Stand-In Spending limits (including Smarter STIP)

Welcome to part 2 of the STIP Mega Guide. This part covers services that help manage the balance between risk and customer service — essential when operations occur within STIP and are not under the issuer's full control.

Background

When STIP makes decisions on behalf of the issuer, spending limits are a critical control mechanism. They help ensure that STIP approvals do not expose issuers to excessive fraud losses while still maintaining a good cardholder experience.

VIP STIP spending limits

VIP STIP allows issuers to configure spending limits that STIP will use when making stand-in decisions. These limits can be set by transaction type, currency, and other parameters, giving issuers fine-grained control over STIP approval behavior.

Smarter STIP

Smarter STIP represents an evolution in stand-in processing, incorporating AI-powered decisioning to make more intelligent approval/decline decisions during stand-in. Rather than applying simple spending limits, Smarter STIP uses machine learning models to evaluate transaction risk in real time, improving approval rates while managing fraud exposure.

For help configuring STIP spending limits and evaluating Smarter STIP, contact Payment Authorization Expertise.