Difference Between paypal parallel payments and chained payments

6
votes

I need to implement a payment gateway by which a user will pay to two sellers in one transaction. So i tried two options of paypal

  1. Paypal Parallel Payments
  2. Paypal Chained Payments

Although both are fulfilling my needs perfectly but i am curious to know that which one would be better for my need and the difference between both the methods

I would also like to have the suggestion on implementing doCapture method of paypal along with chained/parallel payment.

Thank You

2
paypal

2 Answers

12
votes

AFAIK Parallel payments are payments sent directly to the receivers and the fees are equally beared by them. While in the chained payments the receiver marked as primary, receive all the money and then, from that amount, are sent the payments to the others receivers. You can choose which will pay the fees if you want.

In chained payment, my understandment, is that the first receiver is the one liable for the entire transaction and the others receivers are not visible to the payer (while they are visible in the parallel payment)

You should get some more help starting from this topic

Hope it helps

2
votes

According to paypal docs: https://developer.paypal.com/webapps/developer/docs/classic/adaptive-payments/gs_AdaptivePayments/

A parallel payment is a payment from a sender that is split directly among 2-6 receivers. Technically, a parallel payment is a set of multiple payments made in a single Pay request. Parallel payments are useful in cases when a buyer intends to make a single payment for items from multiple sellers. Examples include the following scenarios:

  • a single payment for multiple items from different merchants, such as a combination of items in your inventory and items that partners drop ship for you.

  • purchases of items related to an event, such as a trip that requires airfare, car rental, and a hotel booking.

A chained payment is a payment from a sender that is indirectly split among multiple receivers. It is an extension of a typical payment from a sender to a receiver, in which a receiver, known as the primary receiver, passes part of the payment to other receivers, who are called secondary receivers.