Prerequisites
- An active PayPal Business account
- A domain you own
- Access to your DNS provider’s management console. DNS (Domain Name System) is the system that maps domain names to servers and stores records like TXT and CNAME. Common providers include Route 53, Cloudflare, GoDaddy, or equivalent.
- Check your domain settings to see if you have permission to add TXT and CNAME records.
Additional info: A TXT record is a note attached to your domain, often used for verification and security. A CNAME record is a nickname that points a domain name to another domain name.
Create a subdomain
A subdomain is a prefix added to your domain. It is configured through DNS records, not purchased separately. If you already have a subdomain, you can skip the following steps.- Log in to your DNS provider’s dashboard and navigate to DNS Records or Zone Editor for your domain.
- Add a new DNS record with the following fields:
| Field | Value |
|---|---|
| Type | A, AAAA, or CNAME depending on your setup |
| Name / Host | Your desired subdomain prefix, such as api, staging, or docs |
| Value / Points to | The IP address or hostname of the server handling the subdomain |
| TTL | 300 (5 min) for testing or 3600 for production |
- Choose the right record type for your setup:
- A record points the subdomain to an IPv4 address
- AAAA record points the subdomain to an IPv6 address
- CNAME record points the subdomain to another hostname
Step 1: Add your subdomain
- In the PayPal dashboard, select Invoicing > Settings > Domain.
- Select Get Started.
- Enter your subdomain.
- Enter a sender email prefix. Common choices include
billing,invoices,noreply. A preview of your full sender address appears as you type. - Select Continue.
Note: Replies to invoice emails go to your PayPal-registered business email address, not to the custom sender address. No functioning inbox is required on the custom domain.
Step 2: Configure DNS records
After you submit your domain, PayPal displays the required DNS records on the DNS configuration page. Add all three records to your DNS provider before starting the verification process. PayPal uses the following three email authentication standards to verify your domain:| Record | Type | Purpose |
|---|---|---|
| Sender Policy Framework (SPF) | TXT | Authorizes mail servers to send email on behalf of your domain |
| DomainKeys Identified Mail 1 (DKIM) | CNAME | Adds a digital signature to emails so recipients can verify they weren’t tampered with |
| DKIM 2 | CNAME | Provides a backup DKIM key for continued email authentication |
Tip: If another person manages your DNS settings, download the PDF generated for your domain from the DNS configuration page and share it with them. The PDF includes your domain’s DNS records and setup instructions. The PDF includes your domain’s DNS records and setup instructions.
- Add the SPF record
- Add the DKIM CNAME record
- Add a DMARC policy
- Check whether an SPF record already exists for your subdomain. SPF records are TXT records that follow this format:
v=spf1 include:_spf.google.com ~all. - If no SPF record exists, create a new TXT record using a hostname and the SPF value shown on the DNS configuration page.
- If an SPF record already exists, do not create a new one. Only one SPF record is allowed for a subdomain. Instead, update the existing record with the new value shown on the DNS configuration page.
Step 3: Verify and activate
Once you’ve added all the DNS records, return to your PayPal dashboard to verify ownership and activate your domain.- In the PayPal dashboard, select Invoicing > Settings > Domain.
- Select Verify Domain.
Important: Do not delete your DNS records after verification. PayPal revalidates them regularly. If a record goes missing, custom sending is suspended, and emails revert to service@paypal.com until the records are restored.
Verification status
After selecting Verify Domain, your domain enters one of the following states:| Status | Description |
|---|---|
| Setup incomplete | Domain registered is awaiting DNS configuration and verification. |
| Verifying | Verification in progress can take up to 72 hours. |
| Verified | All DNS records confirmed. Activate domain. |
| Error | One or more checks failed. Review per-record status, correct the records, and verify again. |
After activation
When your domain is active, all buyer-facing invoice emails are sent from your custom sender address automatically. No additional configuration is required.- Sender address: Emails are sent from
{prefix}@{domain}. For example, if your domain isinvoices.acme.comand your prefix isbilling, emails are sent frombilling@invoices.acme.com. - Reply-to: Buyer replies go to your PayPal-registered business email address, not the custom sender address.
- CC recipients: CC’d recipients see the custom domain as the sender.
Manage your domain
Update your sender prefix, deactivate your domain, or switch to a different domain.
Troubleshooting
Resolve verification failures, bounce issues, and DNS configuration errors.