What happens and what to do when your payout has been rejected or failed
Velocity Global Contractor Management (VGCM) does its best to deliver your payouts on time and successfully, but sometimes payouts fail for reasons outside of our control. This article helps explain the common reasons and what to do to fix this.
Bank Transfer (ACH) Failures
If a payment to your bank account made through a bank transfers (sometimes called ACH) fails we will alert you via email as soon as we receive that error. The most common reason for this rejection we see is because of invalid account credentials.
That means that the routing or account number you've entered in not correct and your bank was not able to locate your account for payment. When that happens, you will need to add a brand new default payout method. You can follow this guide on how to do that.
Note: You cannot update an existing payout method to correct the details you've entered. You must add a brand new method.
After you've added a brand new payout method to your VGCM account you're all set. When the return from your bank is completed we will send out your payment again to the new account you've selected as your default.
Note: It can take 1-3 business days for the return from your bank to VGCM to be completed. This timeline is outside of our control and can vary from bank to bank. We cannot resend a payment until a return has been successfully completed.
Instant Payout Failures
If a payout sent via instant payout fails, you'll receive an email notification from our team alerting you to this. When you receive this alert you'll need to update your payout information to a brand new default instant payout method, or to a standard method. You can follow this guide on how to do that.
If a new one isn't added, we'll try to fall back to your default standard payout method and send it via a bank transfer.
After adding a new payout method, VGCM will typically retry your payout within 3 hours. If the new payout method fails, we'll alert you and try 2 more times over the course of 24 hours.
We strongly suggest not adding the same payout method back to your account after a failure as this will likely result in a failure again and farther delay the receipt of your payment.
If those payouts fail too we will attempt to send this payout to your standard payout method via bank transfer.
Why did my instant payout fail?
When a bank rejects an instant payout, we don’t receive a clear rejection message or reason. These rejections can occur for several reasons—for example, your bank may limit the number of instant payouts allowed within a specific timeframe (such as daily or weekly), or they may cap the total dollar amount of instant payouts within that same period. Many banks set an upper limit for instant payouts around $3,000 to $4,000.
Why did my instant payout fail now when it has worked in the past?
Because instant payout limitations are often based on timing or transaction value, a payment method that previously worked may reject a future payout if certain thresholds are exceeded.
For example, if your past payouts were all under $1,000, a payment over $5,000 might be rejected due to your bank’s limits. Similarly, if your bank allows only three instant payouts per week and you attempt a fourth, that transaction could also be declined.
My bank doesn't see that you've attempted an instant payout. Why is that?
When contacting your bank about a missing instant payout, it's important to note that the payment was not sent via ACH transfer. Instant payouts from VGCM are sent through either the Real-Time Payments (RTP) network or Push-to-Card (PTC).
Bank support agents may not always be familiar with these payment types right away, so providing this clarification can help them assist you more effectively.