Adaptive Payments - fees

Davidd-
New Community Member

Hello forum

 

I hope somebody can help clarify things or show me where I can find the information.

 

  • I am looking to set up adaptive payments for a UK website and I want to see how the fees work.  There is information on the US fees on this page https://www.x.com/developers/paypal/products/adaptive-payments but I cannot find the corresponding UK fees.  I assume that the percentages remain the same, but if anybody can tell me what the £ sterling fees and bands are, I would really appreciate it.

Many thanks,

David

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12 REPLIES 12

PayPal_paula
Moderator
Moderator

Hi Davidd, 

 

Apologies in advance for my long response however I taught it best to provide you with all the information I had. 

 

You can choose who pays the fee for a payment, the sender or the recipient.

  • Senders can pay the fee: the sender can pay a fee for a simple payment, parallel payment or chained payment.
  • Recipients can pay the fees in a Parallel Payment: the sender can send a payment that is split directly among 2 to 6 receivers. Each recipient pays a portion of the fee based on the amount of the payment each recipient gets.
  • Each recipient can pay a fee in a Chained Payment: the sender can send a payment that is indirectly split among one or more recipients. The primary recipient, identified as the merchant, pays a fee and each of the other recipients also pay a fee based on the payment amount each receives.
  • Primary recipient can pay all the fees in a Chained Payment: the sender can send a payment that is indirectly split among one or more recipients. If the primary recipient pays all the fees in a chained payment, other recipients pay no fees. The fees paid by the primary recipient are based on the total fees assigned to all recipients.
  • Secondary recipient can pay all the fees in a Chained Payment: the sender can send a payment that is indirectly split among one or more recipients. The primary recipient doesn’t have to pay the fees with the secondary recipient paying all the fees.

Fees are determined by PayPal and are based on criteria such as the transaction volume of the recipient. Our standard fee rates at 3.4% +0.20GBP. 

 

I hope this helps

Paula 

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ZipserSir
New Community Member

Hello - do I need a Payments Pro account to use Adaptive Payments or does any PayPal account qualify?

 

Thanks, Peter

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Captain_Picard
Contributor
Contributor

Hello,  I would like some clarification regarding PayPal Adaptive Payments, specifically, which type of PayPal account any recipient must have, in the case of a chained or parallel payment.  For example:

 

Buyer sends $10

Recipient A Keeps $9

Recipient B Keeps $1

 

I understand that anyone wanting to use Adaptive Payments must have a Business or Premier account, but what about the other recipients?  If I am the network owner (Recipient B in the scenario above), and I have Adaptive Payments enabled on my website, what type of PayPal account must Recipient A have?  Do they also need a premier or business account?  Does it make a difference if we are using Chained vs. Parallel payments?  Thanks!

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PayPal_Sophie
Moderator
Moderator

Hi Captain_Picard,

 

Welcome to the Community Forum!

 

With an adaptive payment, the application owner must have a PayPal Business account. Senders and receivers can have any PayPal account type. There's a lot of information that might be helpful to you here:

 

https://developer.paypal.com/docs/classic/adaptive-payments/integration-guide/APIntro/

 

As far as I am aware, there is no difference to this for chained payments versus parallel payments.

 

Hope this helps 🙂

Sophie

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Captain_Picard
Contributor
Contributor

Thanks a lot for the response.  I just wanted to clarify something which I could not find in the info you sent.  I understand as the network owner I am considered the "API Caller", however I am not sure if I am better off with chained payments or parallel payments.  The main question I have revolves around fees and refunds.

 

For example, If the sale amount is $10 and I want to keep $1 and give the (3rd party) seller of the service $9, I understand that this can be achieved using either parallel or chained payments with the difference being who the buyer sees as the seller.  However, who is responsible for paying fees and providing refunds in either scenario?  Is there a difference between parallel vs. chained regarding refunds or fees?

 

I think I understand that the "Primary Receiver" is the person who is responsible for refunds and pay PayPal fees, so in the case of a chained payment and/or parallel payment, who is the Primary Receiver?

 

I am looking for a solution that does NOT make me liable to pay refunds, chargebacks or fees (at least not on the $9 payment that goes to the seller) nor responsible for the quality of the service delivered etc.  Also I want seller to pay PayPal fees out of the $9, so which should I choose chained or parallel or is there another option?

 

Thanks a lot for your help!

 

Edit: I found info about fees, it appears fees can be structured in almost any way, regardless if parallel or chained, but did not find any info about refunds, chargebacks, liability, etc.  Thanks again.

 

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Peyroux
Member
Member

Hi, Captain_Pickard!

 

Have you found an answer to your question, because I'm currently looking for an answer to this questions as well. More precisely what happens with chargebacks when I'm primary receiver in a chained payment.

 

Thanks!!

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chux18
Contributor
Contributor

Hi PayPal_paula!

 

Just want to clarify if this is true for all chained payments to date

Senders can pay the fee: the sender can pay a fee for a simple payment, parallel payment or chained payment.

 

Its just confusing because in the docs it says its only for simple payment or parallel payment

The sender can pay a fee for a simple payment or parallel payment. The following example shows fees being paid by the sender of a parallel payment, based on the assessment for each receiver:

 

https://developer.paypal.com/docs/classic/adaptive-payments/integration-guide/APIntro/

  

Which one is true today?

  

Best,

Chux

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StumpyHead
New Community Member

Hi

 

Just a quick question if I may.. if I was to accept payment from a customer to a few items on my site, and pay the vendors with parallel payment, instantly, could I still take a % of that, whilst having them pay the paypal fees, and by doing so, do i still pay paypal fees myself? 

 

I would just like people to be paid instantly,  and have them pay tail paypal fees for the transaction,  just like ebay does.

 

Thank you in advance

 

 

Regards 

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PayPal_david
Moderator
Moderator

Hi there ZipserSir,

 

Im not sure if you need Website Payments Pro in ordert o use Adaptive Payments.

 

If you try going to www.x.com, you will be able to review more information on Adaptive Payments and how you can integrate them on your website.

 

Please let me know how it goes.

 

David.

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