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For Product verticals such as Credit or Fleet, you may create a credit limit on your account holder's financial account based on your underwriting criteria, agreements and product guidelines. The credit limit establishes a maximum spending limit for a given time period and authorizations that exceed the credit limit will be declined.
Once you have created a credit limit, you have the flexibility to update a credit limit as you factor in new information, such as changes in your customers' financial situations.
As part of this feature, Highnote tracks the total credit extended to your Account Holders' Financial Accounts and ensures the extended credit does not exceed your Product Funding balance.
Note: Setting or updating a credit limit is an asynchronous process to ensure your ledger balances and validations are in check.
Once you have requested to create or update the credit limit on a Financial Account, you can query for and display the Financial Account Credit Limit status.
Status | Description |
---|---|
PENDING | The platform is currently validating and executing the limit update |
PROCESSING | The platform has started processing limit update |
COMPLETED | The platform has completed the limit update |
FAILED | The platform was not able to complete the limit update. See statusReasonCode for more information |
statusReasonCode
has following values:
Status Reason Code | Description |
---|---|
ACCOUNT_CLOSED | The associated product funding account or financial account is closed |
ACCOUNT_NOT_FOUND | The financial account was not found |
INSUFFICIENT_FUNDS | The associated product funding account did not have enough funds to cover the requested amount |
LIMIT_AMOUNT_EXCEEDING_MAX_PROGRAM_LOAD_LIMIT | The requested amount is more than max product limit |