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Payments
Finance automation
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Payments
Finance automation
Platforms and marketplaces
Money management
Overview
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Global Payouts
    Overview
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    Fund your storage balance
    Create recipients
    Send money
    Manage Global Payouts
    Test Global Payouts
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    Compare with Connect
Capital
Issuing cards
Treasury
Manage money
HomeMoney managementGlobal Payouts

Compare with ConnectPublic preview

Learn which payouts integration fits your business.

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Stripe offers two ways to send money to third parties:

  • Global Payouts: Send money directly to a recipient’s bank account.
  • Connect payouts: Stage payouts in a payee balance before paying out to an external account.

The following diagram shows the flow of funds in a Global Payouts integration and a Connect payouts integration. The main difference is that funds must pass through a connected account balance before being paid out to an external account when using a Connect payouts integration.

Compare Global Payouts and Connect payouts

Global PayoutsConnect payouts
DescriptionSend money directly to the bank account of a third party.Send money to a dedicated payee balance before making payouts.
Fit
Best forBusinesses that need a payouts-only solution that can be decoupled from payments and want the ability to pay out with only recipients’ email addresses.Businesses that want a bundled solution for payments and payouts, and want to provide payee tools to track and manage earnings.
Use cases
  • Insurance claims payouts
  • Fintech salary advances and disbursements
  • Rebate, warranty, and rewards payouts
  • Affiliate payouts
  • Marketplaces that use multiple payment processors, have decoupled payments from payouts, or have use cases that need segregation from other funds
  • Marketplaces that exclusively use Stripe as their payments processor
  • Global financial services and insurance platforms
  • Franchises
CadenceOne-time or recurring recipients that don’t need to track funds.Established relationship with frequent, recurring recipients.
Funding
Legal and compliance requirementsManage your own legal and compliance requirements. If you’re managing your customers’ funds, you might need a Money Transmitter License.Offload legal and compliance requirements to Stripe using the Stripe Money Transmitter License.
Fund from payments revenueUse revenue splitting to automatically fund from your payments balance.Use destination charges or separate charges and transfers to fund specific transfers.
Fund from other payments processorsUse your external bank account to fund your account from other payment processors.Use top-ups to fund your account from other processors.
Payee management
Payee balanceNo balance is maintained on Stripe. Funds go directly to your payee’s payout method.Maintain a separate balance on Stripe to keep track of money owed to your payees. You can debit your payees for fees, refunds, or a dispute.
Risk management: Reverse payouts to payeesPayout reversals aren’t guaranteed. Use payout reversals to recapture funds for an accidental or canceled payout.Delay payouts as needed and use transfer reversals to recapture funds for an accidental or canceled payout.
Payee services
Payee reportsUse our API to display a history of payouts to your payee.Use a Stripe-hosted Dashboard or use our embeddable components to build payee reports on your own site or app.
Enable merchant services for payeesNo merchant services for your payees.Offer merchant services such as Stripe Capital or Stripe Payments to your payees.
Distribute tax forms to payeesNot supported.Use Stripe Tax to issue 1099 forms to payees. You can send forms to payees with Stripe-hosted components.

Other types of payouts

Stripe offers several other types of payouts, depending on your use case:

  • Withdraw your earnings from Stripe by paying them out to your business bank account.
  • Allow platform customers to withdraw their funds.
  • Distribute payout capabilities to your users with Treasury.
  • Create and issue branded physical or digital cards to send money with Issuing.
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