Approval Response

An approval response is a message sent by a bank or credit card processor to a merchant indicating that a payment transaction has been approved. This response is critical to the payments infrastructure as it confirms that the buyer’s account exists, and has sufficient funds for a transaction. This will allow the transaction to proceed.

The process begins when a merchant submits a transaction request. This is then evaluated by the cardholder's issuing bank.

Using sophisticated algorithms to assess risk and verify account details, the bank either approves or denies the transaction. This quick and efficient communication ensures a smooth transaction flow. This helps enhance customer satisfaction and reduce the risk of fraudulent payments.