Customer getting declined for insufficient funds, but says he has the funds?

Technical Q&A
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Topic summary

A merchant is experiencing repeated payment declines for a customer attempting to purchase using a Mastercard debit card. The decline reason shows “insufficient funds,” but the customer claims to have adequate balance.

Key clarifications provided:

  • The “insufficient funds” message originates from the customer’s bank, not Shopify Payments
  • Common causes include:
    • Daily spending limits or pending holds on the account
    • Mastercard debit restrictions on international/online transactions
    • Billing address or ZIP code mismatches with bank records

Recommended actions:

  1. Check the order timeline for the specific gateway response code
  2. Ask the customer to try an alternative payment method (different card, PayPal)
  3. Suggest the customer contact their bank to verify online payment authorization

Status: The issue remains unresolved but is identified as a bank-side restriction rather than a platform problem. The merchant is advised to remain cautious if the customer requests alternative payment methods outside the store.

Summarized with AI on October 24. AI used: claude-sonnet-4-5-20250929.
1

Hi there, I have a bit of a situation here - a customer’s order keeps getting declined for ‘insufficient funds’, but he swears he’s got the funds. He’s tried 4-5 times. I’m not sure if perhaps it’s because he seems to be using a Mastercard debit? Any chance it could be Shopify Payments causing the issue and not the customer, or am I potentially being scammed here?

2

When an order is declined for insufficient funds, it’s from their bank. Could be they have pending transactions or a spending limit. But it’s on their end not yours. Just advise them to use a different card or other payment method.

1 Like
4

Thanks, it makes sense. The billing address does match shipping. In the timeline I can see “insufficient funds” as a decline reason but I’m not too sure where specifically to see if it’s a Shopify or card issuer reason.

But yes it does look like the customer tried a Mastercard debit card. Since he’s claiming he has the funds, any chance it could be Mastercard? For some reason he doesn’t seem able to use another card.

5

Hey, this kind of issue happens fairly often and doesn’t necessarily mean you’re being scammed.

If the error shows “insufficient funds”, that message usually comes directly from the customer’s bank, not Shopify Payments. It can happen even if they think they have enough balance — for example:

  • Their bank might have a daily spending limit or pending holds on funds.

  • Some Mastercard debit cards can’t process international or certain online transactions.

  • The billing address or ZIP code might not match their bank’s records, causing a soft decline.

To confirm it’s not on Shopify’s end:

  1. Check the order timeline → it’ll show the gateway response (e.g., “insufficient_funds” or “bank_decline”).

  2. Ask the customer to try another card or payment method (PayPal, another debit/credit card, etc.).

  3. You can also suggest they contact their bank to confirm online payments are allowed.

So most likely it’s a bank-side issue, not Shopify Payments — but it’s good you’re cautious. If the customer starts insisting on alternative payments outside your store (like wire or direct transfer), that’s when you should be extra careful.