How to Set Up Terms & Conditions for Disbursements | Guide

How to Set Up Terms & Conditions for Disbursements

Overview

DisburseCloud allows you to require customers to accept terms & conditions before they can select a payment method. This article explains how to configure T&Cs using After Payee Authentication Documents and Custom Documents, helping you choose the right approach for your business needs.

Understanding Document Types

After Payee Authentication Document

A default/general document that automatically appears for every payee after they authenticate via OTP.

Info
Key Characteristics:

  • Uploaded once, applies to all disbursements automatically
  • Shows after OTP verification, before payment method selection
  • No API configuration needed in disbursement calls
  • Best for company-wide standard terms

Custom Documents

NotesSupplementary documents
that appear alongside the After Payee Authentication document for specific disbursements.

Key Characteristics:

  • Must be linked to individual disbursements via API
  • Requires an After Payee Authentication document to be uploaded first
  • Best for payment-specific or variable terms
  • Can attach multiple custom documents to one disbursement

Warning
Critical Requirement ⚠️

Custom Documents cannot work independently. You must upload an After Payee Authentication document before using Custom Documents. Without a base After Payee Auth document, custom documents will not appear to payees.

Think of it this way:

  • After Payee Auth Document = Foundation (always shows when uploaded)
  • Custom Documents = Additional documents (show only when specified + foundation exists)

Option 1: After Payee Authentication Document Only

When to Use

✅ You have the same T&Cs for all payments
✅ You want simple, one-time setup
✅ You need a company-wide standard document
✅ You don't require different terms for different payment types

Info
How It Works

  1. Upload your T&Cs as an After Payee Authentication document (one time)
  2. The document automatically appears for every disbursement
  3. Payees must sign before selecting payment method
  4. No additional API configuration needed

Configuration Steps

Step 1: Upload Your Terms & Conditions

  1. POST /api/v1/documents/upload
  2. Authorization: Bearer YOUR_ACCESS_TOKEN
  3. Content-Type: application/json

  5. {
        "doc_type_id": 3,
        "name": "Standard Terms and Conditions 2025",
        "is_sign_required": true,
        "one_time_use": false,
        "pdf_base64":"base64_encoded_pdf_content"
        }
Response:
  1. { "document_uuid": "abc123-def456-ghi789" }

Step 2: Create Disbursements (No Changes Required)

  1. POST /api/v1/disbursements/create
       {
        "disbursement_uuid": "payment-001",
        "large_disbursement": false,
        "payees": [
            {
                "payee_type_id": 1,
                "amount": 500.00, "payee_uuid": "1234",
                "email": "customer@example.com",
                "first_name": "John",
                "last_name": "Doe",
                "address_one": "123 Main Street",
                "city": "Miami",
                "state": "FL",
                "zip_code": "33101",
                "phone": "3055551234",
                "delivery_options": {
                    "email": true,
                    "sms": false,
                    "direct_disburse": false
                },
                "allowed_payment_method_ids": [
                    1,
                    2,
                    3,
                    4,
                    5
                ] // No custom_document_ids needed } ] }

Notes
Payee Experience

  1. 📧 Receives disbursement email
  2. 🖱️ Clicks payment link
  3. 📱 Enters phone number
  4. 🔐 Enters OTP code to authenticate
  5. 📄 Sees Terms & Conditions document
  6. ✍️ Must digitally sign the document
  7. 💳 Chooses payment method (ACH, check, virtual card, etc.)
  8. ✅ Payment processed

Payment methods are locked until the document is signed.

Option 2: After Payee Authentication + Custom Documents


When to Use

✅ You have different T&Cs for different payment types
 ✅ You need additional terms for specific disbursements
 ✅ You want flexibility to vary terms per disbursement
 ✅ You have multiple agreement types (vendor terms, claimant releases, etc.)


How It Works

  1. Upload a general After Payee Authentication document (required base)

  2. Upload specific Custom Documents for different scenarios

  3. Link Custom Documents to disbursements using custom_document_ids

  4. Payees see and sign BOTH documents before payment selection

Configuration Steps

Step 1: Upload Base After Payee Authentication Document (Required)

  1. POST /api/v1/documents/upload

    {
      "doc_type_id": 3,
      "name": "General Payment Terms",
      "is_sign_required": true,
      "one_time_use": false,
      "pdf_base64": "base64_encoded_pdf_content"
    }

Step 2: Upload Custom Document(s):

POST /api/v1/documents/upload

{
  "doc_type_id": 4,
  "name": "Vendor Payment Agreement",
  "is_sign_required": true,
  "one_time_use": false,
  "pdf_base64": "base64_encoded_pdf_content"
}

Response:

json
{
  "document_uuid": "67hdgbd-doc-abc123"
}


Info
Store this document_uuid to use when creating disbursements.

Step 3: Create Disbursement with Custom Document
jsonPOST /api/v1/disbursements/create

{
    "disbursement_uuid": "vendor-payment-001",
    "large_disbursement": false,
    "payees": [
        {
            "payee_type_id": 1, "payee_uuid": "12345",
            "amount": 2000.00,
            "email": "vendor@example.com",
            "first_name": "Jane",
            "last_name": "Smith",
            "address_one": "456 Oak Avenue",
            "city": "Tampa",
            "state": "FL",
            "zip_code": "33602",
            "phone": "8135551234",
            "delivery_options": {
                "email": true,
                "sms": false,
                "direct_disburse": false
            },
            "allowed_payment_method_ids": [
                1,
                2,
                3
            ],
            "custom_document_ids": [
                "67hdgbd-doc-abc123"
            ]
        }
    ]
}

Payee Experience

  1. 📧 Receives disbursement email
  2. 🖱️ Clicks payment link
  3. 📱 Enters phone number
  4. 🔐 Enters OTP code to authenticate
  5. 📄 Sees TWO documents:
    • . General Payment Terms (After Payee Auth)
    • . Vendor Payment Agreement (Custom Document)
  6. ✍️ Must sign BOTH documents
  7. 💳 Chooses payment method
  8. ✅ Payment processed
Document Type IDs Reference:
doc_type_id

Document Type
Description
1
ACH
ACH authorization document
2
Auth Party Approval
Authorization party approval document
3
After Payee Authentication
Default document shown after OTP verification
4
Custom
Supplementary documents for specific disbursements

PDF Requirements

  • Format: base64_encoded_pdftent
  • Signature: Set is_sign_required: true to require digital signature
  • Reusability: Set one_time_use: false to reuse across multiple disbursements
Info
All Documents and One-time: false Custom Documents will appear in under Field and Docs


  • Troubleshooting

    Custom Documents Not Appearing

    Issue: Payee doesn't see custom documents during payment flow

    Cause: No After Payee Authentication document uploaded

    Solution: Upload an After Payee Authentication document (doc_type_id: 3) first. Custom documents require this base document to function.

Info
After Signed by Payee Document, you can find signed document under Disbursements->View-> Document Tab




    • Related Articles

    • #How to Reset Your Password

      ## Steps Step 1: Go to the login page of DisburseCloud. Step 2: Click on “Forgot Password?” Step 3: Enter your registered email address. Step 4: Check your email inbox for the password reset link. Step 5: Click the link and set a new password. Step ...

    • How to Update a Disbursement with Documents

      Overview The Update Disbursement with Document API allows you to attach documents to an existing disbursement after it has been created. Documents can be attached as check attachments for postal checks or as custom documents requiring payee ...