FAQ
FAQ - LocalPayment V3 Complete Documentation
General Introduction
What is LocalPayment?
LocalPayment is a payment platform that enables businesses to accept and execute payments in multiple currencies and countries using local payment methods. It improves conversion rates, expands customer reach, reduces costs, and provides customers with a smoother user experience as they can complete checkout with local payment rails they are familiar with.
When was LocalPayment founded?
LocalPayment was founded in 2018. Since its founding, the company's aim has been to make the digital world an explorable place for emerging markets consumers, and to enable international companies to reach their customers.
In which countries does LocalPayment operate?
LocalPayment operates in more than 15 countries across America, with presence in Latin American emerging markets. The company holds specific licenses in several countries:
Argentina: PAGOS LOCALES SA registered with UIF and BCRA with "PSP Agregador" license
Brazil: LP do Brasil Instituição de Pagamento Ltda. registered as a Payment Institution with the Central Bank of Brazil
Canada: KINESIS TRANSFERS INC. registered as MSB with FINTRAC
Chile: LOCALPAYMENT S.P.A. registered with the Financial Analysis Unit (UAF)
Solutions and Services
What types of solutions does LocalPayment offer?
LocalPayment offers two main solutions:
Payins: Allows collecting payments from local customers in Latin America. The payin is collected in the local currency of a specific country and may have foreign exchange (FX) or not, depending on the account configuration.
Payouts: Allows making payments to local service providers, suppliers, gig workers, wallet withdrawals, remittances, and partners in Latin America. The payout is executed in the local currency of a specific country.
What payment methods does LocalPayment support?
LocalPayment offers more than 500 payment methods across over 30 countries. Methods include:
Cash: Traditional payment method, widely accepted
Debit and credit cards: Linked directly to a bank account or allowing consumers to borrow funds
Bank transfers: Direct transfer of funds from one bank account to another
Mobile payments: Transactions made through mobile devices
Electronic wallets (E-Wallets): Digital wallets that securely store payment information
Payment links: Links sent by merchants to facilitate quick and easy payments
QR codes: Scannable codes that enable contactless payments
Buy now, pay later (BNPL): Allows customers to make purchases and pay later
Digital currencies: Cryptocurrencies used as alternative payment method
Prepaid cards: Cards that can be loaded with a specific amount
What advantages does LocalPayment's platform offer?
The platform offers multiple advantages:
Direct connection: DIRECT connection with more than 50 banks & processors
High availability: 99.997% availability for your business
Acquirer redundancy: Proprietary algorithm switches transactions dynamically to ensure highest success rates
Unified transactions: Unified reconciliation for all countries. Unified transfer of funds for all currencies
Integration Types
What types of integration does LocalPayment offer?
LocalPayment provides different types of integration:
Direct API: For complete customization of user experience according to merchant needs
Redirect solution: If you want LocalPayment to handle the webcheckout
Dashboard: Offers a smooth experience without the need to use any coding
Ripplenet: LocalPayment is a Ripplenet partner, allowing payment instructions to be received through Ripplenet API
How does Direct API integration work?
Direct API allows developers to integrate LocalPayment functionalities directly into their systems. It requires code development on the merchant's website but offers complete control over the user experience.
What is the redirect solution?
The redirect solution allows LocalPayment to handle the web checkout process, reducing the development burden for the merchant while maintaining full payment functionality.
Technical Aspects and API
What development environments does LocalPayment provide?
LocalPayment provides separate environments for development and production, allowing developers to safely test integrations before implementing them in production.
How does the authentication process work?
The system uses access tokens to authenticate API requests. Developers must obtain an access token before performing operations on the platform.
What validations does the platform perform?
The platform performs multiple validations including:
Error code validation
Bank account validation
Document validation
Customer information validation
How are notifications handled?
LocalPayment handles notifications through:
Callbacks - Webhooks: For real-time notifications about transaction status
SFTP - Email Reports: For scheduled reports and documentation
Payins - Incoming Payments
What is a Payin in LocalPayment?
A Payin is the solution that allows, via API or Web Checkout, to collect payments from local customers in Latin America. The Payin is collected in the local currency of a specific country and may include foreign exchange (FX) or not, depending on the account configuration.
What Payin methods are available?
