DC 500 declines are rejections due to this being flagged as high-risk transactions by our fraud monitoring tool, The main objective is to protect merchants from fraudulent transactions and prevent monetary losses due to chargebacks/ cardholder disputes.
By default, such transactions will be automatically reversed back to the cardholder.
To handle DC500 declines, we can activate a feature called “hold on reject". Whenever such transactions are flagged the merchant will have the ability to capture/ void the transactions.
Disclaimer: Please note if Hold-on-reject is enabled, the merchant accepts full liability for capturing the flagged transactions.
Enabling/ approval of the hold on reject option is subject to risk teams review of the merchant account.