Why Some Debit Cards Should Not Be Saved or Tokenized for Loan Repayments

For loan repayments, the requirement is reliable recurring payments, not one-time card success.
Some cards can be validated (or even tokenized) and still fail when used for autopay or recurring debits.

Important: Tokenization does not equal recurring eligibility.
Token creation often only confirms the card exists. Issuers can still block recurring (merchant-initiated) charges later.

Why this causes confusion

  • Some issuers allow a card to be charged once but block recurring debits.
  • A $0/$1 test (or a one-time payment) does not prove recurring will work.
  • Letting unreliable programs tokenize creates false confidence for lenders.
  • Many failures are triggered by issuer rules tied to transaction type (recurring vs one-time) and merchant category.

Heavy-handed policy: If a card program is known to be unreliable for autopay, we do not allow it to be saved or tokenized.
One-time payment capability is not sufficient for loan repayment requirements.

Operational note: Lenders typically operate under MCCs associated with financial services or debt repayment.
Some fintech and prepaid-style debit programs explicitly restrict recurring charges under these categories.


🔴 RED — Not Allowed (Blocked from Save/Tokenize)

These BINs/issuers are strongly associated with recurring failures and issuer restrictions in lending use cases.
We block these cards from being saved/tokenized because lenders require dependable autopay.

Issuer / Program (Examples)Sample BINs*Why Block
Stride Bank (fintech / neobank programs)447227xxRecurring and MIT debits frequently restricted by issuer rules.
Cross River Bank (fintech sponsor bank)466349xxHigher observed rate of issuer-side restrictions for ongoing debits.
Evolve Bank & Trust (fintech sponsor bank)494638xxInconsistent recurring authorization support.
Pathward / MetaBank (prepaid & fintech programs)425418xx, 535316xxPrepaid-style controls; frequent service-code restrictions.
Sutton Bank (Cash App & similar)476684xx, 510053xxIssuer blocks recurring loan-related pulls.
Capital One debit (migration/routing volatility)549171xx, 546063xx, 601141xx, 601144xx, 601146xxNetwork/routing changes can cause stale tokens and recurring failures.

Policy rule: If a card matches any RED issuer/BIN range, the “Save for autopay” option is disabled and the user must provide a different debit card or a bank account.


🟡 YELLOW — Allowed Only if You Accept Higher Risk

If you decide to accept these cards, do it with eyes open: recurring reliability is mixed.
Many credit-union debit programs belong here by default because behavior varies by BIN-8 and card program.

Issuer / Program (Examples)Sample BINs*Why “Yellow”
Credit union debit (varies by program/BIN-8)(varies)Some ranges support recurring; others reject recurring/MIT or lending MCCs.
Regional/community bank debit (mixed history)(varies)Inconsistent recurring outcomes depending on issuer controls and processor.

Escalation rule: If a YELLOW BIN-8 repeatedly fails recurring charges (especially after a successful pre-auth),
promote that BIN-8 to RED and block it going forward.


🟢 GREEN — Generally Best for Recurring (Still Not a Guarantee)

These are examples of BINs commonly associated with traditional bank debit programs.
They are typically the lowest observed risk for recurring repayments.

Issuer / Program (Examples)Sample BINs*Why “Green”
JPMorgan Chase debit411472xx, 412456xxConsistent recurring and card-on-file support.
Bank of America debit551988xx, 549170xxLower observed issuer restriction rates.

Bottom line: If a card can’t reliably support recurring charges, it should not be tokenized or used to fund a loan.
One-time payment capability is not sufficient for lending requirements.

*Sample BINs are representative examples pulled from public BIN directories and observed merchant issues.
BINs can change, and issuers can adjust rules at any time. Monitor outcomes by BIN-8 and issuer over time.

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