Identity Theft and Fraud Importance of Credit Money Basics Tips

Reasons why your credit card may be declined

September 1, 2020

Holding up the checkout line because of a declined credit card may feel embarrassing, but it’s actually a common experience. Even if you may have enough funds, there are various reasons why your card may be getting declined. Let’s explore some of these scenarios to have a better understanding of how your credit card works before hitting that checkout line.

If you don’t have enough funds or exceed your set credit limit, your transactions may register as declined. Often, people find themselves in this situation when they are unaware of their credit card balance or how much they’ve spent. Before you use your credit card, check your current balance on your issuer’s mobile website or app so you can budget before you buy.

Fraud might be suspected if you spend outside of your normal habits, causing a cancellation of your card. Contact your credit card company and any other appropriate parties immediately if you’re suspicious of fraud. They can help you close your compromised account and take the appropriate steps regarding the suspicious transactions. Your credit card company will issue a new account number. This will help your legitimate purchases to process and stop actual fraudulent transactions.

If your credit card is expired, you may receive the declined message. Avoid your card expiring by watching for a replacement card in the mail before your expiration date. Your First PREMIER® Bank credit card is issued seven to ten days before your old card expires.

Your credit card issuer may choose to suspend or cancel your card if you miss payments. Try to catch up on late payments to prevent suspension as well as late charges and damage to your credit. To avoid missed payments, create a monthly budget and setup account reminders. Knowing your limit and spending within your means will help you avoid missed payments and denied transactions.

Stay on top of your credit balance with complete access to your credit card online any time and utilize payment reminder so you avoid late or missed payments.

This information is presented for educational purposes only. It is not intended as, nor should it be construed to be, legal, financial or other professional advice. Please consult with your attorney or financial advisor to discuss any legal or financial issues involved with credit decisions.

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