Methods and systems for authenticating users for authorization rule relaxation

A computer system for relaxing authorization rules applied to a transaction initiated by an accountholder with a merchant, the computer system comprising:

• a memory;
• and
• a server system comprising at least one processor in communication with the memory and a payment processing network, the at least one processor configured to:
• detect a decline message processed over the payment processing network, wherein the decline message indicates that a first transaction initiated by the accountholder was declined for failure to satisfy at least one authorization rule;
• cause a message to be displayed on a user device requesting a retry of the first transaction;
• in response to receiving an acknowledgement from the user device to retry the first transaction, request additional authentication data from a user to authenticate the user as the accountholder;
• authenticate the user as the accountholder based on the additional authentication data;
• generate a new authorization message that includes a rules relaxation identifier for retrying the first transaction, wherein the rules relaxation identifier is configured to request that the authorization rules be relaxed for the retried first transaction in response to the additional authentication data being verified;
• and
• receive an approval message for the retried first transaction, the approval message denoting relaxation of one or more of the authorization rules and acceptance of the retried first transaction by an issuer associated with the accountholder.

At least one non-transitory computer readable medium including computer-executable instructions for authenticating an accountholder for relaxing authorization rules applied to a transaction initiated by an accountholder with a merchant, wherein when executed by a computer device including at least one processor in communication with a memory and a payment processing network, the computer-executable instructions cause the at least one processor to:

• detect a decline message processed over the payment processing network, wherein the decline message indicates that a first transaction initiated by the accountholder was declined for failure to satisfy at least one authorization rule;
• cause a message to be displayed on a user device requesting a retry of the first transaction;
• in response to receiving an acknowledgement from the user device to retry the first transaction, request additional authentication data from a user to authenticate the user as the accountholder;
• authenticate the user as the accountholder based on the additional authentication data;
• generate a new authorization message that includes a rules relaxation identifier for retrying the first transaction, wherein the rules relaxation identifier is configured to request that the authorization rules be relaxed for the retried first transaction in response to the additional authentication data being verified;
• and
• receive an approval message for the retried first transaction, the approval message denoting relaxation of one or more of the authorization rules and acceptance of the retried first transaction by an issuer associated with the accountholder.