Bank Transfer & Payment Failure Codes: Wire/SEPA/Swift Errors + Resolution Flow

Use this guide to identify whether the failure is beneficiary details, compliance screening, routing, or timing, then resolve without creating duplicate payments.

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TL;DR

✓ Start by identifying transfer type (wire/ACH/SEPA/SWIFT); workflows differ.
✓ Most failures trace to beneficiary details, routing, or compliance screening.
✓ Avoid duplicate sends; confirm final status before retrying.
✓ Use trace/reference IDs for escalation; they locate payments fastest.

Quick Navigation

Symptoms Root Causes Step-by-step fixes What NOT to do If it persists Code directory Related guides & hubs FAQ References

Symptoms / When you see this

✓ Transfer shows failed/reversed/pending unusually long.
✓ Recipient didn’t receive funds.
✓ Platform returns a short error label or rejection.

Root causes (grouped)

✓ Beneficiary details mismatch (name/account/IBAN/routing/SWIFT).
✓ Compliance screening or bank policy blocks.
✓ Intermediary routing issues.
✓ Timing/cutoff windows and holidays.
✓ Duplicate detection or reversal due to inconsistent state.

Step-by-step fixes (safe, prioritized)

✓ Confirm transfer type and expected timeline.
✓ Confirm beneficiary details exactly as required by the network.
✓ Check final state using trace/reference IDs.
✓ If pending too long, request a trace from sender bank.
✓ Resend only after confirming a return is final and details are corrected.

What NOT to do

✓ Do not resend blindly; you can double-pay.
✓ Do not share sensitive bank details over insecure channels.
✓ Do not treat “pending” as “failed” without confirmation.

If it persists (escalation checklist)

✓ Collect: trace/reference, timestamps, amount, currency, beneficiary details.
✓ Ask for the network message/return reason where available.
✓ Coordinate both sending and receiving banks when intermediaries are involved.

Code directory within this guide

✓ Many transfer systems do not expose a short public code. If no code exists, use trace IDs and the resolution flow.

Code	Meaning	Next step
ERR-AUTH	Authorization failed — This code indicates the system could not authorize the requested action under current security, account, or policy rules.	Follow the checklist on the code page
ERR-LIMIT	Limit exceeded — This code indicates the request exceeded a configured limit for amount, frequency, or permitted transaction activity.	Follow the checklist on the code page
ERR-REVERSAL	Reversal required — This code indicates the system flagged the transaction for reversal handling due to an incomplete, conflicted, or failed processing outcome.	Follow the checklist on the code page
ERR-TIMEOUT	Session timeout — This code indicates the session expired or timed out before the transaction could be completed.	Retry once; validate connectivity and service status
ERR-TXN-FAILED	Transaction failed — This code indicates the transaction could not be completed and was marked as failed by the bank or payment system.	Follow the checklist on the code page
Payment declined	Payment not approved — This status indicates the payment attempt was not approved and did not complete successfully.	Try another method; contact issuer if it follows the card
Payment On Hold	Payment paused for review — This status indicates the payment is temporarily paused and will not complete until a review or prerequisite step is resolved.	Follow the checklist on the code page
Payment reversed	Payment canceled/undone — This status indicates the system reversed the payment, undoing the original transaction outcome through a corrective or cancellation process.	Follow the checklist on the code page
R08	Stop payment — This code indicates the RDFI returned the entry because a stop payment order applies to the transaction.	Follow the checklist on the code page
Transfer pending	Transfer awaiting completion — This status indicates the transfer has been initiated but has not reached a final completed or failed state.	Follow the checklist on the code page
Z1	Fraud review — This code indicates the transaction or account activity was routed into a fraud review workflow before it can proceed.	Follow the checklist on the code page
Z3	Compliance hold — This code indicates the transaction or account activity is temporarily held due to compliance screening or policy requirements.	Follow the checklist on the code page
Z5	Manual review — This code indicates the item requires human review before the system will allow completion or final posting.	Follow the checklist on the code page
Z7	Identity verification — This code indicates processing is paused because identity verification is required or not yet completed.	Follow the checklist on the code page
Z9	Risk assessment — This code indicates the transaction is undergoing risk assessment before the system decides whether it can proceed.	Follow the checklist on the code page

Tip: If your exact code isn’t listed, use the closest hub link above and browse related prefixes or message patterns.

FAQ

How long do transfers take?

It depends on the network and cutoffs. Weekends/holidays can extend timelines.

What is a trace/reference ID?

A network identifier used by banks to locate a payment through the processing chain.

Why are transfers returned?

Commonly beneficiary detail mismatch, closed accounts, or compliance screening.

Should I resend if recipient didn’t get it?

Not until you confirm the first payment’s final state. Use trace first.

Can compliance screening delay payments?

Yes. Screening can delay or reject transfers based on bank policy and jurisdiction.

What if my platform shows no error code?

Use the resolution flow: confirm transfer type and request trace details from the sender.

Do currencies matter?

Yes. Correspondent routing and FX can add steps and delays.

Safest escalation path?

Start with the sending bank and provide trace/reference IDs, then coordinate with the receiving bank if needed.

References / Notes

✓ Bank support and trace processes
✓ Transfer network documentation (general)
✓ Compliance and AML policies