Credits and Free Payouts
Information on RazorpayX Credits and Free Payouts.
Usually, when you make a payout from your RazorpayX account, you are charged fees and taxes, which is deducted from your account balance. Know more about RazorpayX Billing - Fees and Taxes.
RazorpayX offers Free Credits and Free Payouts. When available, these are used to pay the fees and tax associated with a payout. As these are assigned at an account level, they are used irrespective of who creates the payout on your team.
Each payout made from your account has fees and tax associated with it. Normally, these are deducted from your account balance. When you have Credits in your account, fees and tax are deducted from your Credits instead.
- 1 Credit = ₹1.
- Credits do not expire.
Assume you have an account balance of ₹1,00,000. You make 10 payouts, each of ₹5,000. The fees and tax for each payout amount to ₹10.
- Without Credits: Your account balance reduces to ₹49,900.
- With Credits: Your account balance reduces to ₹50,000. The fees and tax amounting to ₹100 is deducted from your Credits.
To view the number of Credits in your account from your Dashboard:
- Log into your RazorpayX Dashboard.
- Navigate to My Account and Settings → Credits.
You are given free payout based on your plan.
- RazorpayX Basic plan
- 300 Free Payouts
- Applicable to payouts made using your virtual account only.
- RazorpayX Pro plan
- 500 Free Payouts
- Applicable to payouts made using your current account only.
- Payouts made using your virtual account will be charged.
When available, Free Payouts will be used to process payouts. When a Free Payout is used, only the payout amount is deducted from your account balance. You are not charged any fees and tax (neither from your account balance nor from your Credits).
- Free Payout are credited to your account at the beginning of the month.
- Free Payouts expire at the end of the calendar month. They are not carried over.
- Free Payouts are allotted on an account level. They are applicable only to the allotted account. They cannot be transferred to another account.
Assume you have an account balance of ₹1,00,000 and want to make 10 payouts each of ₹5,000. The fees and tax for each payout is ₹10. You have 10 Free Payouts.
After you make all 10 payouts:
- Free payouts remaining will be 0.
- Your account balance is ₹50,000. No fees and tax has been deducted since these are Free Payouts. Only the payout amount has been deducted from your account balance.
The fee_type column in the various payout reports helps you identify when Credits or Free Payouts were used. The fee_type column shows:
free_credits - When Credits were used to pay the fees and tax for a payout.free_payout - When a Free Payout was used.