---
title: "Setting Up PayPal Payment Gateway in ClearCRM"
description: "Easily connect your PayPal account to ClearCRM to let customers pay invoices online and track transactions automatically."
url: https://help.clearcrm.com/en/articles/12521677-setting-up-paypal-payment-gateway-in-clearcrm
collection: "Settings"
updated: 2026-06-16
language: en
---

# Setting Up PayPal Payment Gateway in ClearCRM

Easily connect your PayPal account to ClearCRM to let customers pay invoices online and track transactions automatically.

## Why Enable PayPal in ClearCRM

PayPal allows you to receive payments securely and instantly from clients around the world. By activating it in ClearCRM, your customers can complete invoice payments directly from the invoice page, while you track all transactions from a single dashboard.

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## Where to Find PayPal Settings

To set up PayPal, go to:  
**Setup → Settings → Payment Gateway → PayPal (tab)**

You’ll see the following settings:

-   **Active:** Select YES to enable PayPal as a payment option (default is No).
    
-   **Label:** The display name for PayPal on your invoice payment options.
    
-   **Fixed Fee:** A static fee per transaction (optional).
    
-   **Percentage Fee:** A percentage-based fee on the invoice total (optional).
    
-   **PayPal API Username:** Your PayPal API username.
    
-   **PayPal API Password:** Your PayPal API password.
    
-   **API Signature:** Your PayPal API signature (explained below).
    
-   **Gateway Dashboard Payment Description:** Text that appears in your PayPal dashboard for each payment (default: “Payment for Invoice {invoice\_number}”).
    
-   **Currencies (comma-separated):** Allowed currencies, such as `EUR,USD`.
    
-   **Enable Test Mode:** Enables PayPal Sandbox for testing (YES by default).
    
-   **Selected by Default on Invoice:** Whether PayPal is pre-selected on invoices (YES by default).
    

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## How to Set Up PayPal Integration

## Step 1: Activate PayPal Gateway in ClearCRM

1.  In **Setup → Settings → Payment Gateway → PayPal**, toggle **Active** to **Yes**.
    
2.  Fill in the **Label**, such as _PayPal_, to appear on your invoices.
    
3.  Leave **Fixed Fee** and **Percentage Fee** as `0` unless you want to charge additional processing fees.
    

## Step 2: Retrieve Your PayPal API Credentials

1.  Log in to your **PayPal Dashboard**.
    
2.  Click your **profile icon** in the top-right corner.
    
3.  Select **Account Settings** from the dropdown.
    
4.  You’ll land on the **Account Access** tab by default.
    
5.  Under **API access**, click **Update**.
    
6.  Scroll down to **NVP/SOAP API Integration (Classic)** and click it.
    
7.  A pop-up titled **Request API Credentials – PayPal** will appear. It explains:
    
    ```javascript
    API credentials consist of: 
    - API username 
    - API password 
    - API signature or SSL client-side certificate
    ```
    
8.  Choose **Request API signature** (selected by default), then click **Agree and Submit**.
    
9.  PayPal will now display your **API Username**, **API Password**, and **Signature**.
    

## Step 3: Enter Credentials in ClearCRM

1.  Copy each credential from PayPal.
    
2.  Paste them into the corresponding fields in ClearCRM:
    
    -   PayPal API Username
        
    -   PayPal API Password
        
    -   API Signature
        
3.  Optionally edit the **Gateway Dashboard Payment Description** if you want a custom message (e.g., _Payment for Order {invoice\_number}_).
    

## Step 4: Switch from Test Mode to Live

-   By default, **Enable Test Mode** is set to **Yes**, meaning ClearCRM uses PayPal’s sandbox environment for safe testing.
    
-   Once your credentials are verified and ready for real transactions, toggle **Enable Test Mode** to **No** to go live.
    

## Step 5: Save and Verify

-   Click **Save Changes**.
    
-   Open an invoice to confirm that **PayPal** appears as a payment option.
    
-   Test a small payment to ensure successful redirection and confirmation.
    

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## Notes and Best Practices

-   Only **one PayPal account** can be linked at a time.
    
-   Use **sandbox mode** to safely test integration before activating live payments.
    
-   Always ensure the **currencies** listed in ClearCRM match your PayPal account’s supported currencies.
    
-   For consistency, label your gateway simply as “PayPal” unless your company requires a branded variation.
    

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## Summary

That’s it — you’ve now successfully connected PayPal with ClearCRM! Your customers can conveniently pay their invoices using PayPal, and every transaction will be automatically logged in your system for smoother bookkeeping and faster payment tracking.