“Adaptive payments handles payments between a sender of a payment and one or more receivers of the payment. You are an application owner, such as a merchant that owns a website, the owner of a widget on a social networking site, the provider of a payment application on mobile phones, and so on.” – Taken from https://developer.paypal.com/docs/classic/adaptive-payments/integration-guide/APIntro/
In simpler terms, it provides a way to do payment to one or more receivers.
Paypal Adaptive Payment allow up to 6 receivers.
Send a payment to a primary receivers. The primary receivers would then take its share (as a percentage), redistribute the rest of the payment to the next receivers and so on.
Send payments to multiple receivers. There will be option to show/hide the list of receivers at the paypal checkout page.
Send a payment to a single receiver. This option work as a regular paypal payment process.
Configure Paypal Adaptive in Store Settings
- Fill in the API Information with the credentials that is given from Paypal – API Username, API Password and API Signature.
- Follow the following instructions to get the APP ID – https://developer.paypal.com/docs/classic/lifecycle/goingLive/#register
- Paypal Adaptive Receivers – Set up the division of percentage for the receivers in this textarea.
The format is the following email@example.com | 50. firstname.lastname@example.org indicate the receiving account, notice the “|” pipe separator following by the percentage. For single payment, use email@example.com | 100.
- Payment Type – Chained or Parallel
- Require Preapproval – This has to be checked in order for pre-approval to work.
- Fee Payment – There are 4 options : Each Receiver, Sender, Primary Receivers or Secondary Only. Picking one of these option determines the account who will approve the payment.