LocalPayment offers multiple Payin methods including:
Bank transfers
Card payments
Alternative payment methods (APMs)
Cash payments
QR codes
PIX (Brazil)
OXXO (Mexico)
How do Payin subscriptions work?
Payin subscriptions enable automated recurring payment setup. The platform handles the complete subscription flow, including subscription plan creation and regular payment processing.
What is the Payin status flow?
The Payin status flow tracks a transaction's progress from initiation to completion, providing complete visibility of the payment process for merchants and customers.
Payouts - Outgoing Payments
What is a Payout in LocalPayment?
A Payout is the solution that allows, via API or manual batch upload, to pay local service providers, suppliers, gig workers, wallet withdrawals, remittances, and partners in Latin America. The Payout is executed in the local currency of a specific country.
What are the advantages of Payouts?
Payouts offer multiple advantages:
Facilitates payment to remote workers in their local currencies
Eliminates the need for local presence
Simplifies cross-border transaction procedures
Provides local integration and entities to relieve clients from dealing with local requirements
How does the Payout process work?
The Payout process follows these steps:
Merchant integrates with LocalPayment and creates new payment
Merchant's settlement is received and credited into merchant's account at LocalPayment
LocalPayment offers payment methods at checkout and processes payout request
Merchant confirms payment to customer
LocalPayment confirms payment to merchant in real time
LocalPayment executes payout amounts due to beneficiary
What is a Recall in Payouts?
Recall is the process to recover a Payout when wrong BENEFICIARY wire information has been submitted. LocalPayment does not guarantee fund recovery but will start a manual process to recover the funds. The recall process must be started by the client via email or API endpoint.
What is a Return in Payouts?
Return is the flow after a payout has been completed, but since the domestic ACH network is asynchronous, the beneficiary bank rejects the payment t+x days later. LocalPayment will credit the funds in the account plus taxes and fees.
What is double signature in Payouts?
Double signature is an additional security measure that requires approval from two authorized persons before executing a payout, providing an extra layer of protection against unauthorized transactions.
Virtual Accounts
What are Virtual Accounts?
Virtual accounts are a collection/payin method that allows the company to create multiple accounts and receive local ACH bank transfers with the benefit of having an easier reconciliation process by assigning the account to a specific merchant or end user.
How are Virtual Accounts created?
Virtual accounts can be created:
Online through the dashboard
Offline through manual processes
Via API for automated integration
What is the Virtual Account status flow?
The Virtual Account status flow tracks the complete lifecycle from creation to settlement, providing complete transparency in the process.
Settlement and Foreign Exchange
What is Settlement in LocalPayment?
For Payins, Settlement refers to the Wire Out that LocalPayment will execute to settle all completed collections in the merchant account, generally through a Swift wire in hard currency cross-border to the international bank account. For Payouts, Settlement refers to the Wire In that LocalPayment will receive generally through Swift in hard currency to top up the merchant account.
How do foreign exchange operations work?
LocalPayment offers:
Currency Exchange Quote: To obtain real-time exchange rates
Currency Exchange Bulk: To process multiple exchange transactions
Internal Transfers: To move funds between different currency accounts
What are Wire In and Wire Out?
Wire In: Incoming bank transfers received to top up merchant accounts
Wire Out: Outgoing bank transfers executed to settle funds to merchant accounts
Specific Payment Methods
What is PIX?
PIX is the system created by the Brazilian Central Bank to bring instant payments to life. It is through PIX that all wallets that use QR Codes will be interoperable. LocalPayment fully supports PIX including refunds.
What is OXXO?
OXXO is a payment method widely used by Mexicans to pay their utility bills and even online purchases, in cash. OXXO invoice is a payment method that allows consumers to make cash payments at OXXO stores.
How do card payments work?
LocalPayment supports both debit and credit cards. Debit cards are linked directly to a bank account with funds deducted immediately, while credit cards allow consumers to borrow funds up to a limit with later payment.
What are installment payments?
Installment payments are a popular payment method that splits the total amount due into monthly payments, allowing customers to make higher-priced purchases. LocalPayment offers installment plan quotes.
Security and Compliance
What security measures does LocalPayment implement?
