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Integration · Payments
PayPal ERP integration for clean payment reconciliation
PayPal balances accumulate payments, refunds, fees and currency conversions, and transfers to the bank rarely match individual orders. Without integration, finance reconciles from downloaded statements.
Overview
What this integration is for
We integrate PayPal using its REST APIs, webhooks and settlement reports to post every movement correctly.
01Data
What data syncs, and in which direction
| Entity | Direction | Notes |
|---|---|---|
| Payments | App → ERP | Captured payments matched to orders or invoices. |
| Refunds | ⇄ Both | Refunds mirrored between PayPal and ERP credit notes. |
| Fees | App → ERP | Transaction fees posted to expenses. |
| Currency conversions | App → ERP | Conversions recorded with exchange differences. |
| Transfers to bank | App → ERP | Withdrawals matched to bank deposits. |
02Use cases
Common use cases
01
eCommerce payments
PayPal orders reconciled with ERP sales.
02
Multi-currency balances
Foreign currency balances accounted for correctly.
03
Dispute tracking
Disputes visible to finance and service.
03 — Architecture
API architecture
Webhooks report payment and refund events in near real-time. Transaction search and settlement reports provide the complete record for reconciliation, including fees and conversions.
A PayPal clearing account per currency in the ERP holds balances until transfers to the bank are recorded.
04Reliability
Authentication, errors and retries
01
Authentication
OAuth 2.0 client credentials for a REST app scoped to the account, stored securely. Webhook events are verified via PayPal's verification mechanism.
02
Error handling
Events processed idempotently by transaction ID; unmatched payments queued for finance review.
03
Retry strategy
API calls retry with backoff. Daily reconciliation compares PayPal transaction totals against ERP postings.
05 — Data mapping
Field mapping essentials
| PayPal | ERP |
|---|---|
| Transaction ID | Payment reference |
| invoice_id / custom_id | ERP order or invoice |
| Fee amount | Fees expense |
| Currency | Clearing account per currency |
| Withdrawal | Bank transfer |
06 — Automation
Automation opportunities
- Mark orders paid when PayPal payment completes
- Post daily fee summaries
- Alert on disputes and claims
- Match bank transfers automatically
07 — Security
Security considerations
Credentials stored in a secrets manager, webhooks verified, and buyer data limited to what operations require.
Related
Where this integration fits
Services
Other integrations
Often connected together
StripeStripe payments, subscriptions, refunds, fees and payouts reconciled in your ERP.ShopifyOrders, customers, products, stock and fulfilment synchronised between Shopify and your ERP.WooCommerceWooCommerce orders, products, stock and customers connected to your ERP via REST and webhooks.XeroXero integration for invoices, bills, contacts and payments, or migration to ERP accounting.
Insights
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FAQ
Frequently asked questions
Can we reconcile multi-currency PayPal balances?
Yes, with clearing accounts per currency and conversion entries.
Do you support PayPal Checkout on our store?
The store handles checkout; the integration handles ERP reconciliation.
How are disputes recorded?
Disputes flag the related order and customer and can trigger accounting entries if funds are held.
Next step
Connecting PayPal to your ERP?
Tell us your volumes, channels and data rules. We will outline the architecture and the risks before anything is built.