What is the difference between the following payment actions?

  • Authorization
  • Sale
  • Order

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Authorization Approves the purchase, but puts a hold on the funds. The amount is not withdrawn until it is “captured” by the merchant.

Sale The amount of the purchase is authorized and immediately withdrawn from the customer’s account.

Order The amount of the order is neither captured nor authorized in the customer’s balance, bank account, or credit card at PayPal. The Order payment action represents an agreement between the PayPal payment system and the merchant, which enables the merchant to capture one or more amounts up to the “ordered” total from the customer’s buyer account, over a maximum of 29 days. After the funds are “ordered,” the merchant can capture them at any time during the following 29 days. Capturing of the order amount can be done only from the Magento backend, by creating one or more invoices.

  • There is one more option "Order" in "Payment Action". What is it?
    – Paul
    Jul 29 '16 at 5:11
  • Check my edited answer
    – Arjun
    Jul 29 '16 at 5:23
  • Explanation of "Order" payment is a good one; however, can you also provide a reference for where you learned this information? Suggested reference (though for M1): docs.magento.com/m1/ce/user_guide/payment/… Jun 6 '17 at 17:12
  • What do those mean as far as magento? i.e. do any of them auto-invoice the order?
    – Scott
    Apr 13 '18 at 21:08
  • 2
    A year after my first comment (haha), here's the official M2 docs: docs.magento.com/m2/ce/user_guide/payment/… (see Step 4: Complete the Basic Settings) Aug 30 '18 at 16:34

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