Banking Error Code
Banking / ACH / Payment Failures
Bank Risk & Compliance (Internal Status Codes)

Z3 | Compliance hold

Industry
Banking
Canonical
/banking/error-codes/z3/
Last Updated
Feb 25, 2026
Summary

This code indicates the transaction or account activity is temporarily held due to compliance screening or policy requirements.

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What This Code Means

Z3 signals that the item is in a compliance hold state, meaning the system paused processing to complete compliance checks. Compliance screening can include internal policy validation, regulatory screening, sanctions-related checks, or other eligibility requirements depending on the platform and jurisdiction. This is an administrative control state, not a payment network error. It does not automatically imply wrongdoing; it indicates that processing cannot proceed until the relevant screening step is completed or resolved. The hold may apply to a specific transaction or to a broader set of account actions depending on scope.

Where Users Usually See This Code

  • Transaction status messages showing “on hold” or “under review”
  • Bank operations dashboards tracking compliance queues
  • Payment processor logs indicating compliance screening delays

Why This Code Appears

  • Compliance screening flagged the transaction for additional checks
  • Policy rules require review for certain transaction types or destinations
  • Account status or profile triggered additional compliance validation
  • Screening systems returned a “hold” decision pending further confirmation

What Typically Happens Next

  • Processing pauses and the transaction does not settle immediately
  • The status may remain pending/on hold until a compliance outcome is recorded
  • Final outcomes may include completion, return, reversal, or cancellation depending on resolution

What This Code Is Not

  • It is not a fraud confirmation (though both are risk controls)
  • It is not an insufficient funds condition
  • It is not a system malfunction by itself

Troubleshooting Checklist

  • Review the transaction details and status messages for “hold” indicators
  • Monitor for a status update to a terminal state before assuming completion
  • Avoid initiating duplicate transactions if the original remains on hold
  • If the hold persists beyond normal expectations, contact official support for status confirmation

Notes And Edge Cases

Compliance holds can be sensitive to transaction details, beneficiary/destination information, and account configuration. Some systems apply holds only for specific corridors or transaction types, leading to inconsistent behavior across different transfers. Holds may be resolved automatically if screening clears, or may require manual review in certain cases. The code does not disclose what triggered the hold; it indicates only that compliance processing is incomplete.

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