PayPal Payments Pro

Payment Services Directive Requirements:
As of September 14, 2019, European banks might decline payments that do not meet PSD2 requirements. To comply with PSD2, PayPal Payments Pro must be integrated with Cardinal Commerce. To learn more, see 3-D Secure for Payflow.

PayPal Payments Pro brings you all the benefits of a merchant account and payment gateway in one, plus the ability to create your own, fully customized checkout experience. PayPal Express Checkout is automatically enabled with PayPal Payments Pro, so you can tap into more than 110 million active PayPal users.

PayPal Payments Pro PayPal Payments Pro

For merchants outside the US, this method is called “PayPal Website Payments Pro.”

You can have two PayPal solutions active at the same time: PayPal Express Checkout, plus any one of the All-In-One solutions. If you change payment solutions, the one used previously is automatically disabled.

Requirements

Checkout Workflow

1 Customer Goes to Checkout Customer adds products to cart, and taps Proceed to Checkout.
2 Customer Chooses Payment Method During checkout, customer chooses the PayPal Direct Payment option, and enters the credit card information.
* If paying with PayPal Payments Pro, the customer stays on your site during the checkout process.
* If paying with PayPal Express Checkout, the customer is redirected to the PayPal site to complete the transaction.

At the customer’s request, the store administrator can also create an order from the Admin, and process the transaction with PayPal Payments Pro.

Order Processing Workflow

  1. Order Placed. The order can be processed either the Admin of your store, or from your PayPal merchant account.

  2. Payment Action. The payment action specified in the configuration is applied to the order. Options include:

    • Authorize - Magento creates a sales order with the “Processing” status. In this case, the amount of money to be authorized is pending approval.
    • Sale - Magento creates both a sales order and invoice.
    • Capture - PayPal transfers the order amount from the buyer’s balance, bank account or credit card to the merchant’s account.
  3. Invoicing. An invoice is created in Magento after PayPal sends an instant payment notification message to Magento.

    Make sure that instant payment notifications are enabled in your PayPal merchant account.

    If required, an order can be partially invoiced for a specified quantity of products. For each partial invoice submitted, a separate Capture transaction with a unique ID becomes available, and a separate invoice is generated.

    Authorization-only payment transactions are closed only after the full order amount is captured.

    An order can be voided online at any time until the order amount is fully invoiced.

  4. Returns. If for any reason the customer returns the purchased products and claims a refund, as with order amount capturing and invoice creation, you can create an online refund either from the Admin or from your PayPal merchant account.

Setting Up PayPal Payments Pro

Step 1: Configure Your PayPal Account

Before you begin, set up your PayPal Payments Pro account on the PayPal website.

  1. Log in to your PayPal business account.

  2. In the PayPal Manager menu, choose Service Settings. Under Hosted Checkout Pages, click Set Up. Then, do the following:

    Service Settings Service Settings

    • Under Choose your settings, set Transaction Process Mode to “Live”.

    • Under Display options on payment page, set Cancel URL Method to “POST”.

      Display Options on Payment Page Display Options on Payment Page

    • Under Billing Information, mark the card security code CSC checkboxes for both required and editable fields.

      Billing Information Billing Information

    • Under Payment Confirmation, set Return URL Method to “POST”.

      Payment Confirmation Payment Confirmation

    • Under Security Options, make the following settings:

      AVS No
      CSC No
      Enable Secure Token Yes

      Security Options Security Options

    • When complete, tap Save Changes.

  3. In the PayPal Manager menu, again choose Service Settings. Then under Hosted Checkout Pages, choose Customize, and do the following:

    • Choose Layout C.

      Customize Your Page Customize Your Page

      Layout C shows only credit and debit card fields, and can either be framed on your site or used as a stand-alone popup. The size is fixed at 490 x 565 pixels, with extra space for error messages. On some systems, this setting corrects an issue with transparent redirect.

      Layout C Example Layout C Example

    • Tap Save and Publish.

  4. In the PayPal Manager menu, choose Account Administration. Under Manage Security, click Transaction Settings. Then, do the following:

    • Set Allow reference transactions to “Yes”.

    • Tap Confirm.

      If you have multiple Magento websites, you must create a separate PayPal Payments Pro account for each.

  5. PayPal recommends that you set up an additional user on your account. To set up an additional user, do the following:

    • In the second row of the main menu, click Manage Users.

    • To add another user to the account, click Add User. The link is located just above the Manage Users title.

      Manage Users Manage Users

    • Complete the required fields in the following sections of the Add User form:

      • Admin Confirmation
      • User Information
      • User Login Information
      • Assign Privilege to User
    • When complete, tap Update. Then in the upper-right corner, click Log Out.

Step 2: Begin Magento Configuration

  1. Return to Magento to complete the required settings. If the session lifetime timed out while you were working in your PayPal business account, you’ll have to log in again.

