> ## Documentation Index
> Fetch the complete documentation index at: https://docs.modempay.com/llms.txt
> Use this file to discover all available pages before exploring further.

# Balances

Modem Pay provides a clear and robust balance system to help you manage your business funds efficiently. There are two primary types of balances you will encounter:

### 1. `available_balance`

This is the amount of money your business has earned from successful transactions (such as payments from your customers) that is currently held by Modem Pay. The `available_balance` represents funds that are **pending settlement**, they are not yet in your payout wallet or your bank account. Typically, these funds are subject to a settlement period, after which they can be moved to your payout balance or settled directly to your bank account.

* **How it works:**\
  When a customer makes a successful payment, the funds are first credited to your `available_balance`. These funds remain here until they are eligible for settlement according to the settlement schedule.

### 2. `payout_balance`

Think of your `payout_balance` as your **Modem Pay wallet**. Once funds are settled from your `available_balance`, they are moved into your `payout_balance`. This balance is immediately usable for various business operations within Modem Pay.

* **What you can do with payout\_balance:**
  * **Transfers:** Initiate payouts to vendors, suppliers, or other recipients.
  * **Refunds:** Issue refunds to your customers.
  * **Other operations:** Any other Modem Pay features that require available funds.

### Checking Your Balance

<CodeGroup>
  ```typescript nodejs theme={null}
  import ModemPay from "modem-pay";

  const modempay = new ModemPay("sk_live_bc...");

  const balance = await modempay.balances.retrieve();

  // {'payout_balance': 10, 'available_balance': 0}
  ```

  ```python python theme={null}
  from modempay import ModemPay

  modempay = ModemPay(api_key="")

  balance = modempay.balances.retrieve()

  # {'payout_balance': 10, 'available_balance': 0}
  ```

  ```bash cURL theme={null}
  curl -X GET "https://api.modempay.com/v1/balances" \
    -H "Authorization: Bearer <your_api_key>" 

  # {'payout_balance': 10, 'available_balance': 0}

  ```
</CodeGroup>

### Balance Flow Example

1. **Customer Payment:**
   * A customer pays for your service or product.
   * The payment is successful.
   * The amount is credited to your `available_balance`.

2. **Settlement:**
   * After the settlement period, Modem Pay moves the eligible funds from your `available_balance` to your `payout_balance`.

3. **Usage:**
   * You can now use your `payout_balance` to make transfers, process refunds, or withdraw to your bank account.

> **Note:**\
> Your `available_balance` is not directly spendable. Only after funds are moved to your `payout_balance` do they become available for operational use.

***

**In summary:**

* `available_balance` = Funds from successful transactions, pending settlement.
* `payout_balance` = Your Modem Pay wallet, ready for transfers, refunds, and more.