diff --git a/app/helpers/epp/domains_helper.rb b/app/helpers/epp/domains_helper.rb
index 167fddad7..c30960f9a 100644
--- a/app/helpers/epp/domains_helper.rb
+++ b/app/helpers/epp/domains_helper.rb
@@ -63,7 +63,7 @@ module Epp::DomainsHelper
     @domain = find_domain
 
     handle_errors(@domain) and return unless @domain
-    handle_errors(@domain) and return unless @domain.transfer(@ph[:authInfo][:pw], current_epp_user)
+    handle_errors(@domain) and return unless @domain.transfer(domain_transfer_params)
 
     render '/epp/domains/transfer'
   end
@@ -95,6 +95,14 @@ module Epp::DomainsHelper
     }
   end
 
+  def domain_transfer_params
+    res = {}
+    res[:pw] = parsed_frame.css('pw').first.try(:text)
+    res[:action] = parsed_frame.css('transfer').first[:op]
+    res[:current_user] = current_epp_user
+    res
+  end
+
   ## RENEW
   def validate_domain_renew_request
     @ph = params_hash['epp']['command']['renew']['renew']
diff --git a/app/models/contact.rb b/app/models/contact.rb
index ffb4f1455..bdd4de6f2 100644
--- a/app/models/contact.rb
+++ b/app/models/contact.rb
@@ -73,8 +73,7 @@ class Contact < ActiveRecord::Base
   end
 
   def auth_info_matches(pw)
-    return true if auth_info == pw
-    false
+    auth_info == pw
   end
 
   # Find a way to use self.domains with contact
diff --git a/app/models/domain.rb b/app/models/domain.rb
index 479ac515e..4702e6b91 100644
--- a/app/models/domain.rb
+++ b/app/models/domain.rb
@@ -205,9 +205,12 @@ class Domain < ActiveRecord::Base
   end
 
   ### TRANSFER ###
-  def transfer(pw, current_user)
-    return false unless authenticate(pw)
-    return true if pending_transfer
+  def transfer(params)
+    return false unless authenticate(params[:pw])
+
+    if pending_transfer && params[:action] == 'approve'
+      approve_pending_transfer and return true
+    end
 
     wait_time = SettingGroup.domain_general.setting(:transfer_wait_time).value.to_i
 
@@ -215,7 +218,7 @@ class Domain < ActiveRecord::Base
       domain_transfers.create(
         status: DomainTransfer::PENDING,
         transfer_requested_at: Time.zone.now,
-        transfer_to: current_user.registrar,
+        transfer_to: params[:current_user].registrar,
         transfer_from: registrar
       )
     else
@@ -223,15 +226,26 @@ class Domain < ActiveRecord::Base
         status: DomainTransfer::SERVER_APPROVED,
         transfer_requested_at: Time.zone.now,
         transferred_at: Time.zone.now,
-        transfer_to: current_user.registrar,
+        transfer_to: params[:current_user].registrar,
         transfer_from: registrar
       )
 
-      self.registrar = current_user.registrar
+      self.registrar = params[:current_user].registrar
       save
     end
   end
 
+  def approve_pending_transfer
+    p = pending_transfer
+    p.update(
+      status: DomainTransfer::CLIENT_APPROVED,
+      transferred_at: Time.zone.now
+    )
+
+    self.registrar = p.transfer_to
+    save
+  end
+
   def pending_transfer
     domain_transfers.find_by(status: DomainTransfer::PENDING)
   end
diff --git a/spec/epp/domain_spec.rb b/spec/epp/domain_spec.rb
index e04d7a30d..3077c35bf 100644
--- a/spec/epp/domain_spec.rb
+++ b/spec/epp/domain_spec.rb
@@ -84,7 +84,7 @@ describe 'EPP Domain', epp: true do
         expect(trn_data.css('exDate').text).to eq(d.valid_to.to_time.utc.to_s)
       end
 
-      it 'approves the transfer request', pending: true do
+      it 'approves the transfer request' do
         s = Setting.find_by(code: 'transfer_wait_time')
         s.update(value: 1)
 
@@ -93,12 +93,13 @@ describe 'EPP Domain', epp: true do
         response = epp_request(xml, :xml)
         trn_data = response[:parsed].css('trnData')
         d = Domain.first
+        dtl = d.domain_transfers.last
 
         expect(trn_data.css('name').text).to eq('example.ee')
-        expect(trn_data.css('trStatus').text).to eq('serverApproved')
+        expect(trn_data.css('trStatus').text).to eq('clientApproved')
         expect(trn_data.css('reID').text).to eq('10577829')
         expect(trn_data.css('reDate').text).to eq(dtl.transfer_requested_at.to_time.utc.to_s)
-        expect(trn_data.css('acID').text).to eq('10577829')
+        expect(trn_data.css('acID').text).to eq('123')
         expect(trn_data.css('exDate').text).to eq(d.valid_to.to_time.utc.to_s)
       end