An authorization in eCommerce is extremely important because both shoppers and merchants expect the transactions to take place securely. When a shopper enters their card details to purchase something from an online store, permission is required from the card issuer for a successful transaction.

Authorization may be declined due to insufficient funds, expired cards, blocked cards, and low payment limits. Sometimes, it fails because of technical issues at the issuing bank or acquiring bank’s side. In the case of technical problems, the payment usually gets stuck for a few hours, which forces the cardholder to wait for a transaction status notification. If the transaction has failed, they have to re-enter the card details to make a payment.

Besides this, shoppers won’t be able to make a purchase if they are using an unauthorized card.

The only purpose of doing authorization is to prevent fraudulent transactions so that both shoppers and merchants get a hassle-free, safe, and reliable experience.

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