  2. On the Admin sidebar, tap Stores. Then under Settings, choose Configuration.

  3. In the panel on the left, under Sales, choose Payment Methods.

  4. If your Magento installation has multiple websites, stores or views, set Store View to the store view where the configuration applies.

  5. In the Merchant Location section, select the Merchant Country where your business is located.

    This setting determines the selection of PayPal Solutions that appear in the configuration.

  6. Under PayPal All-in-One Payments Solution, in the PayPal Payments Pro section, tap Configure.

Step 3: Complete the Required Settings

  1. In the Required PayPal Settings section, under Payments Pro and Express Checkout, do the following:

    • Enter the Email Associated with your PayPal Merchant Account.

      Email addresses are case sensitive. To receive payment, the email address must match the email address specified in your PayPal merchant account.

      If you don’t yet have a PayPal account, click the link, Start accepting payments via PayPal.

    • Enter one of the following credentials that you use to log in to your PayPal merchant account:

      Partner Your PayPal Partner ID.
      Vendor Your PayPal user login name.
      User The ID of an additional user who is set up on your PayPal account.
    • Enter the Password that is associated with your PayPal account.

    • If you want to run test transactions, set Test Mode to “Yes.”

      When testing the configuration in a sandbox, use only credit card numbers that are recommended by PayPal. When you are ready to “go live,” return to the configuration and set Test Mode to “No.”

  2. If your system uses a proxy server to establish the connection to the PayPal system, set Use Proxy to “Yes.” Then, do the following:

    • Enter the IP address of the Proxy Host.

    • Enter the port number of the Proxy Port.

    A proxy is used when the server firewall prevents direct access to the PayPal server. In such a case, a third-party server is used to relay traffic.

  3. Set Enable This Solution to “Yes.”

  4. If you want to offer PayPal Credit to your customers, set Enable PayPal Credit to “Yes.”

    PayPal Payments Pro Required Settings PayPal Payments Pro Required Settings

Step 4: Advertise PayPal Credit (Optional)

  1. Expand the Advertise PayPal Credit section. Then, do the following:

    • Tap Get Publisher ID from PayPal, and follow the instructions to get your account information.

    • Enter your Publisher ID.

      Advertise PayPal Credit Advertise PayPal Credit

  2. Expand the Home Page section. Then, do the following:

    • To place a banner on the page, set Display to “Yes.”

    • Set Position to one of the following:

      • Header (center)
      • Sidebar (right)
    • Set Size to one of the following:

      • 190 x 100
      • 234 x 60
      • 300 x 50
      • 468 x 60
      • 728 x 90
      • 800 x 66

      Advertise PayPal Credit Home Page Settings Advertise PayPal Credit Home Page Settings

  3. Repeat the previous step for the remaining sections:

    • Catalog Category Page
    • Catalog Product Page
    • Checkout Cart Page

Step 5: Complete the Basic Settings

  1. In the Basic Settings - PayPal Payments Pro section, enter a Title to identify PayPal Payments Pro during checkout. It is recommended that you use the title “Debit or Credit Card.”

  2. If you offer multiple payment methods, enter a number in the Sort Order field to determine the sequence in which PayPal Payments Pro appears when listed with other payment methods during checkout.

  3. Set Payment Action to one of the following:

    Authorization Approves the purchase, but puts a hold on the funds. The amount is not withdrawn until it is “captured” by the merchant.
    Sale The amount of the purchase is authorized and immediately withdrawn from the customer’s account.
  4. Under Credit Card Settings, select each credit card that you accept for payment in your store. To make multiple selections, hold down the Ctrl key and click each item.

    American Express requires an additional agreement.

    PayPal Payment Pro Basic Settings PayPal Payment Pro Basic Settings

Step 6: Complete the Advanced Settings

  1. Expand the Advanced Settings section. Then, do the following:

    • Set Payment Applicable From to one of the following:

      All Allowed Countries Customers from all countries specified in your store configuration can use this payment method.
      Specific Countries After choosing this option, the Payment from Specific Countries list appears. Hold down the Ctrl key and select each country in the list where customers can make purchases from your store.
    • Set Debug Mode to “Yes” to write communications with the payment system into the log file.

      In accordance with PCI Data Security Standards, credit card information is not recorded in the log file.

    • To enable host authenticity verification, set Enable SSL Verification to “Yes.”

    • To require that customers enter a CVV code, set Require CVV Entry to “Yes.”

      PayPal Payments Pro Advanced Settings PayPal Payments Pro Advanced Settings

  2. Expand the CVV and AVS Settings section.

  3. To determine when a transaction should be rejected when the Address Verification System identifies a mismatch, specify how to handle each of the following scenarios:

    • To reject a transaction based on a mismatched street mismatch, set AVS Street Does Not Match to “Yes.”

    • To reject a transaction based on a mismatched ZIP code, set AVS Zip Does Not Match to “Yes.”

