This usually happens when the sender of the bank transfer uses a different currency from the recipient. The bank will charge additional fees, called shared costs, for cross-border transfers. You can recognise a shared cost charge by a message in the payment reference. It will have a format like this:
- Charge: EUR XXX by 3rdPty SHAR
Why has a cross-border transfer failed?
The bank will automatically deduct the shared costs from a cross-border transfer. So when we receive the transfer, we will not be able to match the amount to the right transaction. Because of that, the transaction will be marked as failed and refunded to the sender.