Payment Failure


Payment failure is a very common issue during online transactions. Irrespective of the mode of payment you chose, this issue could still arise due to multiple plausibilities, such as network error, incorrect credentials used, bank declining the payment, and so on. Here, we have accumulated a few FAQs on payment failure and tried our best to cover all the answers for you.

What should I do when a payment fails?

As a buyer or seller, you will occasionally face payment failure issues. Instamojo strives hard to improve online transaction success rates and minimize these issues. Be rest assured we have got your back covered.

We respect your time, and here are a few notes that will help you manage such issues if they occur:

Reasons for Payment failure: 

Authentication Issues- When a customer enters an incorrect CVV, Expiry Date, Card Number, OTP or 3D secured password.

In such a situation, the customer has been advised to reattempt the payment by providing the correct details.

Authorization Issues- This issue occurs when a customer has insufficient balance or credit limit to transact or when a bank declines a transaction because of some internal issue. For instance, Corporate cards can be restricted to only POS payments and you may need to enable them for online payments by speaking to your bank. Even if online payment is enabled, it may be for specific online merchants only.

In this scenario, we advise the customer to reattempt the payment using an alternate card/payment mode.

What happens if the payment failed but the money got debited from the source account? 

Kindly don’t panic. This issue occurs because the bank debits the amount from the customer and due to some reason is not able to update the payment platform immediately. In this case, it is advisable to wait for 24 hours in case the transaction fulfillment is after a day. In case of events and services the fulfillment may be immediate, in those cases, we would request you to immediately send an email to to check the status.

If you do not get a confirmation within 24 hours then you may assume that the customer would have the money back in their account. If it was originally deducted from the customer's account, then it can take 10-12 working days for it to reflect in their account. The time duration can depend on the bank, but the process is completed within a day's time by Instamojo. 

If the delivery of the product or service is immediate, we would request you to honor the delivery only if you have received a confirmation from Instamojo. There may be a situation where the customer may have made the payment twice. In such a case, Instamojo will refund the duplicate transaction to the customer’s original mode of payment. The money may take a maximum of 5 working days to reflect in their account.

In case after 10-12 working days, the money is still not reflected in your account. Kindly send an email to to verify, and our team will be glad to update you with the real-time status of the transaction.

Why do we ask you to wait for 24 hours?

Instamojo does reconciliation with the banks 3 times on a working day. Reconciliation involves changing the status of transactions to successful in case the money has been deducted.

Hence in case of successful payment the maximum time it would take for us to notify is 24 hours. In case you have not received the confirmation then that implies that the transaction has failed. There can be some rare and exceptional cases where it takes the bank more than 24 hours to send the status, in which case, we will notify you regarding the status. 

We hope this was helpful. Feel free to reach out to us at, in case of any queries or feedback.

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