How to send money via PayPal's API to end user's bank account?

Question

I've watched Ryan Bate's rails casts on PayPal integration. I've even gotten it to work with a Rails 3.1 test app and PayPal's sandbox.

However, the approach highlighted in the rails cast is more for end-users paying YOU (your business). What if you need to to send money to your customers? Is there a tutorial / video / documentation on how to go about this?

Ideally, I would like to use my Paypal account to send money to a customer's bank account which in some cases may not necessarily be Paypal owned.

Answer 1

The correct approach for sending user's money is to use the PayPal payout API. In order to do this you'll need a (validated) set of emails. Then the following API docs supply some information on the calls required:

https://developer.paypal.com/docs/integration/direct/create-single-payout/ https://developer.paypal.com/docs/integration/direct/create-batch-payout/

PayPal provides a Ruby gem (https://github.com/paypal/PayPal-Ruby-SDK/) for doing this integration. The even include a few a sample snippet to show how to integrate:

https://github.com/paypal/PayPal-Ruby-SDK/tree/master/samples/payouts