Mangopay e-wallet system

Mangopay’s payments solution relies on electronic wallets. These wallets hold the funds processed by Mangopay on behalf of platforms and their users.

Mangopay is the only partner a platform needs to handle all payments from beginning to end. We specialize in third-party payments, which means that platforms using our services are intermediaries between two groups: on the one hand, the users making payments and, on the other hand, the users receiving them.

Value chain

Your end users are using your platform to make payments. Mangopay handles these payments via our API, which is integrated into your app or website. Our API acts as a payment gateway and we deal with everything needed to make payments happen: card issuers and networks, banks, payment methods, technical protocols, and so on.

In a typical integration, Mangopay takes the role of a payment processor and acquirer (so called due to the acquisition of the funds from the end user). As a licensed electronic money institution (EMI), Mangopay places the acquired funds on an e-wallet for the paying user.

Once the funds arrive on an e-wallet, they are inside what we call the Mangopay environment. This digital space is where your platform can unlock the power of our e-wallet system.

The Mangopay environment

Payments handled by Mangopay can be understood along three basic stages:

Pay-in	Funds arrive in the Mangopay environment in what we call a pay-in. The funds might be acquired by us or another third-party PSP (in some models). There are different pay-ins for different payment methods. Mangopay offers a wide range of international and local payment methods so your users can enjoy the experience they expect.
Wallet	The pay-in arrives on a user’s wallet. Funds can then be moved around according to your business model, flexibly from wallet to wallet (we call these transfers). You can take fees, split funds between users, convert currencies, and integrate other service partners. Platforms can create an unlimited number of wallets to hold funds as long as needed. Mangopay’s virtual IBANs and currency conversion services supercharge wallet capabilities.
Payout	To get the money from their Mangopay wallet to their bank account, the user needs to make a payout. Strict AML rules govern this stage and so the user’s identity must be verified. Mangopay provides worldwide payout coverage and real-time payment schemes, plus fast verification checks for individuals and businesses.

Funds arrive in the Mangopay environment in what we call a pay-in. The funds might be acquired by us or another third-party PSP (in some models). There are different pay-ins for different payment methods.

Mangopay offers a wide range of international and local payment methods so your users can enjoy the experience they expect.

The pay-in arrives on a user’s wallet. Funds can then be moved around according to your business model, flexibly from wallet to wallet (we call these transfers). You can take fees, split funds between users, convert currencies, and integrate other service partners.

Platforms can create an unlimited number of wallets to hold funds as long as needed. Mangopay’s virtual IBANs and currency conversion services supercharge wallet capabilities.

To get the money from their Mangopay wallet to their bank account, the user needs to make a payout. Strict AML rules govern this stage and so the user’s identity must be verified.

Mangopay provides worldwide payout coverage and real-time payment schemes, plus fast verification checks for individuals and businesses.

Understanding wallets

Mangopay e-wallets hold funds inside the Mangopay environment. Each wallet (as they are called in the API) is attached to one user and holds funds in one currency. Currencies can be converted between wallets using Mangopay’s FX offerings.

All users need to have at least one wallet, whether they’re only making pay-ins to it, also receiving funds from other wallets, or looking to make a payout to their bank account. Mangopay’s system of user types and categories simplifies registration and verification.

When a platform creates an API account, there are two specific types of wallets that are created automatically by Mangopay:

Fees Wallet	Repudiation Wallet
The platform’s Fees Wallet is where any fees taken are sent. You can collect fees on any pay-in, transfer, or payout. Your fees are automatically wired to your bank account every month. Learn more →	When an end user contests a pay-in with their bank (known as a chargeback), the Repudiation Wallet comes into play. The funds are automatically deducted from this wallet and sent back to the user. A dispute is created which can be contested by the platform in some cases. Learn more →

The platform’s Fees Wallet is where any fees taken are sent. You can collect fees on any pay-in, transfer, or payout.

Your fees are automatically wired to your bank account every month.

Learn more →

When an end user contests a pay-in with their bank (known as a chargeback), the Repudiation Wallet comes into play.

The funds are automatically deducted from this wallet and sent back to the user. A dispute is created which can be contested by the platform in some cases.

Learn more →