Introduction

A payout is the process of withdrawing funds from the Mangopay environment to an external bank account opened in the name of the Mangopay Account holder.

The user’s external bank account must be registered in advance of the payout request as a Recipient.

The Natural User or Legal User registered with Mangopay must have:

• The UserCategory of OWNER (see categories)
• The necessary KYC/KYB verification depending on the limits applicable to your platform (for example, they must have KYCLevel of REGULAR for payment services platforms).

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Payout rails

Mangopay offers a wide range of payout routes for local and international bank wire transfers.

Payout routes, also called rails, refer to the infrastructure and technology that facilitate the transfer of funds between bank accounts.

The payout rails available to your platform depend on your contract – contact Mangopay via the Dashboard to discuss activation of a local payout rail for your users.

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Domestic

Domestic rails rely on local networks used within a country or region. Because both banks are in the same jurisdiction and use the same local networks, the funds can generally be sent much more quickly and cheaply.

Sending a domestic payout requires Mangopay to hold and send funds from an account in the same jurisdiction as the user.

Domestic payouts must be requested to a Recipient with the PayoutMethod of LocalBankTransfer.

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Non-domestic

Non-domestic rails rely on shared messaging services such as SWIFT to transfer funds. SWIFT processing times depend on a number of factors including cutoff times and correspondent banks. SWIFT payments can arrive same day, they are frequently next day but can also take several days.

Mangopay works with partner banks to send the funds to the user’s account. Depending on where the user’s account is registered, Mangopay’s partners may themselves need to rely on additional correspondent banks to enable the connection with the end user’s bank.

Non-domestic payouts are requested to a Recipient with the PayoutMethod of InternationalBankTransfer.

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All payout rails by currency

The table below shows all local and international payout rails offered by Mangopay – contact Mangopay via the Dashboard to discuss activation.

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Delivery times

The delivery times shown in the table above are typical for the rail used. Some payouts are subject to manual review by Mangopay’s teams for reasons of risk management or AML/CFT - these payouts may take longer than shown.

Payouts created before the cutoff times outlined below are transferred to the user’s bank account within the corresponding processing times. Payouts created after the cutoff are processed next working day – meaning Monday to Friday excluding weekends and public holidays.

Some SWIFT payouts are sent the day after the cutoff, and therefore delivery can take a day longer. These routes are marked +1 in the table above.

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Instant schemes

Mangopay provides a number of instant local schemes:

• SEPA Instant Credit Transfer for EUR payouts to EUR Recipients in SEPA countries
• Faster Payments System (FPS) for GBP payouts to local GB Recipients
• RIX-INST for SEK payouts to local SE recipients

These typically allow payouts to be processed within 10 seconds (the Status changes from CREATED to SUCCEEDED) but there can be a delay in some circumstances.

In the SEPA zone, platforms can take advantage of a choice of schemes (SCT, SCT Inst, and T2), and so you need to use the PayoutModeRequested parameter to specify the scheme for each payout request. Mangopay also offers a fallback mechanism for SCT Inst to be processed as SCT if the instant request fails. See initiate an SCT Inst payout for details.

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Real-time gross settlement (RTGS)

For high-value EUR payouts in the SEPA zone, Mangopay offers real-time gross settlement (RTGS) via the Eurozone’s T2 scheme (formerly called TARGET2). This functionality was previously known as Express Payouts.

To request RTGS, set the PayoutModeRequested to RTGS_PAYMENT in calls to the POST Create a Payout endpoint.

Funds are usually processed the same working day. The T2 scheme is open 07:00 – 16:15 CET, 5 days a week. Payout requests received outside these hours are processed the next working day. The T2 scheme is closed at weekends and on the following days if they fall on a weekday: 1 January (New Year’s Day), Good Friday, Easter Monday, 1 May (Labour Day), 25 December (Christmas Day), 26 December.

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Fees for international payouts

For SWIFT payouts, Mangopay can enable platforms to shoulder the full cost of any processing fees that may arise from correspondent banks. This allows the beneficiary to receive the full amount of the payout.