LocalPayment implements multiple security measures:
PCI DSS (Payment Card Industry Data Security Standard) compliance
Tokenization to protect sensitive customer data
3D Secure for additional fraud protection
Robust payment authentication
In which countries is operation prohibited?
LocalPayment maintains a list of prohibited countries where it cannot operate due to compliance regulations and legal restrictions.
What types of businesses are prohibited?
LocalPayment has a list of prohibited businesses that includes high-risk industries and activities that are not permitted under financial regulations.
What licenses does LocalPayment hold?
LocalPayment holds multiple licenses:
Argentina: Registered with UIF and BCRA as "PSP Agregador"
Brazil: Payment Institution registered with Central Bank
Canada: MSB registered with FINTRAC
Chile: Supervised entity registered with UAF
Reports and Analytics
What types of reports does LocalPayment offer?
LocalPayment offers various types of reports:
Transaction reports
Settlement reports
Compliance reports
Withholding certificates
Proof of payment
RFI (Request for Information) documentation
How are reports accessed?
Reports can be accessed through:
Web dashboard
API endpoints
SFTP for automated reports
Email for scheduled reports
Account Management
How is account balance verified?
LocalPayment provides API endpoints and dashboard functionalities to verify account balance in real-time across multiple currencies.
What account currencies are available?
LocalPayment supports multiple currencies according to the countries where it operates. Specific currencies depend on local markets and regulations of each country.
How does the onboarding process work?
The onboarding process includes:
Initial registration
Document verification
Account configuration
Technical integration
Sandbox environment testing
Production activation
APIs and Technical Reference
What validation error codes exist?
LocalPayment provides specific error codes for different types of validations, including format errors, authentication, transaction limits, and connectivity issues.
How do transaction types and statuses work?
The platform handles different transaction types (payins, payouts, settlements) with specific statuses indicating the progress of each transaction from initiation to completion.
What Payout methods are available with SLA?
LocalPayment offers multiple payout methods with specific Service Level Agreements (SLA) that guarantee processing times and availability.
How are country and currency codes handled?
The platform uses international standard codes for countries (ISO 3166) and currencies (ISO 4217) to ensure consistency and compatibility.
What are bank codes?
Bank codes are unique identifiers used to identify specific banking institutions in each country, facilitating correct transaction routing.
Holidays and Operations
How do holidays affect operations?
LocalPayment maintains updated holiday calendars for all countries where it operates (2021-2025), which affects transaction processing and settlement times.
Does the platform operate 24/7?
LocalPayment offers APIs that allow 24/7 operation, 365 days a year, providing faster, safer, and more efficient operations.
Plugins and Integrations
What plugins are available?
LocalPayment offers plugins for:
Magento
Shopify
Google Pay
WooCommerce
Ripplenet
How does it integrate with ecommerce platforms?
Plugins enable direct integration with popular ecommerce platforms, simplifying implementation for merchants using these solutions.
Support and Assistance
How to contact technical support?
For support and questions related to payment services and methods, LocalPayment provides multiple channels:
Email: [email protected]
Complete technical documentation
Dedicated support portal
What documentation is available?
LocalPayment provides comprehensive documentation including:
Step-by-step integration guides
Complete API reference
Code examples
Use cases
Best practices
Is there a Postman collection available?
Yes, LocalPayment provides a Postman collection that allows developers to easily test API endpoints and understand functionality.
Use Cases and Industries
For which industries is LocalPayment suitable?
LocalPayment is suitable for multiple industries:
Ecommerce
Marketplaces
Financial services
Gaming
Subscription services
Remittances
Gig economy
B2B payments
How does it benefit international companies?
LocalPayment enables international companies to:
Enter emerging markets without local entity
Accept locally preferred payment methods
Reduce transaction costs
Improve conversion rates
Simplify multi-country operations
Innovations and Technology
What emerging technologies does LocalPayment support?
LocalPayment stays updated with the latest payment trends, including:
Mobile payments
Digital wallets
QR codes
Instant payments
Cryptocurrencies
Open Banking
How does LocalPayment handle innovation?
The company focuses on understanding the newest trends, preferences, and technologies in the region, leveraging its LatAm location and local knowledge to stay current.
This comprehensive FAQ covers all essential aspects of LocalPayment V3, from basic functionalities to advanced technical features, providing a complete reference for users, developers, and platform integrators.FAQ - LocalPayment V3 Complete Documentation
General Introduction
What is LocalPayment?
