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Expanding PayPal MCP Server Capabilities: Search, Add to Cart, and Checkout for Gift Cards

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Farshad Tavakoli

Jul 02, 2025

4 min read

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We’re excited to announce a new release that expands the capabilities of PayPal’s remote MCP server*. This update introduces a powerful set of tools that help developers integrate product search and purchase functionality directly into their applications. Starting with gift cards, this feature will expand to other products soon.

Gift card search

The search_product tool lets applications find gift card products in PayPal’s catalog, enabling users to search for available gift cards based on specific criteria, such as brand. It returns detailed information about each product, including pricing, availability, and purchase options, making it simple for users to browse and compare options. For example, users can use prompts like “Find available gift cards in the catalog” or “Show me gift cards under $50” to retrieve relevant results. This functionality streamlines product discovery and enhances the shopping experience within your application.

Shopping cart initialization 

The create_cart tool enables applications to initiate a shopping cart session with selected gift card products. When a user selects one item, this tool handles the setup of the cart, including item configuration and any necessary shipping preferences. It prepares the cart for a smooth transition to the checkout phase, allowing users to easily manage their selections. For instance, a user can say, “Add a $50 gift card to my cart,” and the tool automatically creates and populates the cart. This functionality simplifies cart management and helps create a streamlined purchasing flow within your application.

PayPal payment processing 

The checkout_cart tool finalizes the shopping experience by processing the purchase of items in the cart using PayPal as the payment method, letting developers offer a smooth, end-to-end purchasing experience directly within their apps. When a cart contains gift card products, this tool handles the entire checkout process—including payment authorization, transaction validation, and confirmation of the purchase. It ensures a secure and efficient transaction, fully integrated with PayPal’s payment infrastructure. For example, a user prompts the application with “Complete checkout for my current cart using PayPal,” and the tool takes care of the rest.

Enabling the tools in your MCP client 

To access these tools in your MCP client, configure your client to include an additional argument. For example, when using the Claude client, add a header parameter to enable the tool:  

  "mcpServers": { 
    "paypal-commerce-ai": { 
      "command": "npx", 
      "args": [ 
        "mcp-remote", 
        "https://mcp.paypal.com/sse", 
        //Pass additional header parameter to see the commerce tools.  
        "--header", 
        "x-feature-flags: commerce:true" 
      ] 
    } 
  } 

 

Automating gift purchases: A smart checkout experience

In a video demonstration, we showcase a streamlined checkout experience using the PayPal MCP server Postman collection. Leveraging Postman's built-in OAuth support, authentication with the PayPal MCP server becomes simple and efficient. The example begins by reading teammate names from a Notion database, then it searches for available gift cards, adds them to the cart, and completes payment. The AI agent, Claude in this case, orchestrates the entire gift card purchase process: checking availability, verifying names and emails, and finalizing purchases using the recipients' credentials. The result is a streamlined, intelligent commerce experience that reduces friction and enhances customer satisfaction. Watch the demo video to see it in action!

Start integrating today  

The PayPal remote MCP tools represent a leap forward in how applications can interact with commerce workflows. With easy access to product search, cart management, and checkout capabilities, developers can now create fluid, end-to-end shopping experiences—all powered by the reliability and availability of PayPal.  

For more information visit PayPal.ai.   

*Disclaimer: PayPal’s MCP server and agent toolkit provide access to AI-generated content that may be inaccurate or incomplete. Users are responsible for independently verifying any information before relying on it. PayPal makes no guarantees regarding output accuracy and is not liable for any decisions, actions, or consequences resulting from its use. 



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