Understanding Direct Payments in TravelJoy

Direct Payments is one of the most powerful tools in your TravelJoy account. It lets you collect payments from clients, pay suppliers, and track your earnings—all in one place.

This guide will walk you through how Direct Payments work, key compliance rules, and best practices for managing funds securely.

Types of Invoices

In TravelJoy, you can create two types of invoices:

1. Direct Invoices

   • Charges a client’s credit card at the time they pay.

   • Funds are collected into a secure trip or group fund before being used to pay suppliers or withdrawn to your bank account.

2. Supplier Invoices

   • Collects a payment authorization to pay a supplier later.

   • No immediate charge to the client’s card.

Direct Payments power direct invoices, giving you more control and flexibility over your funds.

Common Uses for Direct Payments

Direct Payments make it easier to manage a variety of client transactions, such as:

• Charging planning fees

• Combining payments from multiple travelers to pay suppliers in lump sums (especially for group trips)

• Creating custom packages or adding markup to bookings

How Direct Payments Work

Here’s the basic workflow:

1. Client pays invoice → Their card is charged.

2. Funds go into a secure trip or group fund → Funds are there waiting for you to make payment or withdraw markup.

3. You pay suppliers from the fund → Cover trip costs before accessing profit.

4. Withdraw earnings → Once suppliers are paid, you can transfer your markup or planning fees to your bank account.

TravelJoy as the Merchant of Record

TravelJoy serves as the Merchant of Record for all Direct Payments. This means:

• TravelJoy officially processes the transaction.

• We ensure transactions comply with payment regulations.

• We take on liabilities and responsibilities, including compliance with Seller of Travel laws.

Following Seller of Travel Laws

Seller of Travel laws require that:

• Money collected from clients must be used to pay suppliers first before you withdraw any profit, such as commission or markup.

• The only exception is when you’re collecting a planning fee only.

Documentation Requests

To comply with Seller of Travel laws and protect both you and your clients, TravelJoy may occasionally request documentation related to your Direct Payments.

Common documentation requests include:

• Supplier contracts or invoices

• Proof of payment to suppliers (such as receipts or wire confirmations)

We ask for this documentation to verify that funds are being used appropriately and that your account remains in good standing.

Paying Suppliers

Funds collected via Direct Payments must be used through approved payment methods, such as:

• Virtual credit cards

• Wire transfers

• Reimbursements for prepaid supplier payments

Using secure and traceable methods protects your business and ensures regulatory compliance.

Chargebacks and Disputes

If a client files a chargeback:

• TravelJoy must hold the disputed funds until the credit card company completes its investigation.

• You are responsible for responding to the dispute and providing supporting documentation.

• The client’s credit card company makes the final decision, not TravelJoy.

TravelJoy will support you during the process but cannot control the outcome.

Getting Started

Direct Payments keeps your business organized, secure, and compliant—all while simplifying client transactions.

If you have questions or need assistance, our team is here to help:
hello@traveljoy.com