How Stripe payouts work

A payout refers to the stage in the payment process where the transaction amount is transferred to the provider's bank account. One of the key functionalities of Skyfarer Academy is facilitating payments from customers for their orders and ensuring the transfer of these funds to the bank accounts of listing providers.

 

General information on payouts and the payout setup

What is the difference between a payment and a payout?

A payment happens when the transaction's checkout is initiated. This is the moment when the customer adds their credit card information, and their card is charged.

After a payment, the money is held in Stripe's system until the payout happens. A payout is the action of sending the money from the payment gateway (Stripe)'s system to the provider's bank account.

Payout flow

What happens after a payment?

After a payment occurs in a transaction using Stripe as the payment processor, Stripe holds the money from the payment before a payout to the provider is triggered.

How the payout triggers depends on the transaction settings in the associated listing type transaction:

• Calendar booking: The payout is triggered 2 days after the end of the booking period (i.e., if the booking ends on Monday, the payout is triggered on Wednesday)
• Purchase: The payout is triggered in one of two ways when:
  • The buyer marks the order as received
  • The transaction automatically marks itself as completed 14 days after the provider marks the order as delivered (or shipped).
• Price negotiation: The payout is triggered in one of two ways when:
  • The buyer marks the order as received after the provider marks the order as delivered.
  • The transaction automatically marks itself as completed 14 days after the provider marks the order as delivered.

What happens after a payout is triggered?

After a payout is triggered, Stripe will begin the process of transferring the funds to the provider's bank account, which is connected to their payout settings on the marketplace.

It can take Stripe anywhere between 5 to 10 business days to transfer the money to the provider's bank account.