LocalPayment is a payment platform that enables businesses to accept and execute payments in multiple currencies and countries using local payment methods. It improves conversion rates, expands customer reach, reduces costs, and provides customers with a smoother user experience as they can complete checkout with local payment rails they are familiar with.
When was LocalPayment founded?
LocalPayment was founded in 2018. Since its founding, the company's aim has been to make the digital world an explorable place for emerging markets consumers, and to enable international companies to reach their customers.
In which countries does LocalPayment operate?
LocalPayment operates in more than 15 countries across America, with presence in Latin American emerging markets. The company holds specific licenses in several countries:
Argentina: PAGOS LOCALES SA registered with UIF and BCRA with "PSP Agregador" license
Brazil: LP do Brasil Instituição de Pagamento Ltda. registered as a Payment Institution with the Central Bank of Brazil
Canada: KINESIS TRANSFERS INC. registered as MSB with FINTRAC
Chile: LOCALPAYMENT S.P.A. registered with the Financial Analysis Unit (UAF)
Solutions and Services
What types of solutions does LocalPayment offer?
LocalPayment offers two main solutions:
Payins: Allows collecting payments from local customers in Latin America. The payin is collected in the local currency of a specific country and may have foreign exchange (FX) or not, depending on the account configuration.
Payouts: Allows making payments to local service providers, suppliers, gig workers, wallet withdrawals, remittances, and partners in Latin America. The payout is executed in the local currency of a specific country.
What payment methods does LocalPayment support?
LocalPayment offers more than 500 payment methods across over 30 countries. Methods include:
Cash: Traditional payment method, widely accepted
Debit and credit cards: Linked directly to a bank account or allowing consumers to borrow funds
Bank transfers: Direct transfer of funds from one bank account to another
Mobile payments: Transactions made through mobile devices
Electronic wallets (E-Wallets): Digital wallets that securely store payment information
Payment links: Links sent by merchants to facilitate quick and easy payments
QR codes: Scannable codes that enable contactless payments
Buy now, pay later (BNPL): Allows customers to make purchases and pay later
Digital currencies: Cryptocurrencies used as alternative payment method
Prepaid cards: Cards that can be loaded with a specific amount
What advantages does LocalPayment's platform offer?
The platform offers multiple advantages:
Direct connection: DIRECT connection with more than 50 banks & processors
High availability: 99.997% availability for your business
Acquirer redundancy: Proprietary algorithm switches transactions dynamically to ensure highest success rates
Unified transactions: Unified reconciliation for all countries. Unified transfer of funds for all currencies
Integration Types
What types of integration does LocalPayment offer?
LocalPayment provides different types of integration:
Direct API: For complete customization of user experience according to merchant needs
Redirect solution: If you want LocalPayment to handle the webcheckout
Dashboard: Offers a smooth experience without the need to use any coding
Ripplenet: LocalPayment is a Ripplenet partner, allowing payment instructions to be received through Ripplenet API
How does Direct API integration work?
Direct API allows developers to integrate LocalPayment functionalities directly into their systems. It requires code development on the merchant's website but offers complete control over the user experience.
What is the redirect solution?
The redirect solution allows LocalPayment to handle the web checkout process, reducing the development burden for the merchant while maintaining full payment functionality.
Technical Aspects and API
What development environments does LocalPayment provide?
LocalPayment provides separate environments for development and production, allowing developers to safely test integrations before implementing them in production.
How does the authentication process work?
The system uses access tokens to authenticate API requests. Developers must obtain an access token before performing operations on the platform.
What validations does the platform perform?
The platform performs multiple validations including:
Error code validation
Bank account validation
Document validation
Customer information validation
How are notifications handled?
LocalPayment handles notifications through:
Callbacks - Webhooks: For real-time notifications about transaction status
SFTP - Email Reports: For scheduled reports and documentation
Payins - Incoming Payments
What is a Payin in LocalPayment?
A Payin is the solution that allows, via API or Web Checkout, to collect payments from local customers in Latin America. The Payin is collected in the local currency of a specific country and may include foreign exchange (FX) or not, depending on the account configuration.
What Payin methods are available?
