How To Setup IPN(Instant Payment Notification) in Paypal Account

Instant Payment Notification

Instant Payment Notification (IPN) is a message service that automatically notifies merchants by paypal for the transaction related events. Merchants can use this data for the further process of any order or other payment related action in his website.

How IPN works :

Merchants create a IPN data receiver page on their website and then this URL set in his paypal account. Paypal will send all the transaction related data on that given IPN URL. When any user place a order on merchant website and complete payment from paypal then after complete payment paypal send user transaction detail send on merchant IPN listner URL and merchant process user transaction data for user order on his website.

Setting Up IPN on PayPal

The below process describe how to setup IPN in your paypal accounts for sandbox and Live both. Please follow below instructions to set up your IPN listener in your account:

  1. Login into PAYPAL Account at below links :
    Live –
    Sandbox – is the paypal sandbox and live account login screen
    IPN(Instant Payment Notification)

  2. After login into your paypal account you will see below screen and click on Profile link which i have mention and highlighted in screenshot.
    IPN(Instant Payment Notification)

  3. After clicking on Profile link you will see below screen, on below screen first click on “My Selling Tools” link this link have in left side bar. and after clicking on My Selling Tools click on “Instant Payment Notification” feature update button. I have mention and highlighted in screen.
    IPN(Instant Payment Notification)

  4. After click “Update” button you will see Instant Payment Notification(IPN) Screen, please click on “Choose IPN Setting” button for setup IPN.
    IPN(Instant Payment Notification)

  5. After click on “Choose IPN Setting” button you will see “Edit Instant Payment Notification(IPN) Setting” page on this page you need to add your IPN Listener URL and also click on “Receive IPN Message(Enabled)” radio button which is i have mention and highlighted in screen. After adding URL and enable IPN Message click on “Save” button.
    IPN(Instant Payment Notification)

  6. After adding URL and enable message receiver button your IPN setting enabled and you will see below screen in below screen you will find your added url and enable/disable setting status.
    IPN(Instant Payment Notification)


This is a complete process for How To Setup IPN  in your paypal account for receiving payment notification on your IPN Listener page and process transaction.