PayPal Declining Card Charges When Customer Bank Approves It
For the second time in a row I have had a two customer credit card transactions declined. I am using the PayPal Here chip reader and the client signs and then I get a decline from PayPal. The customer called their bank and the bank sees the charge and they approve it, but PayPal declines it from going through.
I was told by PayPal that their algorithm deemed the transactions too risky, so they decline. They of course couldn't give me any reason why It's a risky transaction and will not let it go through. Simply, it's the algorithm. I was also told that there is no way for them to force the charge to go through, and nothing I can do on my end.
Is this a common thing to happen? The commonality of the two customers who were declined are they are from out of town and they were using a branded rewards card. Does PayPal decline rewards cards as a rule since they sometimes charge higher transaction fee to the merchant?
It's embarrassing and frustrating for all involved. Is SQUARE a better option?