Just as the question title explains – when using paypal standard, is it possible to keep the user on site instead of directing them to paypal to log in and authorise the payment.
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With Website Payments Standard (the regular HTML-based ‘Buy now’ / ‘Add to cart’ buttons): no. This is not possible.
You’ll need to integrate with an API-based solution such as Adaptive Embedded Payments or Express Checkout for Digital Goods if you want the buyer to remain on your site and still pay with PayPal.