How online payment settlement works
Settlement (also called payout) is the process of moving customer payments from the payment gateway into your bank account. This guide walks through the timeline, the factors that affect speed, and where to find settlement information in the admin.
The settlement timeline
- Order placed — customer pays online via Stripe, PayPal, Razorpay, or another connected gateway.
- Gateway captures the funds — money moves from the buyer's card / wallet into the gateway's holding account.
- Funds sit in pending balance — until risk checks pass and the order is fulfilled.
- Order marked delivered — either automatically by the carrier integration or manually by you.
- Pending becomes available — usually instantly once delivery is confirmed.
- Payout to your bank — on the gateway's payout schedule (Stripe: rolling 2–7 days; Razorpay: T+1 business day; PayPal: instant to wallet, then you withdraw).
What affects settlement speed
Order fulfilment status
The order must reach Delivered before pending releases. Use a connected carrier to update this automatically.
First-time high-value transactions
Your first few high-value orders may be manually reviewed by the gateway's risk team. Add up to 3–7 days.
Card / EMI proof of delivery
Card and credit-card EMI payments often require proof of delivery (tracking link) before release.
Suspiciously fast deliveries
If the time between order placed and order delivered is unusually short (under 15 minutes), the gateway may pause and review. Allow up to 7 days.
Gateway business verification
If your KYC / KYB is incomplete, payouts pause at the verification cap. Complete verification in your gateway dashboard.
Where to find settlement info
Open the admin and go to Finance → Payouts:
- On hold — orders the customer has paid for, but the funds have not yet released. Each row shows why.
- Available — cleared funds awaiting the next bank payout.
- Paid out — payouts already sent to your bank, with the bank reference for reconciliation.
- Refunds — money returned to customers, deducted from your balance.
You can filter by date, gateway, or payout reference. Export as CSV for your accountant.
Reconciling with your bank
Every payout has a unique reference shown in the admin. Match this against the deposit in your bank statement. Gateways batch multiple orders into one payout, so a single deposit usually covers several orders — click the payout row to expand the order list.
What about COD?
Cash on Delivery payments are not captured by an online gateway. Instead the courier collects cash from the buyer and remits it to you. If you ship through LaunchMyStore Delivery or another integrated COD courier, the COD remittance follows the courier's own payout schedule (usually 1–3 business days after delivery).
What about manual / bank transfer?
For manual payments (offline bank transfer, cheque), there's no gateway involved. You mark the order Paid in the admin once the money lands in your bank.
FAQ
How often does the gateway pay out?
Depends on the gateway — Stripe rolls every 2–7 days, Razorpay T+1, PayPal on demand. Check your gateway dashboard for the schedule.
Can I change the payout schedule?
Yes — in your gateway dashboard (Stripe, Razorpay, etc.) you can pick daily, weekly, or monthly. PayPal pays to wallet and you withdraw whenever you want.
Why is my payout less than the order total?
The payout is the order total minus gateway fees, LaunchMyStore service fee, refunds, and any disputes. Click into the payout row to see the breakdown.
Are payouts processed on weekends?
No — gateways only process payouts on business days. Weekends and public holidays push the next payout forward.
What if my payout is delayed?
First confirm the order is marked delivered and there are no open disputes. If everything looks right but the payout still hasn't come through, email [email protected] with the order number.