What is the difference between settlement and payout methods?

Withdrawal methods fall into two categories:

Settlements: The payment methods that allow you to withdraw funds to accounts registered under your business name or your company’s pooled accounts. Settlements require prior verification of the recipients’ details (documents confirming that the accounts belong to your company).

Payouts: The payment methods that allow you to withdraw funds to external accounts not registered under your business name. They enable single and bulk operations through the API and do not require the prior verification of the recipient’s details to confirm account ownership.