Complete Guide to Braintree

Powerful Payment Solution for Developers

Everything you need to know about Braintree - the developer-friendly payment platform owned by PayPal that offers flexible integration options and powerful features.

Published: September 14, 2025 Author: Payment Technology Experts Reading Time: 20 minutes

What is Braintree?

Braintree is a full-stack payment platform owned by PayPal that provides tools and services for accepting online payments. Founded in 2007 in Chicago and acquired by PayPal in 2013, Braintree has established itself as a developer-first payment solution that offers extensive customization capabilities while handling the complexity of payment processing behind the scenes.

Unlike many payment processors that offer limited customization, Braintree provides developers with robust APIs, SDKs, and documentation to build completely customized payment experiences. This flexibility makes it particularly popular among technology companies, marketplaces, and businesses with unique payment workflows.

How Braintree Works

Braintree operates as a payment service provider that handles the entire payment flow from frontend checkout experience to backend processing and settlement. The platform uses a tokenization approach where sensitive payment data is exchanged for non-sensitive tokens, reducing PCI compliance scope for merchants.

Setting Up a Braintree Account

Getting started with Braintree involves:

Applying for a Braintree account through their website
Providing business information for underwriting and verification
Accessing the Braintree Control Panel to obtain API credentials
Choosing integration method (direct API, SDK, or drop-in UI)
Implementing the payment flow in sandbox mode for testing
Submitting for go-live approval once testing is complete
Going live and processing real transactions

Key Braintree Statistics

Processes billions of dollars in payment volume annually
Supports 130+ currencies
Accepts payments in 45+ countries
Offers 250+ payment method options globally
Used by major companies like Uber, Airbnb, and GitHub
Provides SDKs for 10+ programming languages and platforms

Braintree's Core Products and Features

Braintree offers a comprehensive suite of payment processing features:

Payment Processing

Accept credit cards, digital wallets, and local payment methods with a single integration.

Braintree Extend

Allow third-party developers to build applications on top of your payment platform.

Marketplace Solutions

Tools for platforms and marketplaces to facilitate payments between multiple parties.

Recurring Billing

Comprehensive subscription management with support for complex billing scenarios.

Advanced Fraud Protection

Machine learning-based fraud tools including Kount and advanced rules engine.

3D Secure

Support for 3D Secure 2.0 authentication to reduce fraud and shift liability.

Data Migration

Tools to seamlessly migrate customer payment data from other processors.

Dispute Management

Tools to manage and respond to payment disputes and chargebacks.

Payment Methods Supported by Braintree

Braintree supports an extensive range of payment methods:

Credit & Debit Cards

All major card networks including Visa, Mastercard, American Express, Discover, JCB, and UnionPay.

Digital Wallets

PayPal, Apple Pay, Google Pay, Venmo, and other popular digital wallets.

Local Payment Methods

Country-specific options like iDEAL (Netherlands), Giropay (Germany), and Bancontact (Belgium).

Bank Transfers

SEPA Direct Debit (EU), ACH (US), and other regional bank transfer methods.

Alternative Payments

Various buy-now-pay-later options, bank redirects, and other alternative payment solutions.

Braintree Fees and Pricing

Braintree uses transparent, pay-as-you-go pricing with no setup or monthly fees:

Standard Processing Fees

Transaction Type	Fee (US)	International Fee
Credit/Debit Cards	2.59% + $0.49	3.09% + $0.49 (non-US cards)
PayPal Transactions	3.49% + $0.49	3.49% + $0.49 (same rate)
Venmo Transactions	3.49% + $0.49	3.49% + $0.49 (same rate)
ACH Direct Debit	0.75% (max $5)	Not available internationally
Local Payment Methods	Varies by method	Varies by method and country

Additional Services Fees

Service	Fee
Chargebacks	$15.00 per dispute
Currency Conversion	2.5% above base exchange rate
Advanced Fraud Protection	$0.05 per transaction (Kount Custom)
Braintree Vault	$0.01 per vaulted payment method per month
Marketplace Escrow	Additional 0.25% per transaction

Pro Tip

High-volume businesses can negotiate custom pricing with Braintree. If you process more than $80,000 monthly, contact Braintree's sales team to discuss enterprise pricing with volume discounts. Also consider that using Braintree's Vault for storing customer payment methods can reduce PCI compliance scope and potentially lower your overall security costs.

