Did you ever have to stand at the cash register where you may have been trying to buy something only to be handed back your card? Did the clerk have to explain to you that your transaction was declined? If this has recently happened with you, you needn’t fret as it happens. In spite of the inconvenience and embarrassment, the denial is actually meant to safeguard your account and protect the credit or debit card issuing company from incurring losses due to card fraud. If you have been wondering about the possible reasons to meet with such a denial, here are some reasons that you should consider.
- Incorrect data
You may have entered the wrong PIN code at the gas pump or the verification code that you received on your phone might have been incorrect during an online purchase. Cards that have crossed their expiry date will also be declined.
- No credit if there’s no money
In case you’re using a debit card and your account doesn’t have adequate funds, your transaction is sure to get declined. Moreover, if you’re using a credit card and you’ve reached the credit limit, the purchase won’t complete as well.
- Unusual and suspicious activity
If you never ever use your card for something more than a lunch and suddenly one day you swipe it for buying a plasma TV, you may receive a ‘No’ in the register. This is because the issuer of your credit card considers your buying behavior out of character and this can be an indication that someone else is using your card.
- EMV card might be needed
If you’re traveling with an American credit card, it may not work in Europe or other parts of the world which have already switched to the EMV technology. You may take a look at SumUp to know more on EMV card readers. The card readers need a card that has got a computer chip and also a PIN entered in it by the user. The American cards which have an embossed number, a magnetic stripe and a CVV code might not work. So, if you’re planning to travel, replace the old card with a credit card with chip and which employs EMV technology.
- Unusual location
Suppose you live in Ohio and suddenly you try to make a purchase from Liverpool England some day, your card might be denied due to that unusual location. Your card issuing company will be aware of the geographic boundaries of where you generally buy things. This is also done to prevent credit card fraud.
- New shipping address
In case you’re making a purchase with a shipping address that’s unfamiliar or that which doesn’t match with yours, your transaction can get declined.
So, if you’ve met with such a situation where your card has been declined, ask yourself whether any of the above mentioned reasons are applicable for you. If they are, make sure you take the required steps to mend matters so that the same thing doesn’t happen to you in the near future again.