diff --git a/src/types/index.ts b/src/types/index.ts
index 4a7ae4f..2e6374e 100644
--- a/src/types/index.ts
+++ b/src/types/index.ts
@@ -3,8 +3,8 @@
  * This is the main entry point for all type exports
  */
 
-export { TRANSACTION_STATUSES } from './transaction-status.ts';
-export type { TransactionStatus } from './transaction-status.ts';
+export { TRANSACTION_STATUSES, isTerminalTransactionStatus } from './transaction-status.ts';
+export type { TerminalTransactionStatus, TransactionStatus } from './transaction-status.ts';
 
 export type { Customer } from './customer.ts';
 
diff --git a/src/types/transaction-status.ts b/src/types/transaction-status.ts
index ccd3839..d750b1f 100644
--- a/src/types/transaction-status.ts
+++ b/src/types/transaction-status.ts
@@ -26,3 +26,28 @@ export const TRANSACTION_STATUSES = [
 
 /** Union of all valid transaction statuses, pulled from the array above. */
 export type TransactionStatus = (typeof TRANSACTION_STATUSES)[number];
+
+const TERMINAL_TRANSACTION_STATUSES = [
+  'completed',
+  'refunded',
+  'expired',
+  'error',
+  'no_market',
+  'too_small',
+  'too_large',
+] as const;
+
+/** Union of transaction statuses that cannot make further progress. */
+export type TerminalTransactionStatus = (typeof TERMINAL_TRANSACTION_STATUSES)[number];
+
+/**
+ * Returns true when a transaction can no longer make progress.
+ *
+ * Terminal statuses:
+ * `completed`, `refunded`, `expired`, `error`, `no_market`, `too_small`, `too_large`
+ */
+export function isTerminalTransactionStatus(
+  status: TransactionStatus,
+): status is TerminalTransactionStatus {
+  return (TERMINAL_TRANSACTION_STATUSES as readonly TransactionStatus[]).includes(status);
+}
diff --git a/tests/types/transaction-status.test.ts b/tests/types/transaction-status.test.ts
index a693484..a14db6c 100644
--- a/tests/types/transaction-status.test.ts
+++ b/tests/types/transaction-status.test.ts
@@ -1,4 +1,9 @@
-import { TRANSACTION_STATUSES, type TransactionStatus } from '@/types/index.ts';
+import {
+  isTerminalTransactionStatus,
+  TRANSACTION_STATUSES,
+  type TerminalTransactionStatus,
+  type TransactionStatus,
+} from '@/types/index.ts';
 
 describe('TransactionStatus', () => {
   // -- runtime checks on the status array --
@@ -30,6 +35,38 @@ describe('TransactionStatus', () => {
     expect(unique.size).toBe(TRANSACTION_STATUSES.length);
   });
 
+  it('returns the expected result for every valid status', () => {
+    const terminalStatuses = new Set<TransactionStatus>([
+      'completed',
+      'refunded',
+      'expired',
+      'error',
+      'no_market',
+      'too_small',
+      'too_large',
+    ]);
+
+    for (const status of TRANSACTION_STATUSES) {
+      expect(isTerminalTransactionStatus(status)).toBe(terminalStatuses.has(status));
+    }
+  });
+
+  it('acts as a type guard for terminal statuses', () => {
+    const terminalStatuses = TRANSACTION_STATUSES.filter(isTerminalTransactionStatus);
+
+    const narrowed: TerminalTransactionStatus[] = terminalStatuses;
+
+    expect(narrowed).toEqual([
+      'completed',
+      'refunded',
+      'expired',
+      'error',
+      'no_market',
+      'too_small',
+      'too_large',
+    ] satisfies TerminalTransactionStatus[]);
+  });
+
   // -- compile-time checks (tsc catches these before tests even run) --
 
   it('accepts every valid status', () => {