3.5% + $0.15 per transaction; Invoices: 3.3% + $0.30 per transaction for online card payments, 1% (minimum $1) for ACH transactions. |
| Supported payment methods | Major credit and debit cards (Visa, Mastercard, American Express, Discover), ACH bank transfers, digital wallets like Apple Pay and Google Pay. Depending on the country, it offers other payment methods like Alipay, Klarna, iDEAL, and SEPA Direct Debit. | Major credit cards (Visa, Mastercard, American Express, Discover), debit cards, contactless payments (Apple Pay, Google Pay), cash, checks, Square gift cards, Cash App Afterpay. |
| Global reach and currency support | Operates in over 46 countries and supports over 135 currencies. | Square's international operations involve currency and execution risk. |
| Integration capabilities (APIs, SDKs) | Well-documented APIs and SDKs for various programming languages, including Python, Ruby, Java, PHP, and Node.js. Client-side SDKs for integrations with Stripe Elements. | Payment APIs and SDKs, Terminal API, Reader SDK, Web Payments SDK, Checkout API, Subscriptions API, Invoices API. |
| Security and fraud prevention measures | PCI Service Provider Level 1 certified. Employs security measures like encryption, tokenization, and secure data storage. Stripe Radar uses machine learning to screen transactions for fraud. Offers chargeback protection for eligible businesses. | PCI DSS compliant, end-to-end encryption, active fraud prevention, dispute management. |
| Reporting and analytics features | Reporting and analytics tools within its dashboard. Access to pre-built reports, revenue trend tracking, and transaction data download. Stripe Sigma allows for custom report creation using SQL. | Sales summary and trends, item/category/modifier sales, discounts/comps/voids, taxes/fees/service charges, transaction history/status, gift card reports, custom reports. |
| Customer support quality and availability | 24/7 support via email. Phone support is available for accounts processing over $500,000 annually. Extensive documentation and a community forum are also available. | Mixed reviews, with praise for affordability and ease of use, but criticism for responsiveness and availability, especially for complex issues. Support options include phone, email, and chat, but availability can be restricted to business hours and may require a customer code for live agent access. Phone support is available at 1-855-700-6000. |
| Ease of use and setup | Known for its ease of use and straightforward setup. Transparent pricing and well-documented APIs make it accessible for developers. | Known for its ease of use and quick setup. |
| Scalability for growing businesses | Designed to be scalable for businesses of all sizes. Offers flexible integration options and supports various payment methods and currencies. | Suitable for small to medium-sized businesses, with a shift towards serving larger enterprises. |
| Compliance certifications (PCI DSS, etc.) | PCI DSS compliant and is certified annually by a PCI Qualified Security Assessor. Complies with SOC 1 and SOC 2 standards. | PCI DSS compliant. |
| Developer tools and documentation | Comprehensive documentation, SDKs, and tools for developers. API references, tutorials, code samples, and a developer dashboard. Tools like Stripe CLI and Stripe Workbench for testing and debugging. | Well-documented RESTful APIs and webhooks. Offers SDKs in various languages. |
| Hardware solutions (if applicable) | Stripe Terminal for in-person payments, including card readers and a system for in-store payments. | Offers a range of hardware, from phone-based magstripe readers to full-scale POS terminals. |
| Price | Not available | Not available |
| Ratings | Not available | overall: Mixed reviews / performance: Not available |
Overall Comparison
Stripe: Operates in over 46 countries and supports over 135 currencies. Block (Square): In-person transaction fee 2.6% + $0.10.
Pros and Cons
Stripe
Pros:
- Ease of use and straightforward setup
- Well-documented APIs
- Transparent pricing
- Scalable for businesses of all sizes
- Supports various payment methods and currencies
- Comprehensive developer resources
- Robust security measures and fraud protection
- Extensive integration capabilities
Cons:
- No major disadvantages reported.
Block (Square)
Pros:
- Ease of use
- Quick setup
- Comprehensive reporting and analytics features
- Wide range of supported payment methods
- PCI DSS compliant
- Offers various APIs and SDKs for custom integrations
Cons:
- Mixed reviews for customer support responsiveness and availability
- Transaction fees can be high depending on the payment method
- International operations involve currency and execution risk
User Experiences and Feedback
Stripe
What Users Love
- Easy to set up and start accepting payments
- Provides features for recurring billing and subscription management
Common Complaints
- No major complaints reported.
Value Perception
- No value feedback reported.
Block (Square)
What Users Love
- Affordability
- Ease of use
Common Complaints
- Slow response times from customer support
- Difficulty reaching a live person for support
Value Perception
- No value feedback reported.