Braintree Integration Options

Braintree offers multiple integration approaches for different needs:

Drop-in UI

Pre-built payment UI that handles the complete checkout experience with minimal code.

Hosted Fields

Customizable payment fields that are hosted by Braintree but styled to match your site.

Direct API Integration

Full control over the payment experience with direct API calls from your server.

Server SDKs

Server-side libraries for popular programming languages to simplify integration.

Client SDKs

Client-side libraries for web, iOS, and Android to securely collect payment information.

Example Integration Code

// Example Braintree server-side integration (Node.js)
const braintree = require('braintree');

const gateway = new braintree.BraintreeGateway({
  environment: braintree.Environment.Sandbox,
  merchantId: 'your_merchant_id',
  publicKey: 'your_public_key',
  privateKey: 'your_private_key'
});

// Generate client token
app.get('/client_token', (req, res) => {
  gateway.clientToken.generate({}, (err, response) => {
    res.send(response.clientToken);
  });
});

// Process payment
app.post('/checkout', (req, res) => {
  const nonce = req.body.payment_method_nonce;
  gateway.transaction.sale({
    amount: '10.00',
    paymentMethodNonce: nonce,
    options: {
      submitForSettlement: true
    }
  }, (err, result) => {
    if (result.success) {
      res.send('Payment successful!');
    } else {
      res.send('Payment failed: ' + result.message);
    }
  });
});

Industries Served by Braintree

Braintree is particularly well-suited for these industries:

Marketplaces and Platforms

Two-sided marketplaces that need to facilitate payments between multiple parties with escrow capabilities.

Subscription Businesses

Companies with recurring billing models that need flexible subscription management tools.

E-Commerce

Online retailers needing a customizable checkout experience with global payment methods.

Digital Goods and Services

Businesses selling digital products, SaaS, or online services with global customers.

On-Demand Services

Gig economy platforms that need to pay service providers and charge customers seamlessly.

Important Consideration

While Braintree offers powerful customization capabilities, it requires significant technical resources to implement properly. Businesses without development resources may find simpler solutions like PayPal Payments Standard or Stripe easier to implement. Additionally, Braintree's underwriting process can be more stringent than some competitors.

Braintree vs. Other Payment Processors

Braintree compares favorably to other developer-focused payment solutions:

Feature	Braintree	Stripe	Adyen
Customization	Excellent	Excellent	Good
Global Reach	45+ countries	40+ countries	50+ countries
Payment Methods	250+ options	135+ options	250+ options
Pricing Transparency	Excellent	Excellent	Custom
Marketplace Support	Excellent	Good	Excellent
PayPal Integration	Native	Separate	Separate

Security and Compliance Features

Braintree employs robust security measures to protect transactions:

PCI Compliance

Level 1 PCI DSS certified - the highest level of payment security certification

Tokenization

Sensitive data replaced with tokens to reduce PCI compliance scope

Encryption

End-to-end encryption for all sensitive data in transit and at rest

Fraud Protection

Advanced machine learning and rules-based fraud detection tools

Future of Braintree

As part of PayPal, Braintree continues to evolve with new features:

Expansion of cryptocurrency support
Enhanced mobile SDK capabilities
More local payment method integrations
Improved data and analytics tools
Better integration with other PayPal services
Advanced risk management features

Final Recommendation

Braintree is an excellent choice for businesses that need a highly customizable payment solution with robust developer tools and global capabilities. Its seamless integration with PayPal and Venmo, combined with extensive payment method support, makes it particularly valuable for marketplaces, subscription businesses, and companies with complex payment workflows. While it requires more technical expertise to implement than some alternatives, the flexibility and power it offers often justify the development investment for businesses with specific payment needs.

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