Payoneer is well-known in the world of online financial services and transactions. It is one of the largest platforms that provide users with online receipt and payment solutions.
The company spans all major countries and territories and provides services to over 4 million users.
Payoneer is a private company founded in 2005 by Yuval Tal. Since then, the company has worked up to one of the top-ranked online financial service companies.
The platform provides many different solutions to its users, including online money transfer digital payment services, and provides customers with working capital.
However, unlike some of its competitors, Payoneer only focuses on these solutions for businesses and professional users.
Therefore, most of its services are well-suited to a specific category of users rather than the general public. It is also one of the reasons why the platform has not attracted the same number of users as its main competitor, PayPal.
Payoneer has many different features suited to its targeted users. These include receiving funds from other Payoneer users and third parties.
Similarly, the platform integrates with several online marketplaces and platforms, allowing its users to receive mass payments from these marketplaces.
Furthermore, one of its features includes making online payments to other Payoneer users free of charge. The platform also offers users a MasterCard that they can use like any other debit card linked with their Payoneer account.
Despite all these features and advantages, there are several problems that users need to understand. While these problems do not represent all wrong with the platform, they make the top ones on the list.
Therefore, five reasons why users should consider not using Payoneer for their online financial services problems are below.
1) Limited payment options
Perhaps the biggest disadvantage and limiting factor that Payoneer has is its limited payment options. Payoneer limits payments to only other Payoneer users.
Its main competitor, PayPal, allows users to use the platform to make online payments on various websites, services, marketplaces, other platforms, etc.
Payoneer, on the other hand, does not. Payoneer does allow users to get a debit card linked to their accounts and make payments through it. However, users that don’t want to get a debit card cannot make any payments directly from their account balance.
2) High rates
Payoneer provides some services for which it does not charge its users. However, for the services that it does charge them, the prices and fees are very high. For some transactions, Payoneer takes a commission-based fee from its users.
Therefore, the higher the value of the transactions, the more users have to pay.
The percentages for commissions are low, some being 0.5% or 1%. However, as compared to its competitors, the charges are higher.
Similarly, for its MasterCard debit card, the fees are also high. Specifically, some users complain about the high $29.95 annual charges and a $12.95 renewal fee.
3) Control issues
Payoneer has completely blocked or frozen users’ accounts in some past instances without prior notice. It has created many problems for users.
During some of the reasons for these actions related to security problems, most other users didn’t know what caused the issue.
Therefore, for users looking to use the platform, the ambiguity associated with the control over their account may be worth not using.
Especially considering the platform focuses on businesses and professionals, blocking their accounts can create severe problems and damage their business.
4) Slow customer care services
Payoneer provides a 24/7 customer care service for its users through different channels, such as phone, live chat, email support, and tickets. However, some users complain about their slow response times.
The main issue with their customer care services is that they have to deal with many queries but have limited resources.
Payoneer is a private company and may not have the funds or resources to deploy a sizeable customer care services department to address user problems. However, for most users in the modern-day, fast customer service response time is a fairly basic requirement.
5) Better alternatives available
While Payoneer is one of the biggest online financial services platforms, it’s neither the best nor the only option users have available. There are numerous other options that users can use instead of Payoneer.
As mentioned above, PayPal is one of the main competitors of Payoneer. PayPal has a significantly higher user count as compared to Payoneer. Similarly, apart from PayPal, users can also use Skrill, Stripe, Google Pay, Apple Pay, Samsung Pay, WePay, Venmo, etc.
Lastly, users from different countries also have local alternatives specializing in payments in that country, which users can use as a substitute for Payoneer.
Payoneer is among the largest online financial services platforms on the internet. It provides many different features to its users. Despite these features, there are some problems with the platform.
These include limited payment options, high prices and fees, control issues, slow customer service response times, and better alternatives being available.