Razorpay Route for Payment split

Source: Dev.to

What is Razorpay Route?

Razorpay Route is a feature provided by Razorpay that enables the splitting of incoming funds among different sellers, vendors, third parties, or banks. It is designed for a one‑to‑many disbursement model, making it ideal for marketplaces where multiple sellers receive payments for their products.

How Razorpay Route Works

When a customer purchases items from various sellers in a single order, Razorpay Route automatically distributes the collected payment to each seller’s account after deducting the platform’s commission. This eliminates the need for manual disbursement and reduces operational overhead.

Integration Steps

1. Create a Razorpay Account
   Sign up for a Razorpay account if you don’t already have one.

2. Create a Linked Account

   • This represents the seller or vendor’s business account.

3. Create a Stakeholder

   • This is the individual behind the linked account.

4. Request Product Configuration

   • Specify the product that the seller or vendor will use.

5. Update Product Configuration

   • Provide the seller’s bank details (account number, IFSC code, etc.).

6. Transfer Funds

   • Use Razorpay orders, payments, or direct transfers to move funds to the linked accounts.

7. Test the Integration

   • Perform test transactions to ensure that payments are correctly split and transferred.