Preauthorized Payment Cancellation Service

Empower cardholders with more control over preauthorized payments.

The Preauthorized Payment Cancellation Service enables issuers to handle customers' stop payment requests for preauthorized electronic funds transfers, such as automatic bill payments and installment payments.

available for use by:

Issuer Banks
Independent Developers

Empower cardholders with more control over preauthorized payments

The Preauthorized Payment Cancellation Service (PPCS) enables Visa consumer credit, debit, and commercial card issuers to stop preauthorized electronic funds transfer payments (including recurring and installment payments) from being authorized, cleared, and settled through VisaNet. The service provides issuers with a method for handling cardholder stop payment requests.

Key Features

Descriptive image text here

Give your customers a path to stop previously authorized payments after contacting their merchant.

Descriptive image text here

Build preauthorized payment cancellation into your front and back office workflows.

Why Use It?

Offers a Wealth of Benefits to Issuers

  • May help enable US Visa debit card issuers to meet their regulatory requirements when consumers contact their issuer to stop preauthorized payments from their accounts after contacting the merchant.
  • Can reduce the need for issuers to charge back preauthorized payments because the stop payment orders and revocation of authorization orders are on file.
  • May improve the cardholder experience of using bill pay and subscription billing services.
  • Can reduce automatic bill payment operational costs.
  • Can help to reduce authorization declines for preauthorized payments.

Benefits Acquirers, Too

  • Provides acquirers and their merchants with descriptive authorization response codes and return reason codes.
  • Helps reduce chargebacks and authorization declines by providing information that a stop order is on file.
  • Encourages consistent handling of stop payment orders and revocation of authorization orders.

Gives Cardholders Convenience and Control

Preauthorized Payment Cancellation Service gives cardholders a way to stop payment of preauthorized funds transfers from their accounts after they have notified the merchant—facilitating more control and convenience. Visa provides an integrated solution within an issuer's back-office or call center application to allow them to initiate stop payment requests.

 

Keeps Merchants Informed While Reducing Chargebacks

Preauthorized Payment Cancellation Service lets merchants know that a consumer has stopped payment or revoked authorization of a preauthorized funds transfer. This communication enables consistent handling of stop orders, which may reduce chargebacks for preauthorized payments.

 

How Does It Work?

Through this service, issuers can place stop payment orders in the VisaNet Cardholder Database (CDB) on behalf of their cardholders, which effectively informs acquirers and their merchants, via an authorization response code, that a cardholder has requested a stop payment. When a matching stop payment order is in place, VisaNet will decline the transaction to the acquirer on behalf of the issuer during authorization. If the transaction is submitted for clearing and settlement, VisaNet will return the transaction to the acquirer.

The process for stopping a recurring payment transaction is as follows:

  1. The issuer places a stop payment order in the Visa cardholder database using a file maintenance message.
    1. The message is submitted using the issuer’s or issuer processor’s own application, which in turn submits the request to Visa through this API.
    2. The message contains the Visa card/account number, the stop payment reason; it may contain optional information such as merchant name, Card Acceptor ID, Merchant Verification Value, and transaction dollar amount.
  2. VisaNet matches authorization and clearing messages based on:
    1. Transactions identified as recurring or installment payments.
    2. Matching criteria defined in the stop payment order by the issuer.
  3. If a match is identified, VisaNet:
    1. Declines an authorization request with a descriptive response code.
    2. Returns a clearing message to the acquirer with a descriptive return/reclassification reason code.
    3. Sends an advice to the issuer with a descriptive reason code.

APIs Included

Stop Payment Order API

The Stop Payment Order API has three operations: add, update and delete. The add operation adds a stop payment order to the cardholder database and creates an ID and a case number for reference and future management of the stop payment order. The update operation updates the stop payment order identified by the stop payment order ID. The delete operation, deletes a stop payment order identified by the stop payment order ID.

Stop Payment Order Details API

The Stop Payment Details API can retrieve the details of a specific stop payment order identified by the stop payment order ID or case number.

Stop Payment Order Inquiry API

The Stop Payment Inquiry API can retrieve the details of all stop payment orders associated with a cardholder account number.

Related Content
woman on phone traveling
Visa Transaction Controls

Visa Transaction Controls (VTC) empowers your mobile app to be the command and control center for managing paymentsWith VTC, issuers can offer their cardholders the ability to set blocks and alerts on their cards and/or digital accounts via the issuer’s mobile banking app or online website.

 

Learn More           

Ready to start with Preauthorized Payment Cancellation Service?
Need Support?