Sending payments through PayPal API without paying the fees - paypal

We would like to send PayPal payments automatically via API with the same functionality like the regular send-money feature on the web-version, meaning:
a) The recipient pays the fee
b) We can send the payment with the credit card attached
I'm aware of the MassPay API, but as far as I know it requires the sender to pay the fee and can only be paid for by PayPal balance.
Is there an API that works like described?

No.
Payouts, the current version of the old MassPay API, requires a PayPal balance or bank funding source (in the countries where it's available). It cannot be used to send money from a card.
Whether the sender or the receiver pays the transfer fee is semantics: if the receiver were to be paying it, they are consequently simply receiving less than the gross amount that was sent to them. This semantic distinction only exists in the web version, not with the Payouts API.

Related

Can I use the PayPal API to transfer money from one PayPal account to another without paying a fee?

I'd like to find a cheaper (free) service to use to transfer money between my websites customers and Stripe's fees a very high.
I can't seem to get any clear answer from the PayPal website for developers or by talking with a customer service reps on the phone.
In my website, I want to transfer money (via API) from my customers account (PayPal) to my business account (PayPal), then at a later time, transfer money from my business account to another customer account (PayPal).
Can this be done NO transaction fee?
If no, what are the transaction fees for this, I'm a little confused by the fee site.
Is this is the correct page? - https://developer.paypal.com/docs/payouts/reference/fees/
Or do I look under the merchant fees and which link? - https://www.paypal.com/us/webapps/mpp/merchant-fees#paypal-payouts
I also see adaptive payments, but it says on the site that it isn't available for "new integrations". Does this mean I can start using it when I go live with my site?
https://developer.paypal.com/docs/archive/adaptive-payments/
API...without paying a fee
No, the usual processing fees apply to all API transactions.
The only PayPal transfers without a fee are in certain countries that have payments to "friends & family", which are not for business or commercial purposes and can be initiated only in paypal.com and sourced from the PayPal balance or local bank (sending money from a card always has a fee).
Regarding fee types, merchant fees apply to receiving payments to your account and payouts fees apply to sending money from your account (if you have the payouts service)

What is the best way to pay out users so that the receiver pays fees?

I am setting up a monthly automated backend process that will transfer money from a central account to thousands of PayPal accounts. The transactions will vary anywhere from $50 to $10,000. The key requirements here are:
Receiver must pay the fees
No user input required. By this, I mean this process should run without any kind of action on my end (I've noticed that some PayPal integrations require a redirect, approval on the sender side, etc.).
Here are the possible ways I see that you can send money using PayPal:
Mass Pay
Uses classic SOAP APIs. Sender must pay fee, so not an option
Payouts API
Uses new REST APIs. Sender must pay fee, so not an option
AdaptivePayments
Uses classic SOAP API. However, you can force the receiver to pay the fees.
Rest API Payments
See https://developer.paypal.com/docs/rest/api/payments/#payment
Uses REST API, which is good.
Can you force the receiver to pay the fee?
Can this be used without a web browser?
So, it seems like AdaptivePayments or REST API Payments are the only options that could work (there could be more, though). I'd obviously prefer to use the more modern REST API, especially for a new project, but if the functionality that I want to achieve is not possible, then I supposed I will have to use the classic Adaptive Payments option. Any insight would be greatly appreciated.
The only option that allows you to force the receiver to pay the fee is Adaptive Chained Payments, but that would not work for your situation. The type of payment you would be sending would be an Implicit Simple payment, which only allows the sender to pay the fee.
So, your best option would be to use the MassPay API, primarily because of the fee. For US payments, the fee is 2%, capped at $1 which is a significant saving over sending a regular payment at 2.9% + $0.30.
If the fee is that important, you could program it to reduce the amount you send by 2% or $1, whichever is higher.

Options for PayPal Payouts with Bank

I'm looking for a way to pay users to their PayPal account - ideally without manual intervention. I've looked at the MassPay & Payout APIs, but it seems that I need to hold the balance to be paid out in my PayPal account and there is no way to add funds to the PayPal account via the API.
I've also looked at the AdaptivePay API with the implicit payment option. However it fails to mention
1.) If I need to have the funds in the PayPal or if it will do an transfer from my primary banking source.
2.) What the fees for the transaction are? AFAIK it seems like payments can be made for free which would be strange considering the Payout API requires a fee.
Adaptive API with implicit payment will transfer the fund from the primary bank if balance cannot cover it, and implicit payment transaction fees is the same as normal transactions. MassPay & Payout APIs are usually used to send money to like hundreds of users while implicit payment can send money to 9 users at one time.

PayPal Send Money API

Is it possible to send money or issue a non-referenced refund from the regular PayPal APIs?
I don't think we're enabled for MassPay, and our pre-existing system doesn't work with Adaptive Payments.
You could use the Pay API (which is part of Adaptive Payments and would require an App ID).
You could also use the DoNonReferencedCredit API if you're pushing funds back to a credit card that doesn't have an original transaction associated with it.

Withdraw money feature for paypal

Basically I have a script where user should have Withdraw button on his account so he can automatically withdraw money from my paypal balance
What API should I use in this case and is this available at all for paypal?
You may be interested in the Mass Pay API. You can send them in batches, say daily, weekly, or monthly.
See here for an explination directly from paypal:
https://cms.paypal.com/us/cgi-bin/?cmd=_render-content&content_ID=developer/howto_api_masspay
The MassPay API allows you to send payments to up to 250 recipients with a single API call. The payment amount for each recipient is specified individually, but all payments in a MassPay API request must have the same currency type. You can choose to specify recipients by email address or PayPal customer account number.
And here for PHP examples (if you're using PHP):
https://www.x.com/paypal-apis-masspay-php-5.3/soap
There are additional examples and a large amount of documentation on the first PayPal.com link, regardless of programming language used.
Please keep in mind Mass Pay has it's own fee schedule.
There is also Adaptive payments, which may be more up your alley, as it's designed for more fine-grained control and has a larger API available. Information can be obtained here:
https://www.x.com/content/introducing-adaptive-payments
However, the Adaptive payments will require approval of each Payment by you (the sender) via the PayPal website. If you want 100% automation, the Mass Pay API is the way to go.
Please realize a mistake here could cost you infinate amounts of money, so tread extremely carefully.
If you're attempting to withdraw money from your PayPal account and move it to your bank account that's not something you can do via the API, unfortunately. You have to do that manually through PayPal, or you can call them and request that they enable AutoSweep for you, which will automatically move the balance in PayPal to your bank at the end of each day.
Ya there is preapproval api in AdaptivePayment. You can approve the api caller for the amount he want to withdraw from your account on your behalf.
You can refer api here : https://www.x.com/developers/paypal/documentation-tools/api/preapproval-api-operation