    • To reject a transaction based on mismatched country identifier, set International AVS Indicator Does Not Match to “Yes.”

    • To reject a transaction based on a mismatched CVV code, set Card Security Code Does Not Match to “Yes.”

  4. Complete the following, as needed for your store:

Settlement Report Settings

  1. Expand the Settlement Report Settings section.

  2. If you have signed up for PayPal’s Secure FTP Server, enter the following SFTP login credentials:

    • Login
    • Password
  3. To run test reports before “going live” with Express Checkout on your site, set Sandbox Mode to “Yes.”

  4. Enter the Custom Endpoint Hostname or IP Address. By default, the value is: reports.paypal.com

  5. Enter the Custom Path where reports are saved. By default, the value is: /ppreports/outgoing

  6. To generate reports according to a schedule, under Scheduled Fetching, make the following settings:

    • Set Enable Automatic Fetching to “Yes.”

    • Set Schedule to one of the following:

      • Daily
      • Every 3 Days
      • Every 7 Days
      • Every 10 Days
      • Every 14 Days
      • Every 30 Days
      • Every 40 Days

      PayPal retains each report for forty-five days.

    • Set Time of Day to the hour, minute, and second when you want the reports to be generated.

      PayPal Settlement Report Settings PayPal Settlement Report Settings

Frontend Experience Settings

The frontend experience settings give you the opportunity to choose which PayPal logos appear on your site, and to customize the appearance of your PayPal merchant pages.

  1. Expand the Frontend Experience Settings section.

  2. Choose the PayPal Product Logo that you want to appear in the PayPal block in your store. The PayPal logos are available in four styles and two sizes. Options include:

    • No Logo
    • We Prefer PayPal (150 x 60 or 150 x 40)
    • Now Accepting PayPal (150 x 60 or 150 x 40)
    • Payments by PayPal (150 x 60 or 150 x 40)
    • Shop Now Using (150 x 60 or 150 x 40)
  3. To customize the appearance of your PayPal merchant pages, do the following:

    • Enter the name of the Page Style that you want to apply to your PayPal merchant pages. Options include:

      paypal Uses the PayPal page style.
      primary Uses the page style that you identified as the “primary” style in your account profile.
      your_custom_value Uses a custom payment page style, which is specified in your account profile.
    • In the Header Image URL field, enter the URL of the image that you want to appear in the upper-left corner of the payment page. The maximum file size is 750 pixels wide by 90 pixels high.

      PayPal recommends that the image be located on a secure (https) server. Otherwise, the customer’s browser may warn that “the page contains both secure and nonsecure items.”

    • Enter the six-character hexadecimal code, without the “#” symbol, for each of the following:

      Header Background Color Background color for the checkout page header.
      Header Border Color 2-pixel border around the header.
      Page Background Color Background color for the checkout page and around the header and payment form.

      PayPal Frontend Experience Settings PayPal Frontend Experience Settings

Step 7: Basic Settings - PayPal Express Checkout

  1. Expand the Basic Settings - PayPal Express Checkout section.

  2. Enter a Title to identify this payment method during checkout. It is recommended to set the title to “PayPal” for each store view.

  3. If you offer multiple payment methods, enter a number in the Sort Order field to determine the sequence in which PayPal Payments Standard is listed with the other methods. Payment methods appear in ascending order based on the Sort Order value.

  4. Set Payment Action to one of the following:

    Authorization Approves the purchase and puts a hold on the funds. The amount is not withdrawn until it is “captured” by the merchant.
    Sale The amount of the purchase is authorized and immediately withdrawn from the customer’s account.
  5. To display the “Check out with PayPal” button on the product page, set Display on Product Details Page to “Yes.”

    Express Checkout Basic Settings Express Checkout Basic Settings

Step 8: Advanced Settings - PayPal Express Checkout

  1. Click to expand the Advanced Settings section. Then, do the following:

    • Set Display on Shopping Cart to “Yes.”

    • Set Payment Applicable From to one of the following:

      All Allowed Countries Customers from all countries specified in your store configuration can use this payment method.
      Specific Countries After choosing this option, the Payment from Specific Countries list appears. Hold down the Ctrl key and select each country in the list where customers can make purchases from your store.
    • Set Debug Mode to “Yes” to write communications with the payment system into the log file.

      In accordance with PCI Data Security Standards, credit card information is not recorded in the log file.

    • To enable host authenticity verification, set Enable SSL Verification to “Yes.”

    • To display a full summary of the customer’s order by line item from the PayPal site, set Transfer Cart Line Items to “Yes.”

    • To allow the customer to complete the transaction from the PayPal site without returning to your Magento store for Order Review, set Skip Order Review Step to “Yes.”

      Express Checkout Advanced Settings Express Checkout Advanced Settings

  2. When complete, tap Save Config.