Split Payments

This document goes over how you can share your transaction settlement with a third party.

Split payments are carried out by first creating a subaccount, then initializing the split payment. Utilizing split payment is essential in scenarios where there is a shared payment between a service provider and platform provider.

Create a subaccount

Subaccounts can be created easily via the Chapa Dashboard or using the Create Subaccount API:

• bank_code and account_number: The bank account details for this subaccount. The bank_code is the bank id (you can get this from the get banks endpoint).

• business_name: The vendor/merchant detail the subaccount for.

• account_name: The vendor/merchant account’s name matches from the bank account.

• split_type: The type of split you want to use with this subaccount.

  • Use percentage if you want to get a percentage of each transaction.
  • Use flat if you want to get a flat fee from each transaction, while the subaccount gets the rest.

• split_value: The amount you want to get as commission on each transaction. This goes with the split_type, for example:

  • to collect 3% from each transaction, split_type will be percentage and split_value will be 0.03.
  • to collect 25 Birr from each transaction, split_type will be flat and split_value will be 25.

Note that subaccounts are working with ETB currency as a default settlement. This means if we get subaccount in your payload regardless of the currency we will convert it to ETB and do the settlement.

Endpoint https://api.chapa.co/v1/subaccount

Method GET

• Authorization : Pass your secret key as a bearer token in the request header to authorize this call.

import requests  import json  url = "https://api.chapa.co/v1/subaccount"  payload = {      "business_name": "Abebe Souq",      "account_name": "Abebe Bikila ",      "bank_code": 128,      "account_number": "0123456789",      "split_value": 0.2,      "split_type": "percentage"  }  headers = {      'Authorization': 'Bearer CHASECK-XXXXXXXXXXXXXXX',      'Content-Type': 'application/json'  }  response = requests.post(url, json=payload, headers=headers)  data = response.text  print(data)

If creating this account is successful we will return the subaccount id which you will need it when you initiate a transaction.

Initializing Split Payment

Subaccounts can be created via the Initialize Transaction API:

Endpoint https://api.chapa.co/v1/transaction/initialize

Method POST

• Authorization : Pass your secret key as a bearer token in the request header to authorize this call.

import requests  import json  url = "https://api.chapa.co/v1/transaction/initialize"  payload = {      "amount": "10",      "currency": "ETB",      "email": "abebech_bekele@gmail.com",      "first_name": "Bilen",      "last_name": "Gizachew",      "phone_number": "0912345678",      "tx_ref": "chewatatest-6663",      "callback_url": "https://webhook.site/077164d6-29cb-40df-ba29-8a00e59a7e60",      "return_url": "https://www.google.com/",      "customization": {  "title": "Payment for my favourite merchant",              "description": "I love online payments."          },          "subaccounts": {              "id": "ac2e6b5b-0e76-464a-8c20-2d441fbaca6c"          }      }      headers = {          'Authorization': 'Bearer CHASECK-XXXXXXXXXXXXXXX',          'Content-Type': 'application/json'      }            response = requests.post(url, json=payload, headers=headers)      data = response.json()            if response.status_code == 200 and data.get('status') == 'success':          checkout_url = data['data']['checkout_url']          print(f"Checkout URL: {checkout_url}")      else:          error_message = data['message']          print(f"Transaction initialization failed: {error_message}")          

Overriding the defaults

When collecting a payment, you can override the default split_type and split_value you set when creating the subaccount, by specifying these fields in the subaccounts item:

• split_type: The type of commision to charge for this transaction:
  • flat if you want to get a flat fee while the subaccount gets the rest, or
  • percentage if you want to get a percentage of the settlement amount.
• split_value: The amount to charge as commission on the transaction. It is important to match the split_value for example:

for example:

• to collect 3% from each transaction, split_type will be percentage and split_value will be 0.03.
• to collect 25 Birr from each transaction, split_type will be flat and split_value will be 25.

Here are some examples. In each of these transactions, For example if the whole amount paid is 100 ETB and Chapa fees are 6 ETB.

subaccounts: [
  {
    id: "3380b03b-1142-44b2-b6ab-9asec740fbe49",
    // If you want the subaccount to get 69 ETB only
    // Subaccount gets: 69
    // You get: 100 - 6 - 25 = 69
    split_type: "flat",
    split_value: 25,
  },
],

Keep in Mind!!!!

Knowing your vendors/sub-accounts is your responsibility and if there is any dispute or chargeback raised we will be taking it from your account and it will be reflecting in your image.

• Chapa fees are taken from you / customer.