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Connector · Online payments platform

PayPal MCP Server & Agent Skill

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ibl.ai publishes a free PayPal agent skill: a SKILL.md that teaches an AI agent to read and write PayPal data and expose it as an MCP tool. Download it, connect your own PayPal credentials, and run the agent on ibl.ai Agentic OS, where you own all the code and the data.

Online payments platform. A PayPal business account holds orders and captured payments, refunds, invoices, disputes, subscriptions, product catalog entries and transaction reports.

What is the PayPal API, and what can an agent read from it?

REST APIs for checkout orders (create, authorize, capture), payments and refunds, invoicing, disputes, subscriptions, catalog products and transaction reporting.

  • API: PayPal REST APIs (Orders v2, Invoicing v2 and others) (REST)
  • Access: Public, self-serve
  • Base URL: https://api-m.paypal.com (sandbox: https://api-m.sandbox.paypal.com)
  • Authentication: OAuth 2.0 client credentials

Any developer logs into the PayPal Developer Dashboard, opens Apps & Credentials, and creates a REST app to get a client ID and secret. Sandbox business and personal test accounts come with the dashboard.

POST the Base64-encoded client ID and secret to /v1/oauth2/token with grant_type=client_credentials to get a bearer access token. Cache and reuse the token until it expires instead of requesting one per call.

What can an agent read from PayPal?

  • Order details — GET /v2/checkout/orders/{id} shows an order's status, amounts and payer.
  • Invoices — GET /v2/invoicing/invoices lists invoices; POST /v2/invoicing/search-invoices filters them.
  • Disputes — Disputes API lists and shows customer disputes and their status.
  • Transaction reports — Reporting tools list transactions for a date range.

What can an agent write to PayPal?

  • Create order — POST /v2/checkout/orders creates an order for the payer to approve.
  • Capture payment — POST /v2/checkout/orders/{id}/capture captures payment for an approved order. Confirm with the user first.
  • Create draft invoice — POST /v2/invoicing/invoices creates a draft invoice.
  • Send invoice — POST /v2/invoicing/invoices/{invoice_id}/send sends or schedules the invoice to the customer. Confirm with the user first.
  • Cancel invoice — POST /v2/invoicing/invoices/{invoice_id}/cancel cancels a sent invoice. Confirm with the user first.

Limits: PayPal does not publish a rate-limit policy; it may temporarily limit traffic that looks abusive and returns HTTP 429 RATE_LIMIT_REACHED. Avoid polling (use webhooks) and reuse cached OAuth tokens.

Holds PCI cardholder-related payment data and payer personal data (names, emails, shipping addresses). Captures, refunds and sent invoices move money or reach customers.

How do I connect PayPal to an AI agent over MCP?

PayPal publishes an official MCP server: PayPal MCP Server.

Remote at https://mcp.paypal.com (sandbox: https://mcp.sandbox.paypal.com) or run locally with an access token. Tools: invoices, orders, disputes, shipment tracking, catalog, subscriptions, reporting.

You can register that server on ibl.ai as it is, or use the SKILL.md below when you want the agent to call the PayPal REST APIs (Orders v2, Invoicing v2 and others) directly.

On ibl.ai an MCP connection is three records, and a working integration always needs all three:

  1. Register the server — POST …/mcp-servers/ with its URL, a transport (sse, websocket or streamable_http) and an auth_type of none, token or oauth2.
  2. Create a connection that holds the credential, scoped to the whole organization (platform), to a single agent, or to each user (user).
  3. Enable it on the agent — mcp-tool in tool_slugs and the server id in mcp_servers. Both lists are replaced, not merged, so read the settings first.

For an API key or a service credential, one token connection at platform scope serves the whole organization; scope a connection to a single agent when that agent needs narrower access than the rest.

The field reference is in MCP server connections, and the /iblai-api-agent-mcp skill runs all three steps from a coding agent.

What does the PayPal agent skill do?

The PayPal skill is one SKILL.md file named iblai-connect-paypal. It gives an agent the auth conventions, what to read, which writes need a person's confirmation, the ibl.ai MCP wiring, example prompts and guardrails.

Download the PayPal SKILL.md

Save it as .claude/skills/iblai-connect-paypal/SKILL.md, or in your agent's skills folder. The ibl.ai platform skills it calls come from one install:

$ npx skills add iblai/vibe --all

This connector skill is a starting point maintained on ibl.ai, not part of the iblai/vibe repository.

It was checked against PayPal's documentation on October 20, 2026. Test it against your own PayPal setup before you rely on it.

What can I ask a PayPal agent to do?

  • “List unpaid PayPal invoices older than 30 days with customer and amount”
  • “Create and send a PayPal invoice to sam@example.com for $275 of design work”
  • “Show the status of PayPal order 5O190127TN364715T”
  • “Which PayPal disputes are still open and when is each response due?”

How do I run a PayPal agent on ibl.ai?

Agentic OS is where the agent runs on ibl.ai: it holds the PayPal MCP connection, the model the agent uses, its instructions and its conversation history.

On ibl.ai you own all the code and the data, run it model-agnostic across any LLM, and pay with no per-seat pricing — so you can deploy anywhere, from your own cloud to a fully air-gapped network.

Which ibl.ai agents work with PayPal data?

Which ibl.ai platform skills does a PayPal agent use?

What else should I know before connecting PayPal to an AI agent?

Is there an official PayPal MCP server?

Yes. PayPal publishes PayPal MCP Server.

You can register it on ibl.ai as an MCP server, or use the SKILL.md when you want the agent to call the PayPal REST APIs (Orders v2, Invoicing v2 and others) directly.

Who can get PayPal API credentials?

Any developer logs into the PayPal Developer Dashboard, opens Apps & Credentials, and creates a REST app to get a client ID and secret. Sandbox business and personal test accounts come with the dashboard.

Does PayPal data leave my infrastructure when an ibl.ai agent uses it?

On ibl.ai, you own all the code and the data. Self-hosted in your cloud or data center, the agent, its MCP connections and its conversation logs stay inside your perimeter.

Because the platform is model-agnostic, you can point the agent at a model you host, so PayPal records need not reach a third-party model provider.

Is the PayPal agent skill free to use?

Yes. The SKILL.md is a free download with no sign-up. It assumes you already have PayPal credentials, and your agreement with PayPal still governs how you use its API.

Which other data sources can an AI agent connect to alongside PayPal?

Which other Small Business systems have a connector?

Which other Enterprise systems have a connector?

Every connector, grouped by sector, is on the connectors hub.