Verifying a payment with a code

Karat may ask you to verify an outgoing payment before sending it. This happens when Karat’s fraud checks flag the payment. Instead of holding the payment for review, Karat sends you a six-digit code so you can confirm the payment yourself. This applies to Karat transfers, ACH transfers, domestic wires, international wires, and transfers between your accounts that you send from the dashboard. Funding deposits, payments made with an API key, and recurring payments don’t require a code. This feature is rolling out gradually, so you may not see it yet. When Karat asks for verification, your payment is not sent yet. Karat sends the code by text, email, or both, and the dashboard shows a Verification code step that tells you where the code was sent.

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Enter or resend the code

1. Enter the six-digit code in the Verification code field.
2. Click Verify and send. Karat sends the payment only after you enter the correct code.
3. If you didn’t receive the code, click Resend code. You need to wait about 30 seconds between resends.

To stop the payment, click Cancel payment. Some flagged payments also need a review by the Karat team. For these payments, you enter the code first. After you verify, Karat holds the payment for review instead of sending it right away. The review starts only after you enter the correct code. A payment you haven’t verified, or one whose verification is locked, is never sent. After you verify a payment, other flagged payments you send from the same organization and device within about three hours don’t require a new code.

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Code expiration and attempt limits

• Codes expire after about 10 minutes. If your code expires, click Resend code to get a new one.
• You get a limited number of attempts, typically 5, to enter the correct code. The dashboard shows how many attempts you have left.
• You can resend the code a limited number of times, typically 3, per payment.

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If verification is locked or closed

• Too many attempts: after too many incorrect codes, Karat locks the verification and does not send the payment. Start the payment again or contact our concierge team.
• No more resends: after you reach the resend limit, start the payment again or contact our concierge team.
• Verification no longer open: check your transfers or contact our concierge team before starting another payment.

If you enter the correct code but the dashboard can’t confirm the result, check your transfers before trying again. This helps you avoid sending the same payment twice. If the problem continues, contact our concierge team. _{Karat is a fintech company, not an FDIC-insured bank. Banking and Card services provided by Grasshopper Bank, N.A., First Internet Bank of Indiana, and Cross River Bank, Members FDIC.}