Published by Diana Kottmann
This blog post gives you an overview on how PayPal works and why accepting PayPal transactions via wallee will add significant value to your integration. Especially because we are able to flag transactions according your risk appetite, easy signup and the fact that we are also able to handle the pending states. By the way, our PayPal integration supports standard PayPal payments as well as reference transactions for recurring payments.
For those of you who do not know PayPal. As a merchant, all you need to do is to create a PayPal account and choose the right package for your needs. Then you need to integrate PayPal in your shop. PayPal is a so called staged wallet. This means, the money will be taken from the available balance depending on your wallet balance or in case no balance is left your funding source will be charged. The funding source can be a credit card, a bank account etc. PayPal payments are always accepted via a redirection to the paypal login page. We collected some screenshots below to give you a short overview.
There are good reasons beside the easy configuration (see below) why you should consider to process your PayPal transactions through wallee. We tryied to outline the two most important reasons below.
PayPal can be used in different ways. Most of the integrated payment service providers in wallee do also support PayPal. However, the main issue we experienced when working with merchants and PSPs is the handling of the pending states. Depending on the funding source and fraud decisions PayPal can not always clear a payment immediately. In this case your processor and shop needs to be able to handle this pending states - which is often forgotten or not implemented. Some processors will just decline these payments. Depending on the market you are operating in this can be quite a substantial amount of transactions that are theoretically okay but they are refused by your processor because of these limitations. wallee handles pending states for you. The payment will then receive the authorized state until we receive the configuration from PayPal. Once we know the goods can be delivered, we are going to inform your shop and update the transaction.
wallee delivers all relevant information to PayPal that you as a merchant are protected by the PayPal seller protection. On the other hand, we do also allow you to define special rules for review for transactions which are not protected by the seller protection because they were done from unverified accounts etc. In your connector setting you can define your risk appetite and if you want to flag transactions for review manually so that you will be notified automatically via Slack or email.
One of the most exciting aspects in our integration is the easy setup of the account for merchants using PayPal via wallee. wallee is one of the first processor where the integrated signup API is live. This means that the integration is easy. All you have to do is to allow us to configure your PayPal account automatically. No sharing of password or credentials is necessary.
Just select PayPal and set it up easily in your wallee account. You just need to create the processor configuration of PayPal (see the screenshots below) and connect this processor to PayPal directly. Then you need to write in the email address to sign up / log in. As a last step, you need to allow PayPal to connect with customweb and it is done. This means the integration is easy and secure as now screts need to be entered or exchanged manually. Below you find some screenshots that show the relevant steps to connect your PayPal merchant account to wallee.
If you have any remaining questions, do not hesitate to contact us.
Diana Kottmann, Digital Marketing Manager