What is transaction count limit?

Understanding Transaction Count Limits

Financial institutions, such as DBS, implement transaction count limits on their account holders’ cards to manage transaction volumes and prevent fraudulent activities.

Definition of Transaction Count Limit

A transaction count limit refers to the maximum number of debit or credit card transactions that can be processed within a specific time frame, typically daily. This limit varies depending on the account type, card issuer, and security measures in place.

Purpose of Transaction Count Limits

These limits serve several crucial purposes:

• Fraud Prevention: High transaction volumes can indicate suspicious activity, such as unauthorized purchases or card theft. Limits help identify and prevent potential fraud.
• Account Protection: Excessive transactions can deplete an account’s balance, leaving it vulnerable to overdrafts or unauthorized withdrawals. Limits protect account holders from financial losses.
• System Stability: Limiting transaction counts helps ensure that card processing systems run smoothly without overloading or crashing.

Consequences of Exceeding Transaction Count Limit

If an account holder exceeds the daily transaction count limit, they may face the following consequences:

• Declined Transactions: The card will be declined for further transactions until the limit resets.
• Account Freeze: In extreme cases, the account may be frozen to prevent further fraudulent activity or financial losses.
• Additional Fees: Some card issuers may charge fees for exceeding transaction count limits.

Checking Transaction Count Limits

Account holders can check their transaction count limits by:

• Contacting their bank or credit card issuer
• Reviewing account statements or online banking portals
• Using mobile banking apps that provide account details

Managing Transaction Count Limits

To avoid exceeding transaction count limits, account holders can consider the following strategies:

• Plan large purchases in advance and make separate transactions if necessary.
• Use alternative payment methods, such as checks or bank transfers, for large transactions.
• Monitor transaction activity regularly and contact the issuer if any suspicious or unauthorized transactions are detected.

By understanding and adhering to transaction count limits, account holders can protect their accounts from fraud, maintain financial stability, and ensure smooth card processing.