Payment Decline Reason Reference

Modified on Thu, May 14 at 1:40 PM

When a card payment is declined in DealerWorks, a decline reason code is returned by the card network. This reference explains what each reason means and what action — if any — your cashier should take.

General guidance: Most declines are issued by the customer's bank, not by DealerWorks. Retrying the same card immediately usually produces the same result. When in doubt, ask the customer to use a different card or contact their bank.

Decline Reasons and Recommended Actions

Decline Reason	What It Means	What to Do
Insufficient Funds	The customer's account does not have enough available balance to cover the transaction amount.	Ask the customer to use a different card or a different payment method.
Do Not Honor	The customer's bank declined without a specific reason — a general decline. Common when the bank flags the transaction as unusual.	Ask the customer to call the number on the back of their card to authorize the transaction, then retry.
Card Declined	The bank declined the transaction without providing a specific reason code.	Ask the customer to try a different card or contact their bank.
Expired Card	The card's expiration date has passed.	Ask the customer to use a different, valid card. The expiration date entered should match what is printed on the card.
Invalid Card Number	The card number entered does not match a valid account. This is most common on keyed transactions with a data entry error.	Re-enter the card number carefully. If the card is present, verify the number printed on the card matches what was typed.
Invalid CVV / Security Code	The security code (CVV2/CVC2) entered does not match the card issuer's records.	Ask the customer to re-verify the 3-digit code on the back of the card (or 4-digit code on the front for Amex). Re-enter and retry.
AVS Mismatch (Address Verification Failure)	The billing address or ZIP code entered does not match the address the bank has on file for the card.	Ask the customer to confirm their billing ZIP code and re-enter it. If the mismatch persists, the customer may need to contact their bank.
Lost or Stolen Card	The card has been reported lost or stolen and the bank is blocking all transactions on it.	Do not retry. Ask the customer to use a different card. Do not retain or attempt to process this card further.
Restricted Card	The card has restrictions that prevent this type of transaction. Common with corporate, prepaid, or limited-use cards.	Ask the customer to use a different card. If it's a corporate card, the customer may need approval from their employer or cardholder services.
Transaction Not Permitted	The card issuer does not allow this transaction type on this card. Some cards are restricted to certain merchant categories.	Ask the customer to use a different card.
Exceeds Withdrawal / Transaction Limit	The transaction amount exceeds the daily spending or single-transaction limit set by the customer's bank.	Ask the customer to contact their bank to request a temporary limit increase, or use a different card. A split transaction may also be an option.
Velocity Limit Exceeded	The card has been used too many times in a short period. The bank is temporarily blocking additional transactions as a fraud precaution.	Ask the customer to wait and retry later, or use a different card. The customer can also call their bank to clear the block.
Suspected Fraud	The bank's fraud detection system flagged the transaction as potentially suspicious.	Ask the customer to call the number on the back of their card to verify and authorize the transaction, then retry once the hold is cleared.
Card Not Activated	The card has not been activated by the customer. Common with new cards that haven't been activated yet.	Ask the customer to activate their card by calling the number on the card sticker or their bank's app, then retry.
3D Secure Authentication Required	The card requires additional identity verification (3D Secure) before the transaction can be approved. This typically applies to payment requests, not in-person terminal transactions.	The transaction will show as Challenged in DealerWorks. The customer must complete 3D Secure verification on their device for the payment to process. See the Understanding the Challenged Status article.
Communication Error / Try Again	A technical issue interrupted the authorization request. This is not a bank-issued decline.	Retry the transaction. If the error repeats, check the terminal connection. If the issue persists, contact DealerWorks support.
Invalid Transaction	The transaction request was formatted incorrectly or contains invalid data.	Verify all entered details (card number, expiry, CVV, amount) and retry. If the error persists, contact DealerWorks support.

Never retry a Lost/Stolen Card decline. If a decline reason indicates the card is lost or stolen, do not attempt to process it again. Ask the customer to use a different payment method.

If You See a Decline Reason Not Listed Here

Card network decline codes are occasionally updated. If a decline reason appears in DealerWorks that isn't covered in this article, contact DealerWorks support with the exact reason code shown and the transaction details.