This section outlines the detailed steps and sequence diagram for the movement of collected funds to the borrower’s account. The ConnectPay Banking-as-a-Service (BaaS) APIs, which should be integrated into this flow, are outlined below.
The movement of funds to borrowers involves the following entities: Borrower, Crowdfunding Platform, and ConnectPay.
Main steps:
- Project funds moved to borrower’s restricted account:
- When the project is funded, the platform initiates a payment using POST Initiate BaaS Payment API to transfer funds from the project’s transactional account to the borrower’s restricted account.
- debtorAccount: Project’s transactional account.
- creditorAccount: Borrower’s restricted account.
For more information on payment initiation and payment status, see: Payment initiation – ConnectPay, Payment status – ConnectPay
- The platform confirms the payment using the POST Authorize BaaS Payment API. For more information on payment authorization without explicit SCA, see: Payment authorization – ConnectPay
- When the project is funded, the platform initiates a payment using POST Initiate BaaS Payment API to transfer funds from the project’s transactional account to the borrower’s restricted account.
- Borrower moves funds to external account:
- In most cases borrowers want to move collected funds outside ConnectPay. Therefore, we suggest platform having UI, so that the external account, to which funds shall be moved, is provided by the borrower (using platform’s UI).
- When external account is provided, the platform initiates a new payment using the POST Initiate BaaS Payment API, transferring funds from the borrower’s restricted account to the given external account.
- debtorAccount: Borrower’s restricted account.
- creditorAccount: Borrower’s external account (outside ConnectPay).
For more information on payment initiation and payment status, see: Payment initiation – ConnectPay, Payment status – ConnectPay
- The platform confirms the payment using the POST Authorize BaaS Payment API. For more information on payment authorization without explicit SCA, see: Payment authorization – ConnectPay
- Notifications:
- We offer webhooks for payment status changes. Please check webhook notifications (section: Payment webhooks) for a full list of events.
Collected funds movement to borrowers