Refersion Pay FAQ

Get answers to commonly asked questions about Refersion Pay

Shakima avatar
Written by Shakima
Updated over a week ago

Important Note: This feature is no longer being offered to new clients. Please reference either our PayPal Payouts integration or our Trolley integration as alternatives.

Table of contents:

General Information

What is Refersion Pay?

Refersion Pay is a way for brands to automate commission payments and tax management for their affiliate program.

What are the benefits of using Refersion Pay over other payment methods?

Refersion Pay provides an end-to-end system for collecting tax forms from affiliates to automate 1099 distribution. For all approved conversions, monthly commission payments are automatically distributed to your affiliates, which will strengthen your relationship with your network and instill trust. Your program will also stand out to other affiliates and premium publishers who prefer to work with brands who offer Refersion Pay.

How do I know if my business is eligible to use Refersion Pay?

Businesses that are registered in the US, with a US-based bank account and who pay their affiliates in USD are eligible to use Refersion Pay.

Can I use Refersion Pay if our business’s parent company is registered internationally but uses a US bank account for affiliate payments?

Not at this time. Only businesses registered within the US can participate in Refersion Pay. An exception would be if your parent company is based internationally, but your specific business is registered to operate as a US company either as a subsidiary of the parent company or as a separate entity.

Are there certain business categories that are unable to participate in Refersion Pay?

While we try to support as many businesses as we can, there are certain business categories that are not eligible to participate in Refersion Pay. These include but are not limited to:

  • CBD, THC, or kratom-based products

  • Tobacco, vape, and Nicotine products

  • Gambling, online casinos, and shell banks

  • Weapons, ammunition, explosives, and firearms

  • Adult Entertainment services and/or sales

  • Content pirating services

  • Credit repair services

  • MLM/pyramid schemes

  • Surrogacy services

  • Tattoo Parlors

  • Any business involved in illegal activity or the sale of illegal goods

If you have questions about your business's eligibility, send an email to [email protected], and we'd be happy to chat.

Terms you should be familiar with when signing up:

  • Rapyd: A company that Refersion partners with to help facilitate direct payments to affiliates via ACH.

  • KYB, or “know your business”: In order to use Refersion Pay you need to go through a KYB (Know Your Business) process, which is required by our partner Rapyd in order to verify your business.

  • Tax Bandits: A company that Refersion partners with for the collection and distribution of tax forms (W-9, W8-BEN, 1099’s, etc.).

Know Your Business (KYB)

How long is the KYB process?

The process can take between 1 - 3 weeks. After you complete the KYB form, it'll need to be reviewed by our partner Rapyd's compliance team for verification and approval. If there are missing documents or questions about your business, this may cause a delay in the processing of your application.

Our team will be there to help communicate any missing requirements and submit those for verification on your behalf. We'll send you an email once the verification process has started and another email once it’s completed.

What kind of information will I need to provide about my business on the KYB form?

The KYB form asks for general business information such as your business's legal name (i.e., Acme Co Inc.), business address, description, and website URL.

In addition, the form also asks for information about the individuals owning your company (above a certain ownership percentage threshold) as well as the person or people that manage Refersion and Refersion Pay for your account.

What should I put for the “registration number” field on the business details section of the KYB form?

US merchants can enter their Federal EIN number in this field. (IRS EIN Info)

What types of documents will I need to provide during the KYB verification process?

The exact documents you'll need to provide will vary based on your business structure (see chart below).

At a minimum, all businesses will need to provide a signed "Proof of Ownership" attestation document confirming the ownership structure of the company as well as identification for any individuals who own 25% or more of the company.

** Please reach out to your onboarding specialist or the customer success team for a copy of the attestation document template.

Entity Type

Proof of Ownership

ID Requirements

Sole Proprietorship

Signed attestation document, attesting he/she is the sole owner, including owner's title and/or Business Registration number (EIN).

ID copy for the individual owner of the Sole Proprietorship.

