To be able to charge the users of your auction site, you need to have a Paypal account set up.

From your PHPauction administration back-end, under the SETTINGS tab, ( PayPal E-mail Address option) the only thing you have to do is to fill in the e-mail address you chose as your Paypal e-mail account address.

When a user goes to the Paypal web site to pay one of the fees you set up, Paypal returns the transaction's information to a PHPauction script which is responsible for updating the database tables according to the outcome of the transaction. This script is notification.php and is stored in the main directory of the PHPauction distribution.

Before you can begin taking payments, you must tell Paypal where this script is:

• Go to Paypal site
• Log in
• Go to your My Account page
• Choose Preferences
• Choose Instant Payment Notification
  Preferences
• Click on the Edit button
• Activate the Instant Payment Notification Option
• in the url field write the complete path to notification.php in your PHPauction installation.
  I.e. if you installed PHPauction at http://www.yoursite.com/ the Instant Payment Notification URL will be http://www.yoursite.com/notification.php