The verdict in three sentences
Wave is the cheapest for a merchant thanks to its 1 % collection rate and free withdrawal to a bank account. Orange Money and Free Money advertise 1.5 % but often add a 1 % cash-out fee that doubles the real cost. The true comparison is not about the collection rate but about the full chain: collection + withdrawal + settlement + conversion.
The real cost hides after collection
When a provider announces "1.5 %", it only refers to collection. Three other line items add up: withdrawing the funds (cash-out), the delay before the money is available (settlement), and conversion if you sell in euros. Here is the 2026 breakdown (ballpark, excluding promotions).
| Line item | Wave | Orange Money | Free Money |
|---|---|---|---|
| Merchant collection fee | 1 % | 1.5 % | 1.5 % |
| Fixed fee per transaction | 0 FCFA | 0 FCFA | 0 FCFA |
| Cash-out / withdrawal fee | Free (to bank) | ~1 % | ~1 % |
| Settlement delay | 24-48 h | 48-72 h | 48-72 h |
| Cap per transaction | 2,000,000 FCFA | 2,000,000 FCFA | 1,500,000 FCFA |
| FCFA/EUR conversion | 2.5 % | 2.5 % | 2.5 % |
The column that changes everything is cash-out: Wave makes it free to a bank account, while the other two charge roughly 1 % on each withdrawal.
Simulation on 1,000,000 FCFA collected
Let's put the same revenue against all three providers, with a full withdrawal of funds.
| Provider | Collection | Cash-out | Total cost | Effective rate |
|---|---|---|---|---|
| Wave | 10,000 FCFA | 0 FCFA | 10,000 FCFA | 1.0 % |
| Orange Money | 15,000 FCFA | 10,000 FCFA | 25,000 FCFA | 2.5 % |
| Free Money | 15,000 FCFA | 10,000 FCFA | 25,000 FCFA | 2.5 % |
The gap is 15,000 FCFA per million collected. For a store processing 5,000,000 FCFA per month, that is a 75,000 FCFA monthly difference, nearly 900,000 FCFA per year.
Mini case study
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Awa runs a cosmetics store in Dakar and collects 3,200,000 FCFA per month. With Orange Money, her real fees (1.5 % collection + 1 % cash-out) climb to 80,000 FCFA/month. Switching to Wave at 1 % with free withdrawal drops her to 32,000 FCFA/month. Savings: 48,000 FCFA per month, or 576,000 FCFA a year — the price of a brand-new e-commerce site.
FAQ
Is Wave's 1 % collection rate guaranteed for every merchant?
The standard 2026 merchant rate is 1 %, but it can be negotiated down beyond a certain volume (often from 10,000,000 FCFA/month). Below that, count on a firm 1 %.
Why does settlement take 24 to 72 hours?
The provider aggregates transactions and screens for fraud before releasing funds. Wave is usually fastest (24-48 h), Orange Money and Free Money closer to 48-72 h. Slow settlement ties up your cash flow.
Are the 2.5 % FCFA/EUR conversion fees avoidable?
Rarely with mobile money wallets. To sell internationally, a PSP like Stripe or Flutterwave with a multi-currency account is often cheaper above 2,000,000 FCFA of euro sales per month.
Is Free Money really more expensive than Wave?
Yes, as soon as you withdraw. Free Money collects at 1.5 % and charges cash-out, pushing the effective rate to around 2.5 %, versus 1 % for Wave.
Let's talk about your project. We calculate your real payment cost and wire the right Wave/Orange Money/Stripe mix into your store. WhatsApp +221 77 596 93 33.
Mohamed Bah
Fondateur, Kolonell
Passionate about digital and entrepreneurship in Africa, Mohamed has been helping Sénégalese businesses with their digital transformation since 2020. Founder of Kolonell, he believes every SME deserves a professional and accessible online présence.