Partnerships (LP, LLPs)

Partnership Agreement

ID Copies of ALL partners

Limited Liability Company (LLCs)

Articles of Organization, Ownership Chart, and signed attestation document.

ID Copy of all UBOs (Ultimate Beneficial Owner(s)) who own 25% or more of the company.

ID Copy of Directors/authorized signatory(ies)

Corporations (Inc., C-Corp, etc.)

Articles of Incorporation, Ownership Chart, and signed attestation document.

For companies with a more complex ownership structure, submit a signed cap table.

ID Copy of all UBOs (Ultimate Beneficial Owner(s)) who own 25% or more of the company.

ID Copy of Directors/authorized signatory(ies)

What are suitable forms of ID for confirming the identities of individuals who own part or all of the company?

Passport, Drivers License/State issued ID.

Why do I need to provide IDs and a breakdown of my company's ownership?

Using a service that transfers money for you is a heavily regulated business in the US, and the KYB is a verification standard that confirms the legal status of a company and its compliance with Anti-Money Laundering and other regulations. KYB procedures include ultimate beneficial ownership (or UBO) as a transparency mechanism. Establishing UBO allows revealing who is directly benefiting from the business profits. In essence, KYB makes it harder for criminals to disguise illegitimately obtained funds as income.

Who is the best person from my company to complete the KYB form?

We suggest having a registered agent, CEO, or shareholder complete the KYB form.

Payments & Tax

How often are funds withdrawn from my bank account and added to the e-wallet used to pay the affiliates?

Refersion will make a withdrawal from your bank account once a week on Friday mornings EST to fund the e-wallet. The funds are held in the e-wallet until it's time to pay the affiliates.

Can I pay some affiliates with Refersion Pay and others via another payment method such as a check or gift card?

Yes. Affiliates will be able to sign up for Refersion Pay once it is enabled for your account, and once they have signed up, they will only be able to receive payments through Refersion Pay.

However, affiliates that do not sign up for Refersion Pay will still be able to receive payment via other methods. This of course ensures that the appropriate payment method will still be available for any affiliates that are not US-based, do not have a US bank account or are not paid in USD.

If any of your affiliates signed up for Refersion Pay that should not have - or if they would no longer like to participate - please reach out to the Customer Success team at [email protected] to revert their enrollment.

What if a payment fails to be processed for an affiliate?

You can navigate to Payments > Payment Status in Refersion and click Retry to have Refersion process the failed payment again. The payment will be attempted again the following business day.

What if I want to change the monthly payment date for Refersion Pay?

You can navigate to Account > Payment Methods to update your monthly payment date. Future payments will be paid out on the new monthly payment date. Any payments already in queue to go out within the current month will not be amended and will go out as originally scheduled.

Please note: Changes to the monthly payment date setting are only allowed once every 30 days.

What happens if money fails to be withdrawn from my account?

The first time after a failed withdrawal attempt, you will receive an email prompting you to verify that you have sufficient funds in your bank account in order to continue using Refersion Pay. A notification will also be displayed on your dashboard when logging into Refersion.

You’ll need to ensure your account has appropriate funds within 24 hours of the notice. If a second attempt to withdraw funds from your bank account fails on a subsequent day, your Refersion Pay features will be disabled, and future pending conversions will not be added to Refersion Pay.

You’ll receive an email when this occurs, and you’ll need to reach out to our Customer Success team at [email protected] to have your Refersion Pay features re-enabled.

What if I want my funds refunded to my bank account after they have been withdrawn?

You can request a refund for specific withdrawals by going to Account > Refersion Pay Wallet. When you press the button to request a refund, our team will be notified, and we’ll get in touch with you when your request has been completed.

Will payments made to affiliates before enrolling in Refersion Pay be included on 1099 forms at the end of the year?

Only payments made to affiliates after they joined Refersion Pay will be included on any auto-generated 1099’s. If you need other payments to be included on this document, please reach out to our team for assistance at [email protected].

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