LocalPayment offers multiple Payin methods including:
Bank transfers
Card payments
Alternative payment methods (APMs)
Cash payments
QR codes
PIX (Brazil)
OXXO (Mexico)
How do Payin subscriptions work?
Payin subscriptions enable automated recurring payment setup. The platform handles the complete subscription flow, including subscription plan creation and regular payment processing.
What is the Payin status flow?
The Payin status flow tracks a transaction's progress from initiation to completion, providing complete visibility of the payment process for merchants and customers.
Payouts - Outgoing Payments
What is a Payout in LocalPayment?
A Payout is the solution that allows, via API or manual batch upload, to pay local service providers, suppliers, gig workers, wallet withdrawals, remittances, and partners in Latin America. The Payout is executed in the local currency of a specific country.
What are the advantages of Payouts?
Payouts offer multiple advantages:
Facilitates payment to remote workers in their local currencies
Eliminates the need for local presence
Simplifies cross-border transaction procedures
Provides local integration and entities to relieve clients from dealing with local requirements
How does the Payout process work?
The Payout process follows these steps:
Merchant integrates with LocalPayment and creates new payment
Merchant's settlement is received and credited into merchant's account at LocalPayment
LocalPayment offers payment methods at checkout and processes payout request
Merchant confirms payment to customer
LocalPayment confirms payment to merchant in real time
LocalPayment executes payout amounts due to beneficiary
What is a Recall in Payouts?
Recall is the process to recover a Payout when wrong BENEFICIARY wire information has been submitted. LocalPayment does not guarantee fund recovery but will start a manual process to recover the funds. The recall process must be started by the client via email or API endpoint.
What is a Return in Payouts?
Return is the flow after a payout has been completed, but since the domestic ACH network is asynchronous, the beneficiary bank rejects the payment t+x days later. LocalPayment will credit the funds in the account plus taxes and fees.
What is double signature in Payouts?
Double signature is an additional security measure that requires approval from two authorized persons before executing a payout, providing an extra layer of protection against unauthorized transactions.
Virtual Accounts
What are Virtual Accounts?
Virtual accounts are a collection/payin method that allows the company to create multiple accounts and receive local ACH bank transfers with the benefit of having an easier reconciliation process by assigning the account to a specific merchant or end user.
How are Virtual Accounts created?
Virtual accounts can be created:
Online through the dashboard
Offline through manual processes
Via API for automated integration
What is the Virtual Account status flow?
The Virtual Account status flow tracks the complete lifecycle from creation to settlement, providing complete transparency in the process.
Settlement and Foreign Exchange
What is Settlement in LocalPayment?
For Payins, Settlement refers to the Wire Out that LocalPayment will execute to settle all completed collections in the merchant account, generally through a Swift wire in hard currency cross-border to the international bank account. For Payouts, Settlement refers to the Wire In that LocalPayment will receive generally through Swift in hard currency to top up the merchant account.
How do foreign exchange operations work?
LocalPayment offers:
Currency Exchange Quote: To obtain real-time exchange rates
Currency Exchange Bulk: To process multiple exchange transactions
Internal Transfers: To move funds between different currency accounts
What are Wire In and Wire Out?
Wire In: Incoming bank transfers received to top up merchant accounts
Wire Out: Outgoing bank transfers executed to settle funds to merchant accounts
Specific Payment Methods
What is PIX?
PIX is the system created by the Brazilian Central Bank to bring instant payments to life. It is through PIX that all wallets that use QR Codes will be interoperable. LocalPayment fully supports PIX including refunds.
What is OXXO?
OXXO is a payment method widely used by Mexicans to pay their utility bills and even online purchases, in cash. OXXO invoice is a payment method that allows consumers to make cash payments at OXXO stores.
How do card payments work?
LocalPayment supports both debit and credit cards. Debit cards are linked directly to a bank account with funds deducted immediately, while credit cards allow consumers to borrow funds up to a limit with later payment.
What are installment payments?
Installment payments are a popular payment method that splits the total amount due into monthly payments, allowing customers to make higher-priced purchases. LocalPayment offers installment plan quotes.
Security and Compliance
What security measures does LocalPayment implement?
