Payouts Overview
Last updated: Aug 15th, 6:05am
Use PayPal Payouts to send money to multiple people at the same time.
You can choose to send payouts in the following ways:
- Send a payout and let your recipient select where their payment is sent: PayPal, Venmo, a bank account, or debit card
- Send payouts to a specific digital wallet, either PayPal or Venmo
To send a payout, you need:
- A PayPal business account
- Each recipient's email address, a domestic mobile number, or payer ID (an encrypted PayPal account number)
- Payment amount (per recipient)
- Currency code (one currency per payout)
- Note to recipient (required for payouts to Venmo accounts)
You need a PayPal business account set up according to the prerequisites to use payouts.
How it works
When you initiate a payouts request, the Payouts API:
- Validates your request and processes the payouts.
- Sends you a status report.
- Notifies recipients that they have a payment.
Depending on the payout option you choose:
- The recipient selects where to send their funds — PayPal, Venmo, bank account or debit card
- The recipient logs in to their PayPal or Venmo account, or creates a PayPal or Venmo account, to claim their money
Recipient notifications
Recipient notifications differ depending on how you choose send a payment.
Recipient selects payment method
The recipient gets an email that prompts them to claim their payment. The recipient is presented with the option to send their funds to their PayPal, Venmo, bank account, or debit card. The recipient then needs to provide account details for their selection.
Payment to PayPal or Venmo
The recipient gets an email or mobile notification about their payment. Depending on whether they have an account, they're prompted to:
- Log in if they have an account
- Sign up if they don't have an account
Note: Venmo notifications need a US mobile number and are mobile only.
This flow shows the experience for PayPal and Venmo recipients:
Payout methods
PayPal offers three ways to send payouts to ensure you get the right solution for your business. With each method, you can send to PayPal or Venmo, or let the recipient choose to receive money in their PayPal, Venmo, bank account, or debit card.
SFTP server
If you are sending large payments, PayPal recommends using the secure FTP server to send the payout details. PayPal processes the payouts in batches.
Payouts API
Send payouts programmatically from within your app.
Payouts Web
Upload a CSV file with your payment details to Payouts Web. No integration is needed.
Use cases
Business | Use Case |
---|---|
Advertising and affiliates | Pay global affiliates without manually verifying their identities. Maintain customer analytics |
Digital gaming | Pay in-game winnings |
Insurance | Process and send payouts for claims |
Loyalty programs | Send earnings to customers through their preferred digital wallet |
Online travel | Pay event organizers, ticketing platforms, and create travel marketplaces |
Retail and marketplaces | Manage payments from shoppers and pay sellers on their platform |
Next
Complete the prerequisites.