Instant Payouts API for Marketplaces: Guide for Merchants

For any marketplace, freelance, e-commerce, transport, or services – speed and reliability are key. And nowhere is that more important than in payouts. Fast, consistent payments build trust with your users and keep them coming back.

In this post, we’ll explain what an instant payout API is, how it works for marketplaces, and the benefits it brings. We’ll also show how Noda makes payouts easier with one streamlined API for both bank and card transfers—giving your users quick, secure access to their earnings.

What is an Instant Payout API?

An instant payout API is a payment technology that allows businesses to send money in real-time to a recipient’s bank account or debit card.

For marketplace platforms, this means you can pay sellers or service providers moments after a transaction is confirmed, without waiting for traditional settlement periods.

How does an Instant Payout API work?

The API serves as a secure bridge between your platform and financial networks. For bank payouts, it connects to systems like Faster Payments (UK), SEPA Instant (EU), and Pix (Brazil). For card payouts, it integrates with schemes such as Visa Direct and Mastercard Send. Once a payout is triggered, the API handles the request by:

• Verifying the recipient’s bank or card details
• Authorising the transaction
• Sending the funds in real time

All of this happens behind the scenes, with minimal input required from your side after setup. The result is a streamlined, automated process that reduces manual work and improves the payout experience.

For your users, it means faster access to their earnings. For your platform, it means better retention, fewer support queries, and a more competitive offering.

How does an Instant Payout API work for marketplaces?

This all happens automatically, without your team needing to manually review or approve each transaction.

The API integrates with your marketplace’s backend via REST endpoints or software development kits (SDK), enabling secure programmatic payouts. Some solutions also provide a dashboard for manual payout tracking and reporting.

Real-time payout APIs are built to work 24/7, including weekends and holidays, making them especially useful for fast-moving platforms with global reach.

Benefits of using an Instant Payout API for marketplaces

Payout Solutions for Marketplace Platforms

With e-commerce expected to reach 97.25% penetration in the UK by 2029, marketplaces can’t afford to lag on payouts. Users expect speed, flexibility, and security – and your payout infrastructure plays a direct role in satisfaction and loyalty. Most platforms adopt multiple methods to meet different user needs, such as:

Bank Payouts

Bank transfers are a go-to for most marketplaces – but traditional methods often mean delays, manual work, and added costs. Real-time bank payouts offer a smoother way to send money directly to users' accounts, instantly.

Noda’s Bank Payouts solution is built for marketplaces managing B2C cash flows at scale. Whether you're paying sellers, drivers, freelancers, or content creators, Noda simplifies and accelerates your payout process with smart, secure infrastructure.

• Real-time payouts via supported instant schemes, with high acceptance rates and no recipient fees
• Balance netting lets you use incoming pay-ins to fund payouts instantly – avoiding extra bank transfers and maintaining a healthy cash flow
• Free for recipients, as bank-to-bank transfers come at no cost to users – unlike some card or wallet systems that may apply fees
• KYC via open banking replaces manual document checks with instant, seamless payee verification

Noda’s Bank Payout system is designed to remove the bottlenecks in traditional banking, giving you full control, faster delivery, and a smoother experience for your users.

Card Payouts

Card payouts are a great solution for marketplace users who want faster access to earnings but don’t always rely on a bank account. From gig workers to casual sellers, many prefer funds sent straight to their debit cards, especially in regions with high card usage.

Noda makes Card Payouts fast, global, and easy to manage. With advanced routing and global coverage, marketplaces can deliver funds instantly while keeping costs low and operations streamlined.

• Push-to-card transfers sent directly to debit cards – ideal for freelancers, sellers, or gig workers without a linked bank account
• AI-driven transfer routing, optimising each payout for speed and cost-efficiency
• Smart routing engine ensures each transaction takes the fastest and most cost-effective route to your user’s card
• Integrate quickly with Noda's developer-friendly API and front-end components, allowing your platform to offer card payouts in hours, not weeks

For marketplaces that need to scale B2C card payouts across multiple regions, Noda offers a ready-to-deploy solution that combines reach, reliability, and real-time delivery.

What to look for in a marketplace payment API with Instant Payout

Running a marketplace means juggling a lot, but payouts shouldn’t be one of the stress points. Choosing the right instant payouts API can simplify your backend, build user trust, and reduce support tickets.

Here’s what to look for in a marketplace-ready payment API:

• Speed – True real-time payouts are essential. Solutions offering “same-day” processing may still involve delays that impact user experience
• Coverage – Ensure the API supports your key markets, currencies, and preferred payout methods (bank transfers and cards), so you can serve users globally without limitations
• Scalability – As your marketplace grows, the solution should scale effortlessly, handling high-volume payouts across multiple user types without disruption
• Security & Compliance – Choose a provider that meets all relevant standards, including GDPR, PSD2, and PCI DSS, to ensure secure transactions and regulatory compliance
• Developer Experience – Choose a solution that makes it easy to integrate instant payout features with clear documentation, sandbox testing, and a user-friendly dashboard to save your team valuable time

Improving seller experience starts with Instant Payouts

Marketplace platforms grow by delivering value – not just to customers, but to sellers and service providers too. One way to do that is by offering fast, seamless payouts. With real-time payout infrastructure in place, your platform can reduce payout delays, streamline operations, and improve seller retention.

An instant payout API like Noda helps you manage this with ease, so you can focus on growth, while sellers enjoy a smooth, reliable payout experience.

Ready to upgrade your payouts? Talk to us about integrating Noda.