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Understanding Spend Controls — what's blocked and why

Spend Controls block card transactions before they happen. This article explains what each rule covers, its limitations, and what cardholders see when a transaction is declined.

Budgetly default rules (always on)

High risk transactions

Active for every company — cannot be turned off.

Blocks transactions associated with high-risk merchants, categories, or currencies. The specific criteria are set by Budgetly and may change from time to time.

Company rules (Premium and Enterprise)

These are off by default. Admins can enable them in Settings → Preferences → Cards → Spend controls.

ATM withdrawals

Blocks cash withdrawals at ATMs for all company cards.

  • Physical cards only — virtual cards cannot withdraw cash regardless of this setting.
  • ATM withdrawals can also be blocked per user under Users → [User] → Preferences. The company-wide toggle and the per-user setting work independently.

Liquor stores

Blocks all purchases at liquor stores, bottle shops, and wine merchants.

Important: Alcohol sold at grocery stores and supermarkets (e.g. Aldi, Costco, Woolworths) may not be blocked by this rule. These merchants are typically classified as general retail by the card network, not as liquor stores.

Pubs and bars

Blocks all purchases at bars, pubs, and nightclubs.

Important: Merchant classification by the card network is not always exact. Some restaurants categorised as bar merchants may be blocked by this rule. Conversely, some pubs categorised as restaurant merchants may not be blocked.

International transactions

Blocks any transaction processed in a non-AUD currency.

Important: Some Australian merchants charge in a non-AUD currency (e.g. international travel bookings, overseas-based subscriptions billed in USD). These transactions are blocked by this rule even though the merchant is local.

Online transactions (coming soon)

Note: This control ships as a follow-up release after launch. It will appear in your Spend controls settings once available.

Blocks all card-not-present purchases — online shopping, subscriptions, SaaS tools, and e-commerce.

  • In-person transactions (tap, insert, swipe) are unaffected.
  • This is a binary block — all online or none. It is not possible to allow some online merchants and block others in this release.

Digital wallet (coming soon)

Note: This control ships as a follow-up release after launch. It will appear in your Spend controls settings once available.

Blocks payments made via Apple Pay and Google Pay. Also prevents cards from being added to mobile wallets.

  • Cards already added to a mobile wallet before this rule is enabled are not removed, but payments via those wallets are blocked.
  • When a user tries to add a card to Apple Pay or Google Pay while this rule is active, they see: “Digital wallet is disabled for your company.”
  • Disabling the rule re-enables wallet payments and allows new provisioning immediately.

What cardholders see when a transaction is declined

When a spend control rule blocks a transaction, the cardholder receives:

  • A push notification with the merchant name, amount, and the specific rule name (e.g. “Alcohol purchases are restricted by your company”).
  • An email notification with the same details.
  • A decline reason on the transaction detail page, showing the rule that triggered the decline — separate from budget-related declines.

What admins see in the Action Log

Every spend control decline creates a separate entry in the Action Log, showing the card, the cardholder, the merchant, the amount, and the rule that triggered the block. Every rule change is also logged, with the admin’s name, the rule that changed, and the time.

Action Log entries for spend control declines are distinct from budget-related decline entries, so finance teams can filter and report on policy enforcement separately.

Common questions

Why was a transaction at a supermarket not blocked even though Liquor stores is on?
Supermarkets and grocery stores are classified as general retail by the card network, not as liquor stores. Only dedicated liquor stores, bottle shops, and wine merchants are blocked. This is a known limitation of merchant category-based blocking.
Why was a transaction at a restaurant blocked by the Pubs and bars control?
The Pubs and bars control is based on how the merchant is classified by the card network. Some restaurants are categorised as bar merchants and may be blocked. If a legitimate transaction is being blocked, contact your admin — they can disable the rule.
Why was a transaction at an Australian merchant blocked by International transactions?
The rule blocks any transaction processed in a non-AUD currency — regardless of where the merchant is located. Some Australian merchants (e.g. international travel bookings, overseas-based subscriptions) charge in USD or other currencies, so the transaction is blocked even though the merchant is Australian.
Can a cardholder override a spend control decline?
No. Spend control rules are company-wide and cannot be overridden by the cardholder. The admin needs to disable the rule if a legitimate transaction is being blocked.
Are credits and refunds affected?
No. Refunds and credits are always processed regardless of active spend controls — even from a blocked merchant category.
What if a rule blocks a transaction by mistake?
Contact your company admin. They can disable the rule in Settings → Preferences → Cards → Spend controls. If you believe the merchant is incorrectly categorised, contact Budgetly support.