Method and system for processing declined transactions

A system for processing declined transactions, the system comprising a first server, the first server having a processor configured to:

• receive, from a second server, a transaction decline notification in response to a first authorization request that is communicated to the second server for approving a transaction performed by a user, wherein the first authorization request includes a first data element that indicates a transaction amount of the transaction, and wherein the transaction decline notification indicates that the transaction is declined;
• retrieve a credit score of the user from a database based on the transaction decline notification;
• modify the first data element of the first authorization request to generate a second authorization request for the transaction, when the credit score is greater than a threshold value, wherein the modified first data element indicates a first amount that is lower than the transaction amount;
• communicate the second authorization request to the second server;
• and
• receive a transaction approval notification from the second server in response to the second authorization request, wherein the transaction approval notification overrides the transaction decline notification and indicates that the transaction is approved by the second server, thereby making the transaction successful.

A computer-implemented method for processing declined transactions, the method comprising:

• communicating, by a payment network server to an issuer server, a first authorization request for a transaction performed by a user, wherein the first authorization request includes a first data element that indicates a transaction amount of the transaction;
• receiving, by the payment network server from the issuer server, a transaction decline notification in response to the first authorization request, wherein the transaction decline notification indicates that the transaction is declined due to an insufficient account balance or an insufficient available credit line of an account that corresponds to the transaction;
• retrieving, by the payment network server, a credit score of the user from a database based on the transaction decline notification;
• modifying, by the payment network server, the first data element of the first authorization request to generate a second authorization request for the transaction, when the credit score is greater than a threshold value, wherein the modified first data element indicates a first amount that is lower than the transaction amount;
• communicating, by the payment network server, the second authorization request to the issuer server;
• and
• receiving, by the payment network server, a transaction approval notification from the issuer server in response to the second authorization request, wherein the transaction approval notification indicates that the transaction is approved by the issuer server and overrides the transaction decline notification, thereby making the transaction successful.