Context

When attempting to initiate a transaction, you may receive an error message stating "To initiate a transaction, either the payer or the payee must undergo KYB verification." This occurs when at least one party involved in the transaction has not completed their Know Your Business (KYB) verification process or their verification has been rejected.

Answer

If you receive this error, it means one side of the transaction needs to complete the KYB verification process before a payment can proceed. Here's what you need to do:

1. If one side of the transaction has already been submitted for KYB review and you are still receiving the error, it may be On Hold or Rejected. These statuses are returned via our BusinessUpdated webhook. If a merchant is in an On Hold or Rejected state, you'll need to reach out for a GrailPay team member to manually review the KYB submission.