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I have a website where i allow users to transfer money between their (sender) paypal account X to primary receiver paypal account Y and i get a commission out of these transactions and i want them into paypal account Z. I want to be able to collect the commission automatically once the money is received on paypal account Y (primary receiver). just to be clear: Money from sender account X go to primary receiver paypal account Y and from there paypal automatically transfer me the commission to me (website owner) paypal account Z. Is there a way that paypal can allow me to do it automatically? can i use Chained Payments for this scenario? is it legal?

Thanks, Ronen.

  • can you please tell me how you have implement this in your website. and also please tell me in which platform your application is develop, I want same functionality implemented in my website. – Adarsh Bhatt Jan 12 '19 at 12:18

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It is legal and that is exactly what chained payments are for. One payer, two recipients.

Machavity
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  • Thanks a lot! following question: Can i declare all of the money transfers in the original request i make from the website? i mean, declare the primary PayPal account and the receiver PayPal account in the Pay transaction i activate in the PayPal server. – user3006052 Nov 19 '13 at 06:06
  • I've not used chained payments myself but, given that the end user only sees the third party recipient, you probably need authorization from that user to run calls on their behalf (third party calls) – Machavity Nov 19 '13 at 13:28
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I think what you are looking for is Adaptive Payments using PayPal. Adaptive Payments provides several kinds of payment: simple, parallel, and chained payments.

  • Simple payments enable a sender to send a single payment to a single receiver.
  • Parallel payments enable a sender to send a single payment to multiple receivers.
  • Chained payments enable a sender to send a single payment to a primary receiver. The primary receiver keeps part of the payment and pays secondary receivers the remainder.

source: Paypal Adaptive Payments

iphondroid
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