Payment declined by the bank
A bank declines a payment when the operation looks risky under the criteria of federal law 115-FZ — the anti-money-laundering law. Let's look at which factors increase the risk and how to build your company's payment profile.
What increases the risk
| Factor | Risk | What to do |
|---|---|---|
| High-risk industry: cryptocurrencies, online gambling, microloans | high | Prepare a full set of documents for every operation |
| Director or address registered in dozens of organizations | high | Get your registration details in order |
| No website, circular payments, splitting amounts | high | Make your business transparent: a website, clear payment purposes |
| Outstanding tax and duty arrears | high | Pay off the debt — it's the most visible red flag |
| High share of borrowed funds, negative profitability | high | Attach supporting contracts to payments |
| Settlements with countries on FATF blacklists or under sanctions | high | Coordinate operations with the bank in advance |
| Business activity codes (ОКВЭД) don't match actual operations | medium | Update the codes in the Unified State Register of Legal Entities (EGRUL) |
| Inactivity followed by large transactions | medium | Keep documents that explain the jump in turnover |
| Frequent changes of executives and owners | medium | Be ready to confirm the reasons for the changes |
How to reduce the risk of declined payments
- Check your company yourself. Services such as SBIS, Kontur.Focus and SPARK show your company the way the bank sees it.
- Pay taxes on time. No arrears is the baseline condition for a clean profile.
- Keep documents for every payment. Contracts, invoices and acts must support each operation.
- Respond to the bank quickly. If the bank requests documents, provide them promptly.