PayPal Payouts with an API Application
Note: This article relates to the PayPal Payouts pro add-on.
Creating Your API Application
To send affiliate payouts using PayPal's API, you will need to first create an "API Application". This is simply a set of credentials you provide to AffiliateWP in order to allow AffiliateWP to send payment details to PayPal on your behalf.
API Applications are created from the My Apps & Credentials page of the PayPal Developer portal. Don't worry, you do not need to be a developer to create the application.
Log in with your normal PayPal account credentials.
Note: Sandbox apps are for test transactions (do not transfer actual funds), while Live payouts are for processing actual payments.
Click on the Live toggle and then click Create App under REST API apps.
On the next screen, enter "AffiliateWP - PP Payouts" as the App Name.
Once the application is created, click on the application name to view the details page of the application.
Next, from your WordPress Dashboard, navigate to the Affiliates → Settings → PayPal Payouts tab. Enter the Client ID and Secret as shown in the application details page.
Finally, to enable Payouts permission, first go to your PayPal My Account page. Then, scroll down and click Enable in the Payouts row, Live column. Fill out the form that appears and click Submit.
Once you receive approval from PayPal for Payouts, you'll be able to process payouts to your affiliates.
If you'd like to set up test transactions, you can click the Sandbox toggle and use the Default Application, unless you'd like to create a specific Sandbox account for this application. Click on the app name to open the application details page.
In Affiliates → Settings → PayPal Payouts, enable Test Mode, which will cause AffiliateWP to use your Sandbox credentials so you can test payout processing without transferring actual funds:
Then, enter your Sandbox app credentials in the Test Client ID and Test Secret fields. You are now ready to test PayPal Payouts.
PayPal Payouts requires API access and the payouts feature to be enabled in your PayPal account. Available for all business accounts. You can request access to the payouts feature at this link.
If you receive a "denied" receipt from PayPal after processing a payout, the affiliate's account may be suspended, cannot receive your site's currency, or cannot receive payments from your country.
Be sure to have enough funds in your PayPal balance prior to paying out your affiliates.