When a customer places an order, the transaction information is sent to the issuing bank for authorization. The issuing bank will decide whether to decline the authorization or accept the authorization.
If the bank declines to authorize the transaction, the customer will not be able to complete the purchase and will be notified of the decline (see screenshot below). You can view all failed authorizations in the Merchant Dashboard using the instructions here.
If the bank successfully authorizes the transaction, the customer's funds will be put on hold until one of the following occurs: