PayPal is an American company of multinational financial technology. It operates an online payment system in several countries that support online money transfers. With the help of email notifications, PayPal merchants get information related to placed orders. Other notification methods give accurate and real-time information about customers and orders.
PayPal IPN and PDT are two of the methods of notification. They both help to get proper information related to orders. There are several differences between PayPal IPN and PDT, which are highlighted in this article.
PayPal IPN vs PDT
The difference between PayPal IPN and PDT is the primary function. The primary function of PayPal IPN is the writing of data to the database because it lets you know when a payment occurs. On the other hand, displaying payment transaction details to a buyer is a primary function of PayPal PDT.
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In PayPal IPN, the abbreviation for Instant Payment Notification is IPN. It is a message service that helps merchants to notify about events related to the transaction of PayPal. It is used by merchants to automate back office as well as administrative functions such as providing order status to customers.
In PayPal PDT, the abbreviation for Payment Data Transfer is PDT. It is a notification service that sends information-related transactions instantly to the merchants with payment buttons usage. These transaction details can be displayed on the merchant’s website to confirm the successful payment of the buyer.
Comparison Table
| Parameters of Comparison | PayPal IPN | PayPal PDT |
|---|---|---|
| Interpretation | It is a message service that notifies events related to PayPal transactions to merchants. | It is a notification service that allows admin on their website to show additional transactions details. |
| Initiated by PayPal | Initiated by merchants actions | |
| Speed of notification | Tends to lag | Almost instant |
| Notifications sent | Order confirmations and chargeback notifications | Order confirmations |
| Number of notification attempts | Notification is sent till the site acknowledges it has been received | Notification is sent once |
What is PayPal IPN?
With the help of Instant Payment Notification, PayPal Sends a GET request directly to a notification URL. The buyers are generally oblivious to it because the whole procedure takes place in the background. It is easy to configure and set up. It generally takes less than 15 minutes to set things up.
When payments are stalled or approved, canceled or chargebacks payments, then merchants can automate order deliveries. The notification was received for each one of them. eCheque payments updates are also posted as notifications. Background access to URL notification is instant after being updated on new transactions.
It is necessary to be sure about not processing orders in duplicate because duplicate notifications are failed to send. Notification URL is hidden from other users and customers, which helps keep things in secure and order. In the background, notifications can be processed, and updates or respective emails can be made.
When IPN is used all alone, with email customers can only be notified because there is no other way to show order information or download them on the web page. It requires more code for verification and checks to discard certain notifications and pay attention to important ones.
What is PayPal PDT?
With the help of Payment Data Transfer, the buyer is securely redirected back to the online store. Their values and a few variables are sent through GET request which, is appended to the redirect URL. At the URL execute, it led the script to validate the request.
Post validation, with message buyers, can be greeted, emailed an order status or summary, or allowed to download digital content. Merchants also update their databases relating to the order and, while processing can keep a track of the same.
PayPal PDT allows you complete access to the transaction data when customers are redirected back to the website. With the help of a unique identity token, it is safe to access transaction-related data that is requested. Update databases and emails are sent to the customers related to order.
Customers are not automatically redirected then PDT fails to deliver. It can happen due to customer front network failure, the browser window closed by the buyer, etc. Clear payments can be acted upon instantly.
Main Differences Between PayPal IPN and PDT
- The primary function of PayPal IPN is the writing of data to the database because it lets you know when a payment occurs. But displaying payment transaction details to a buyer is a primary function of PayPal PDT.
- When it comes to requirements, a special code is required to take advantage of data in PayPal IPN. On the other hand, auto returns must be enabled in the PayPal profile in PayPal PDT.
- The possible problem with PayPal IPN is that its data can take hours to be returned under special circumstances, whereas in PayPal PDT, the data will not be sent if the browser window closes by the buyer before returning to your site.
- Specified URL receives all payment data that is needed to authenticate the transaction data in PayPal IPN. But the URL of your return page receives a transaction token then you can request transaction details by using HTTP POST.
- In PayPal IPN, payment notification is received whenever there is a change in payment status. On the flip side, in PayPal PDT, the customer is instantly returned to your site and receives payment notification.
- https://link.springer.com/chapter/10.1007/978-1-4302-0353-7_1
- http://weblibrary.apeiron-uni.eu:8080/WebDokumenti/5249-Day%20Day%20Up.pdf
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Chara Yadav holds MBA in Finance. Her goal is to simplify finance-related topics. She has worked in finance for about 25 years. She has held multiple finance and banking classes for business schools and communities. Read more at her bio page.
