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IPN to verify third party purchases and refunds in a shopping cart


IPN to verify third party purchases and refunds in a shopping cart

We are developing a Website that is an auction site.


We as application owners do not sell goods ourselves through the site.


Our site will allow sellers to create individual auction listings and buyers can bid on the listing and when they win the item the buyer then pays the seller for the item through our shopping cart and the buyer pays using their own paypal to pay into the sellers paypal.

Every month our site will calculate the total amount of the sellers sales and charge them commision for those sales which we will collect once every month from their paypal into our own paypal.


These are my questions


I need to know as application owners can we confirm using IPN for our own information purposes if a buyer has made a payment to a seller for an auction purchase.



can we confirm for our own information purposes if a seller makes refund to a buyer for payment they received for an auction purchase or if paypal makes a refund to a buyer on the sellers behalf for an auction purchase.


The reason we require the information for payments and refunds is to support a customer service policy whereby if a seller has made a refund to a buyer or if paypal makes a refund to a buyer on a sellers behalf then we will give the seller a credit for fees or refund their commision if we have already charged them for the commision payment.


So we would like to be able to establish if the seller to buyer refund has been made before we issue refunds on commisions to avoid issuing refunds that are invalid


I understand that because payment from buyer to seller for auction purchases is not associated with our own paypal account then we will in effect be a third party but as the payments are made through our website shopping cart would we be able to verify the payments made from buyer to seller and refunds from seller to buyer or if paypal make the refund to buyers on the sellers behalf.


Do we need to use a specific type of emeddeded paypal payment on our website that buyers can use so we can use the IPN for the information we require. Can anyone advise please