When activated, cost-bearing uses the OUR configuration of SWIFT international bank wires instead of the SHA option used as standard for international payouts. The fees borne by the platform are recuperated by Mangopay during the usual billing cycle.

This feature is available for USD international payouts, and can only be applied to all international USD payouts and is not available on a payout-by-payout basis. A contractual amendment is also required. To activate this option for your platform, contact our teams via the Dashboard.

In future, Mangopay plans to offer this cost-bearing feature on SWIFT payouts in currencies other than USD.

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Other payout considerations

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Country restrictions

Due to AML policy, Mangopay doesn’t allow payouts to some countries – see the country restrictions article for more information.

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Minimum amount

Mangopay does not impose a minimum amount on payouts. The minimum amount possible is dictated by the rules of the underlying scheme used to send the payout. For example, the SEPA Credit Transfer (SCT) scheme accepts a minimum amount of EUR 0.01 (Amount value 1), and the Faster Payments System (FPS) in the UK allows GBP 0.01 (Amount value 1). Other schemes may impose different minimum amounts.

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How Mangopay routes funds

The rail used by Mangopay for a payout request is determined by the Currency of the payout and the Country of the Recipient.

The Payout request’s BankAccountId field can contain the Id of a Recipient or a legacy Bank Account.

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Migration of legacy bank accounts

Active legacy bank accounts, created before the Recipient feature was released, were migrated to recipients.

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Obtain Recipient data of an active legacy bank account

To retrieve data of active legacy bank accounts you can use the GET View a Recipient endpoint and specify the legacy BankAccountId as the RecipientId path parameter. For example, if the legacy Bank Account was bankacc_m_01JCN1X2EHWG0JNJNPNQ21CW5G, call the endpoint with that ID:

GET /v2.01/{ClientId}/recipients/bankacc_m_01JCN1X2EHWG0JNJNPNQ21CW5G

The API responds with a Recipient object containing the information of the legacy Bank Account:

API response

{
    "Id": "bankacc_m_01JCN1X2EHWG0JNJNPNQ21CW5G",
    "Status": "ACTIVE",
    "CreationDate": 1731578464,
    "DisplayName": null,
    "PayoutMethodType": "LocalBankTransfer",
    "RecipientType": "Individual",
    "Currency": "EUR",
    "Country": "FR",
    "UserId": "user_m_01J9KR16BG7EDC8RNEY2M18EXK",
    "Tag": null,
    "RecipientScope": "PAYOUT",
    "IndividualRecipient": {
        "FirstName": "Alex",
        "LastName": "Smith",
        "Address": {
            "AddressLine1": "1 rue de Rivoli",
            "City": "Paris",
            "PostalCode": "75001",
            "Country": "FR"
        }
    },
    "LocalBankTransfer": {
        "EUR": {
            "IBAN": "FR7630004000031234567890143",
            "BIC": "BNPAFRPP"
        }
    }
}

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Migration data mapping

Legacy Bank Account objects had no currency property, and so they could be used for payouts in multiple currencies. The Recipients feature has a Currency for each Recipient to improve payout deliverability, meaning that the same real-life account can be registered multiple times (with different PayoutMethod values).

The table below shows the values assigned to legacy Bank Accounts when Mangopay migrated them to Recipients. In addition to the data below, the RecipientScope assigned was PAYOUT for all accounts (which can be used for PAYIN use cases).

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Migration of non-EUR accounts in SEPA countries

The process that was followed for IBAN type bank accounts was:

1. Country code extracted from the IBAN (not the BIC)
2. If IBAN country is in SEPA and the local currency is EUR, the Recipient was assigned:

• PayoutMethodType = LocalBankTransfer
• Currency = EUR

3. If IBAN country is in SEPA and the local currency is not EUR (e.g. Denmark, Poland, etc), the Recipient was assigned:

• PayoutMethodType = InternationalBankTransfer
• Currency = Local currency based on predefined list (e.g. DKK, PLN, etc)