What is the function of a Cancellation?

The function of a Cancellation is to nullify a previously transmitted transaction request. This is an important aspect of transaction processing, as it allows businesses to manage and rectify situations where a transaction should not be completed or where the customer has requested that the transaction be stopped before it is finalized.

This typically applies in scenarios where either the customer changed their mind or there was an error in processing the transaction. By issuing a cancellation, the system ensures that the transaction does not proceed, thus preventing any potential charges or complications that could arise from a transaction that the customer no longer agrees to.

In contrast, reinstating a previously completed transaction, confirming a sale, or issuing a refund involve different processes and functionalities that do not align with the sole purpose of a cancellation, which is strictly to prevent completion of a transaction that has been initiated but should not be processed.