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Managing failed transactions and repayment to users wallet
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A failed transaction occurs when a payment is initiated, either a loan disbursement to a borrower or a repayment from a borrower, but does not complete successfully. The money may have left the sender’s account without reflecting in the recipient’s wallet, or the transaction may have stalled at the payment gateway and never processed at all.
Failed transactions on Lendsqr typically happen for one of the following reasons:
Network interruptions: A connectivity issue between the borrower’s bank, the payment gateway, and Lendsqr’s platform can cause a transaction to time out midway. The debit may go through on the bank’s end while the credit never reaches the wallet.
Payment gateway delays: Some payment processors experience processing delays, especially during high-traffic periods. A transaction can appear pending or failed on Lendsqr while still in the gateway’s queue.
Incorrect account details: If a disbursement is sent to an incorrect or inactive bank account, it will fail at the bank’s end and may not automatically reverse to the disbursement wallet.
Insufficient disbursement balance: If your disbursement account balance is lower than the loan amount at the time of processing, the disbursement will fail.
How to identify a failed transaction on the admin console
Before reaching out to the borrower or contacting support, check the transaction on the admin console yourself. This allows you to confirm whether the failure is on Lendsqr’s end or the borrower’s bank.
1. Log in to the Lendsqr admin console.
2. Navigate to “Back Office → Transaction management → Disbursement transactions“. At the top of this page, a balance summary shows your Ledger Balance, Available Balance, Wallets and Savings Balances, and Differential Balance (the gap between what your disbursement account holds and what customer wallets/savings currently total), which gives you an at-a-glance sense of whether reconciliation issues exist.
3. Below the summary, the transaction list still shows a colored status dot at the left of each row (green for a completed disbursement, red for one with a problem), but each row now also has dedicated Issue and Next Step columns that describe, in plain language, what happened and what to do about it. A completed disbursement shows “Disbursement completed” and “No action needed.” A problem transaction spells out the specific issue, for example “The monnify disbursement did not complete.” with a next step of “Confirm any reversal, then retry or contact support with the transaction reference,” or “The transfer status is still being confirmed.” with a next step of “Check again before retrying. If it remains unchanged, contact support with the transaction reference.”
4. To see more detail on a specific transaction, click its row to open the receipt view, which shows the transaction reference, date and time, processor, amount, and destination bank and account number.
Information to collect from the borrower
Once you have confirmed there is a discrepancy, collect the following from the borrower before escalating to Lendsqr support. This information allows the support team to trace the transaction quickly on the backend:
The borrower’s registered phone number on the platform
The transaction reference number shown on the transaction details page
The payment channel used (bank transfer, card, direct debit, virtual account)
The exact amount debited from their account
The source account number and bank name used for the payment
The date and time of the transaction
A screenshot of their bank statement or debit alert showing the transaction, as this confirms the debit happened and was not automatically reversed by their bank
Having all of this ready before contacting support significantly reduces back-and-forth and speeds up resolution.
How to escalate failed transactions
If the transaction’s Issue and Next Step point you to contact support, escalate to [email protected] with the details collected. Include your organization name and the borrower’s information so the support team can locate the transaction immediately.
What to expect after escalation: The support team will investigate the transaction on the backend, confirm whether the funds were received by the gateway, and either trigger a manual credit to the borrower’s wallet or advise on next steps. Resolution timelines vary depending on the payment channel involved, but most cases are resolved within one to two business days.
While the investigation is ongoing, communicate with the borrower that the issue has been escalated and provide a realistic timeframe. Avoid promising an immediate fix if the issue involves a third-party payment gateway, as resolution may depend on the bank or processor’s response time.
Handling false claims
In some cases, borrowers may claim a payment was made when it was not, or claim a larger amount than what was actually debited. Always request the bank statement or debit alert before escalating. If the bank statement does not show a debit matching the claimed amount and date, the transaction did not occur from the borrower’s account and does not require escalation.
Document all such interactions for your records. This protects your organization and maintains accountability in your loan management process.
If the transaction shows a problem Issue and Next Step on the console, follow that guidance and escalate if it points to support. If it shows “Disbursement completed” but the borrower says their wallet has not been updated, this is a reconciliation issue that requires backend review, and the Differential Balance on the summary header is a useful first signal that something is off.
