Important: Updated PayOut workflow

We’d like to draw your attention to an improved process for treating PayOuts which may well require your attention. The aim of this improvement is to more efficiently process PayOuts that are pending due to KYC checks or insufficient funds. Indeed today, even if a PayOut is rarely rejected, the solving process is entirely manual and creates delays and confusion.

Starting from 15th April 2016, your blocked PayOuts will be automatically rejected, and will have the Status “FAILED” with a specific “ResultCode” in the following cases:

• If a User needs to be KYC authenticated, you will need to go through the normal KYC process for the User (obtain the necessary KYC documents and upload them via the API – or via the Dashboard) and await validation before requesting the PayOut again. The ResultCode "02998" will be used if the bank account owner needs to be KYC verified, or "002999" if it is a debited user from the wallet that needs to be KYC verified (both these codes are new)
• If it is due to insufficient funds, you will need to make arrangements to have sufficient funds in the wallet before requesting the PayOut again Please note that once you have resolved a failed PayOut, you will have to request an entirely new PayOut. Besides, if a relevant KYC document and PayOut are made at the same time, the PayOut will not be refused unless the document is then refused. The usual ResultCode "001001" will be used in such cases

Important notes

• You must make the appropriate changes before 15th April 2016 , but we can update your account before then if you wish
• This new process will be set-up by default for all new clients from 15th January 2016 onwards. This means that if you have already created your sandbox ClientId but not your production ClientId, you should take this new behaviour into account before going live.
• You are strongly advised to make use of the hook notifications we currently offer, particularly PAYOUT_NORMAL_FAILED so that you can be alerted in the cases where the PayOut failed. You may also want to check for any failed/pending PayOuts on your side when the KYC_SUCCEEDED Hook is triggered. Click here for more info.

Please review any potential impact with your developers to see if a modification is required for your application to function correctly – it is possible that you already have a system in place to manage failed PayOuts and therefore no further action is required on your behalf. However, if your application cannot currently deal with these cases, after 15th April 2016 it is possible some of your PayOuts are refused and therefore go unnoticed to you, meaning the funds will remain in the User’s Wallet rather than being sent to their bank account as you had requested.

Feel free to get in touch with us if you have any further questions – we recommend discussing this information with your developer(s) first though, as they best know your application’s processes and requirements.