Payouts with TransferWise

Instructions on how to safely connect to TransferWise.

For hosts that are using TransferWise, this integration can be used to automate expense payment by providing a one-click solution for paying expenses.

After connecting your TransferWise account, users submitting new expenses will have access to a structured form for providing a valid bank account information and you will be able to pay those expenses automatically with the Pay with TransferWise button.

Fees

What are the fees involved?

The fees are charged by TransferWise and its value will vary with the currencies being and value being transferred. You can read more about TransferWise fees here.

Who pays these fees?

These fees are paid by the collective the expense was submitted for. This means that transactions in TransferWise will display the fees but that value will also be deducted from the collective balance in our platform as payment processor fee.

An expense submitted to Open Collective Engineering paid using TransferWise.

Limitations

  • Payments through TransferWise require a borderless account.

  • Payments should respect the fund amount you have accounted for in the platform.

    • You can't pay expenses if the budget accounted for the collective is not enough to cover the transfer expenses.

  • The host is still responsible for managing funds in TransferWise.

    • Transfers are funded with your host currency.

      • If your host is using USD, we're funding all your transfers with your USD balance despite the payee currency.

Connecting TransferWise

If you're already in the beta test group, you can follow these instructions:

  1. Open TransferWise website and login with your borderless account;

  2. Go to your settings menu in TransferWise;

  3. Select API tokens and then Add new token:

    • Name this token after Open Collective, this way you'll always remember where this is being used.

    • Set the token permission to Full access, we'll need that to create and fund transactions for your expenses.

    • As a security measure, make sure you whitelist the IPs: 54.173.229.200 54.175.230.252.

    • Click on Create token and then on Reveal key and __Copy the API key you generated.

  4. Now, open a new tab and go to Open Collective.

  5. Open your Host collective settings page and click in the Sending Money option in the menu.

  6. Paste the API Token you created in the TransferWise field and click connect;

  7. Now, back in TransferWise settings!

  8. Select API tokens and then Manage Public Keys:

  9. Add our public key clicking on Add new key:

    1. Click on Continue;

    2. If you have 2-step authentication activated, authenticate with your token;

    3. Name this key after Open Collective so you can easily track it.

    4. Download and attach our Public Key using right-click and Save As...;

    5. Click on Add Key.

  10. Lastly, we'll create a webhook to make sure transactions are updated in realtime, for that we'll return once again to your TransferWise settings page;

  11. Select Webhooks and then Create a new webhook:

    • Name this webhook after Open Collective.

    • Point it to our URL https://api.opencollective.com/webhooks/transferwise.

    • Select Transfer update events.

    • Click on Create webhook.

  12. Done! Now all your hosted collectives will be able to submit Bank Transfer expenses compatible with TransferWise and you'll be able to pay for it with one click.

    • Notice that this option will only be available for new expenses, expenses created before these steps are not structured as required by TransferWise and will need to be edited or recreated by the payee.

Reducing Risks

In order to reduce risks related to having an active API token that is able to create and fund transactions, we strongly suggest you to:

  1. White-list our fixed IPs when creating your API token.

  2. Activate the Two-Step Authentication in TransferWise.

  3. Keep just enough balance in TransferWise to pay your expenses.

    • This can be achieved by calculating the amount needed for the current payment cycle and transferring it beforehand.

Troubleshooting

  • Unable to fund transfer

    • Double-check if you have enough funds in your TransferWise balance, you'll be using the balance with the same currency of your OpenCollective account.

    • Make sure you added our Public Key to your account (steps 8 and 9 in Payouts with TransferWise).