LocalPayment implements multiple security measures:
PCI DSS (Payment Card Industry Data Security Standard) compliance
Tokenization to protect sensitive customer data
3D Secure for additional fraud protection
Robust payment authentication
In which countries is operation prohibited?
LocalPayment maintains a list of prohibited countries where it cannot operate due to compliance regulations and legal restrictions.
What types of businesses are prohibited?
LocalPayment has a list of prohibited businesses that includes high-risk industries and activities that are not permitted under financial regulations.
What licenses does LocalPayment hold?
LocalPayment holds multiple licenses:
Argentina: Registered with UIF and BCRA as "PSP Agregador"
Brazil: Payment Institution registered with Central Bank
Canada: MSB registered with FINTRAC
Chile: Supervised entity registered with UAF
Reports and Analytics
What types of reports does LocalPayment offer?
LocalPayment offers various types of reports:
Transaction reports
Settlement reports
Compliance reports
Withholding certificates
Proof of payment
RFI (Request for Information) documentation
How are reports accessed?
Reports can be accessed through:
Web dashboard
API endpoints
SFTP for automated reports
Email for scheduled reports
Account Management
How is account balance verified?
LocalPayment provides API endpoints and dashboard functionalities to verify account balance in real-time across multiple currencies.
What account currencies are available?
LocalPayment supports multiple currencies according to the countries where it operates. Specific currencies depend on local markets and regulations of each country.
How does the onboarding process work?
The onboarding process includes:
Initial registration
Document verification
Account configuration
Technical integration
Sandbox environment testing
Production activation
APIs and Technical Reference
What validation error codes exist?
LocalPayment provides specific error codes for different types of validations, including format errors, authentication, transaction limits, and connectivity issues.
How do transaction types and statuses work?
The platform handles different transaction types (payins, payouts, settlements) with specific statuses indicating the progress of each transaction from initiation to completion.
What Payout methods are available with SLA?
LocalPayment offers multiple payout methods with specific Service Level Agreements (SLA) that guarantee processing times and availability.
How are country and currency codes handled?
The platform uses international standard codes for countries (ISO 3166) and currencies (ISO 4217) to ensure consistency and compatibility.
What are bank codes?
Bank codes are unique identifiers used to identify specific banking institutions in each country, facilitating correct transaction routing.
Holidays and Operations
How do holidays affect operations?
LocalPayment maintains updated holiday calendars for all countries where it operates (2021-2025), which affects transaction processing and settlement times.
Does the platform operate 24/7?
LocalPayment offers APIs that allow 24/7 operation, 365 days a year, providing faster, safer, and more efficient operations.
Plugins and Integrations
What plugins are available?
LocalPayment offers plugins for:
Magento
Shopify
Google Pay
WooCommerce
Ripplenet
How does it integrate with ecommerce platforms?
Plugins enable direct integration with popular ecommerce platforms, simplifying implementation for merchants using these solutions.
Support and Assistance
How to contact technical support?
For support and questions related to payment services and methods, LocalPayment provides multiple channels:
Email: [email protected]
Complete technical documentation
Dedicated support portal
What documentation is available?
LocalPayment provides comprehensive documentation including:
Step-by-step integration guides
Complete API reference
Code examples
Use cases
Best practices
Is there a Postman collection available?
Yes, LocalPayment provides a Postman collection that allows developers to easily test API endpoints and understand functionality.
Use Cases and Industries
For which industries is LocalPayment suitable?
LocalPayment is suitable for multiple industries:
Ecommerce
Marketplaces
Financial services
Gaming
Subscription services
Remittances
Gig economy
B2B payments
How does it benefit international companies?
LocalPayment enables international companies to:
Enter emerging markets without local entity
Accept locally preferred payment methods
Reduce transaction costs
Improve conversion rates
Simplify multi-country operations
Innovations and Technology
What emerging technologies does LocalPayment support?
LocalPayment stays updated with the latest payment trends, including:
Mobile payments
Digital wallets
QR codes
Instant payments
Cryptocurrencies
Open Banking
How does LocalPayment handle innovation?
The company focuses on understanding the newest trends, preferences, and technologies in the region, leveraging its LatAm location and local knowledge to stay current.
This comprehensive FAQ covers all essential aspects of LocalPayment V3, from basic functionalities to advanced technical features, providing a complete reference for users, developers, and platform integrators.
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