Referral

When a payment card is swiped or dipped on a card terminal, it sends an authorization request for that particular transaction. One possible response to that request is “Referral” (or “Call”), telling the merchant to contact the authorization center.

A referral response does not mean the credit card has been declined; in fact, most referred transactions end up being approved. Referral normally just means the bank identified an abnormality – an order with an uncharacteristically large transaction amount, for example – and wants further confirmation that the purchaser is legitimate. It’s basically just a request to the issuing bank for additional information.

The seller does have the right to cancel the transaction at that point, but will more likely make the call to the authorization representative. They may be asked to check the cardholder's ID, or put the cardholder on the phone. If everything checks out, the transaction can proceed.