> For the complete documentation index, see [llms.txt](https://docs.xtrakit.com/llms.txt). Markdown versions of documentation pages are available by appending `.md` to page URLs; this page is available as [Markdown](https://docs.xtrakit.com/overview/payments/payout/initiate-payout.md).

# Initiate Payout

This endpoint performs the following actions:

* Validates and resolves the account holder's name for both bank accounts and MTN Mobile Money numbers.
* Creates and logs the transaction, preparing it

### Initiate remittance transaction

## Endpoint

<mark style="color:$warning;">**`POST`**</mark> `https://api.xtrakit.com/api/v1/payout/initiates`

## Headers

`Authorization: Bearer API_KEY`

## **Request Body**

{% tabs %}
{% tab title="MoMo Payout" %}

```php
//sample payout initiation request
//A. Mobile Money Payout (MoMo)
{
  "business_code": "YOUR_BUSINESS_CODE",
  "amount": 100.00,
  "currency": "GHS",
  "type": "momo",
  "payment_method_id": "MOMO_MTN",
  "payment_details": {
    "recipient_name": "Kofi Mensah",
    "account_number": "0240000000",
    "phone_number": "0240000000",
    "narration": "Payout for services"
  }
}


```

{% endtab %}

{% tab title="Bank Payout" %}

```php
//sample payout initiation request
// B. Bank Account Payout (GhIPSS Instant Pay)
{
  "business_code": "YOUR_BUSINESS_CODE",
  "amount": 500.00,
  "currency": "GHS",
  "type": "bank",
  "payment_method_id": "BANK",
  "payment_details": {
    "recipient_name": "Ama Serwaa",
    "account_number": "1023456789012",
    "bank_code": "300304",
    "phone_number": "0240000000",
    "narration": "Vendor invoice settlement"
  }
}
```

{% endtab %}

{% tab title="Error" %}

```json
{
    "status": 401,
    "error": "Unauthorized: Missing Bearer Token"
},

{
    "status": 401,
    "error": "Unauthorized: Invalid API Key"
}
```

{% endtab %}
{% endtabs %}

| Parameter                        | Type     | Required | Description                                                                 |
| -------------------------------- | -------- | -------- | --------------------------------------------------------------------------- |
| `business_code`                  | `string` | **Yes**  | Your business unique code from the merchant dashboard                       |
| `amount`                         | `number` | **Yes**  | Amount to send (minimum `1.00`)                                             |
| `currency`                       | `string` | No       | Currency code (defaults to `GHS`)                                           |
| `type`                           | `string` | **Yes**  | Target type: `momo` or `bank`                                               |
| `payment_method_id`              | `string` | **Yes**  | Method ID e.g. `MOMO_MTN`, `MOMO_TELECEL`, `MOMO_AT`, or Bank code `300304` |
| `payment_details`                | `object` | **Yes**  | Recipient and destination details                                           |
| `payment_details.recipient_name` | `string` | **Yes**  | Full name of the recipient / account holder                                 |
| `payment_details.account_number` | `string` | **Yes**  | Destination Mobile Money number or Bank account number                      |
| `payment_details.phone_number`   | `string` | No       | Recipient phone number (for SMS notification)                               |
| `payment_details.bank_code`      | `string` | No       | Bank routing code (required if `type` is `bank`, e.g. `300304` for GCB)     |
| `payment_details.narration`      | `string` | No       | Reason or note for the payout (e.g. `Payout for Invoice #102`)              |

## Sample Response

{% tabs %}
{% tab title="Success" %}

```json
//sample initiate payout momo payout response
{
    "status": "000",
    "data": {
        "transaction_id": "PAYOUT-K9F2L9P0X1",
        "interpay_trans_ref_no": "987654321",
        "business_code": "YOUR_BUSINESS_CODE",
        "amount": "100.00",
        "fee": "1.00",
        "currency": "GHS",
        "status": "pending",
        "created_at": "2026-08-22T11:15:00.000000Z"
    },
    "message": "Payout initiated and is being processed"
}
```

{% endtab %}

{% tab title="Error" %}

```json
{
    "status": 401,
    "error": "Unauthorized: Missing Bearer Token"
},

{
    "status": 401,
    "error": "Unauthorized: Invalid API Key"
}
```

{% endtab %}
{% endtabs %}