Why Your Venmo Payment Was Declined and How to Fix It

Trying to make a transaction on Venmo, and it didn’t go through, frustrating, right? This problem is more common than you might think. Not only Venmo, but it can happen with high risk payment processing like credit or debit cards as well. In a rough estimate, the average rate of recurring credit card transactions being declined is 15%, with rates as high as 30% in specific industries.

Fortunately, in most cases, fixing a declined payment is relatively simple once you figure out the underlying cause. You can easily avoid it by taking some simple steps. To get more understanding, let’s walk through the most frequent reasons behind Venmo payment failures and provide practical instructions on how to resolve each issue.

Common Reasons Your Venmo Payment Was Declined

There are several reasons why a Venmo payment might be declined, ranging from simple issues, such as insufficient funds, to more complex security concerns. Knowing these possible causes is the first step in resolving a declined payment and preventing similar problems in the future.

Insufficient Funds

One of the simplest reasons a payment fails is that there just isn’t enough money in your Venmo balance or linked bank account. Venmo checks that you have sufficient funds to cover the transaction, and if the balance falls short, it declines the payment immediately.

Connectivity or Technical Issues

Venmo needs a reliable internet connection to process payments. If your connection drops or becomes unstable, or if Venmo’s servers are experiencing hiccups, payments can fail.

Bank or Card Issuer Blocks

Even if your Venmo balance looks fine, your bank or card issuer might reject the transaction. This often happens if the payment triggers security flags, such as unusual spending patterns or international transaction attempts. Banks maintain strict controls to protect their customers, but these controls can sometimes block legitimate payments.

Transaction Limits on Venmo

Venmo enforces limits on how much money you can send or receive in certain time frames (daily, weekly, or monthly). If you try to send more than your allowed limit, the system will block the transaction.

Incorrect or Outdated Account Details

Declined payments can also result from mismatched or outdated information, like expired cards, wrong bank account numbers, or unverified email addresses and phone numbers linked to your Venmo account.

Locked or Frozen Account

Venmo sometimes locks or freezes accounts that are suspected of fraud, involve suspicious activity, or violate its terms of service. When that happens, no payments can go through until the issue is resolved.

High-Risk or Prohibited Transactions

Venmo’s policies restrict certain types of transactions. Payments related to gambling, adult entertainment, illegal goods, or pyramid schemes are commonly declined. This is where the high risk processing can come to the rescue. Transactions flagged as high risk often require specialized merchant accounts or high risk payment processing solutions to manage safely.

How to Fix a Declined Venmo Payment

When a Venmo payment is declined, acting promptly can help you fix the problem and complete your transaction without delay. The exact steps depend on why the payment was blocked, but there are several general actions you can take to troubleshoot and resolve the issue.

Review Your Account Details

Start by verifying your Venmo account information to make sure everything is accurate and up to date. To do this:

• Open the Venmo app and navigate to the “Settings” menu.
• Verify that your linked bank accounts and card details are correct.
• Confirm that our email address and phone number are accurate and have been verified by Venmo.
• Ensure your name and other personal information match what’s on your linked financial accounts.

If you spot any mistakes or outdated information, please update it immediately and try the payment again.

Add Funds if Needed

If the payment failed due to inadequate funds, you will want to add money to your Venmo balance or your linked bank account before retrying. To add money to your Venmo balance:

• Open the app and tap the “☰” icon at the top left.
• Select “Manage Balance,” then tap “Add Money.”
• Enter the amount you want to add and choose your funding source.
• Tap to confirm the transaction and wait for the funds to appear in your balance.

After adding sufficient funds, try sending the payment again.

Update the Venmo App

If you still use an outdated or older version of the Venmo app, it can sometimes cause payment errors. Check your device’s app store for any available Venmo updates. After updating, log back in and attempt your payment again.

Check Your Internet Connection

An unstable or weak connection can interfere with payment processing. To improve your connection:

• Make sure your Wi-Fi or mobile data signal is strong and stable.
• If you’re on Wi-Fi, move closer to your router or connect to a different network that’s more reliable.
• If using mobile data, verify your signal strength and data availability.
• Close any unnecessary apps or browser tabs that may be using bandwidth.

Once your connection is solid, try the payment again.

Reach Out to Venmo Support

If nothing helps resolve the issue, it’s a good idea to contact Venmo’s customer support for personalized help. Here’s how:

• Open the Venmo app
• Tap on the ‘☰’ icon.
• Scroll to “Help & Support” and select “Get Help.”
• Browse the support topics or search for your issue.
• If you can’t find an answer, choose “Contact Us” to send a message to the available support team.

When contacting support, provide details about the payment problem, including any error messages and the troubleshooting steps you’ve already tried. The Venmo team will assist you in identifying the cause of the decline and guide you through the next steps.

Following these suggestions will help you address the most frequent Venmo payment declines and get your transactions moving again.

Alternatives When Venmo Doesn’t Work

Venmo is one of the popular peer-to-peer global payment solutions, but there may be occasions when it’s not the best fit or when issues arise. In such cases, these alternative platforms offer reliable options worth considering.

PayPal

Paypal is owned by the same company as Venmo. It provides a comprehensive service for sending and receiving money, whether for personal use or business transactions. With PayPal, you can:

• Transfer funds instantly to friends and family.
• Request active payments for goods or services.
• Shop online with millions of merchants worldwide.
• Utilize features such as invoicing, recurring billing, and buyer protection.

Getting started with PayPal is simple. Just create a free account and link your bank or credit card.

Zelle

Zelle enables quick money transfers directly between bank accounts, often completing within minutes. Many major U.S. banks and credit unions integrate Zelle into their online banking platforms.

With Zelle, you can:

• Send money to others using only their email or mobile number.
• Receive funds directly into your bank account.
• Benefit from fast and secure transactions without any fees.

To use Zelle, enroll through your bank’s online system or download the Zelle app.

Cash App

Cash App offers a seamless way to send and receive money, along with additional financial tools such as investing in stocks and Bitcoin, as well as a customizable debit card.

With Cash App, you can:

• Instantly send money to friends and family.
• Accept payments or request funds for goods and services.
• Start investing in stocks or Bitcoin with as little as $1.
• Receive a free debit card linked to your Cash App balance.

To begin, simply download the app on your device and set up an account.

Final Thoughts

Venmo payments can be declined, but with a keen understanding of the reasons and timely resolving skills, you can get your account back in no time. For high risk businesses, utilizing high risk payment processing methods, such as merchant accounts, can be beneficial. So next time you see a payment decline message, take a breath and think wisely. Your solution is a few quick fixes away.

If you are running a high-risk business, such as cryptocurrency, gambling, or pharmacies, you may find it difficult to streamline your payments. Cathedral Payments offers numerous high risk payment options that you can leverage to make your payment system more efficient. Contact us now and get a free rate quote for your next productive payment system.