Instant Payment Notification (IPN)

Instant Payment Notification (IPN) is a method used by online payment systems, like PayPal, to automatically inform merchants about the status of a transaction. When a customer makes a payment, the system sends an immediate message to the merchant’s website, confirming whether the payment was successful, pending, or failed. This allows businesses to update order statuses, deliver products, or take actions without manual intervention, ensuring a smooth and efficient transaction process. In essence, IPN helps keep both the buyer and seller informed in real-time about payment activity.