Mastercard chargeback reason code 4871 is one of the numeric labels assigned by banks to customer disputes, indicating the given reason for the claim. Discover chargeback reason codes are divided into three categories: service disputes, processing errors, and fraud. MASTERCARD Reason Code Description 01 Requested Transaction Data Not Received 02 Requested\Required information illegible or missing 07 Warning Bulletin File 08 Requested\Required authorization not obtained 12 Account number not on file 31 Transaction amount differs 34 Duplicate Processing 70 (1) Card Recovery Bulletin. 4853 – Cardholder Dispute – Credit Not Processed. Please note that the most common Chargeback reason code for Allocation disputes is 10. This code indicates a counterfeit card was used to make a purchase from a card-present merchant who didn't scan the card's EMV chip. Most reason codes apply to any merchant, regardless of what’s being sold. Specify the invoice date and net due date that you want the system to assign to chargebacks. Thanks for following the Chargeback Gurus blog. VISA CHARGEBACK REASON CODE 70 De*****ion Media Required No Verification/Exception File Merchant completed a transaction after receiving a negative account number verification, or An authorization was not required, but the account number was listed on the Exception File with a pick-up response and the merchant did not obtain. 2. For example, Visa reason code 83 is one of the reason codes with several modifiers with which it’s associated. Some Mastercard reason codes (4808, 4870, and 4871) proceed directly to arbitration if the issuer does not accept the merchant's representment. 00, an authorization should be requested for $70. 00. As part of its move to support card-not-present merchants and airlines, Visa made changes to the compelling evidence requirements for four key reason codes: Reason Code 30: Services Not Provided or Merchandise Not Received. 65 - Exceeds Withdrawal Frequency Limit. This scenario applies when the arbitration was raised by either the. The aim of CE 3. 195 Acquirer Use of Message Reason Code 7627-No MAC Provided. During an economic recession, the average percentage of revenue lost to a fraudulent transaction increases by 39%. Chargeback Representment. Visa chargeback reason code 10. When you receive a dispute, a reason code will be assigned by the bank who issued the customer’s card. . “Visa has 28 different reason codes. This list was generated 5/4/2022. The cost of fraud relative to the transaction amount also increases by 12%. 'luhfw fruuhvsrqghqfh wr wkh dssursuldwh hpdlo edvhg xsrq wkh uhdvrq frgh ri wkh lvvxh olvwhg ehorz <rx pd frpelqh lvvxhv iru gliihuhqw uhdvrq frghv lq wkh vdph fruuhvsrqghqfh rqo li wkh hpdlo ghvwlqdwlrq lv wkh vdph <rx pd. They can also be caused by a merchant failing to process a cancellation promptly. Card Number: Alphanumeric:. 7 falls under the “Consumer Disputes” category. 1: Use the corresponding dates from the invoice. ” This indicates a transaction was processed using a card that Visa listed as stolen or counterfeit. With that said, you still need to understand the reason codes with any chargebacks from Amex. The Most Common Chargeback Reason Codes you should know. Complete Guide to Visa Compelling Evidence Update CE 3. Luckily, our reason code directory makes is a bit simpler to make sense of issuer codes. At Visa they used to receive reason code 98. The chargeback reason codes below explain why this happened. Updated the following columns - card type, response due date. What is the chargeback reason code? Chargeback reason codes are alphanumeric codes developed by banks to help cardholders select the reasons for filing chargebacks. Under reason code 85, the minimum transaction amount required to initiate chargeback should be at least $25. Discover uses unique codes to explain those reasons to merchants. If the account. However, the disputes themselves are still categorized by the issuing bank based on the card network issuing the card. Whenever an incorrect account number is processed, or the. All received credit card disputes include a reason code. Updated these Visa Chargeback Codes: 30, 62, 85. The most comprehensive guide to chargeback reason codes. The goal is to reduce ‘friendly’ fraud chargebacks, helping sellers protect more of their hard-earned revenue. non_receipt: The buyer claims they didn't get the goods or services. Reason Code 53 chargeback can be re-presented in one of the following circumstances: chargeback is invalid or a credit was processed. the chargeback reason code, the issuer/acquirer, and the end customer’s buying patterns, yielding a recovery rate that is three times the industry average. 6 Processing Transactions 7 Processing Transactions Swiping a Card Before swiping, make sure the stripe is facing the reader. American Express Chargeback Codes (2023) American Express functions as a card network and an issuing bank. Here are some chargeback reason codes by card type. Understand the reason for the chargeback. They must respond within 30 days at each phase, or 10 days for arbitration. Review your credit card processor’s policies to understand its chargeback dispute process. Knowing these codes can help you dispute chargebacks more effectively. 1 Merchandise/Services Not Received. ”. 10. A chargeback happens when a customer requests for a transaction to be reversed. These codes explain the reason why the chargeback was filed, and the reason the chargeback was approved. Older time limits for disputes vary based on reason code; in many cases buyers have 120 days after a purchase to file a chargeback. If the cardholder bases the. Chargeback Reason Codes: List & Tips for Merchants REASON CODE CATEGORIES Fraud 10. 8% with at least 1,000 total disputes. Code 10. Each chargeback received a numeric code which is known as the “reason code”. Chargebacks911® can help your business manage all aspects of chargeback reason codes, with proprietary technologies and experience. Either the acquiring or issuing bank could initiate the. 2. As we touched on earlier, chargebacks can happen due to technical errors. 4. . Reason code 83 represents a chargeback categorized as. • Chargeback Reason Code – Each chargeback contains a reason code that signifies the reason for the dispute and the rules that must be followed by the issuer and the merchant in order to resolve the dispute. While there are many chargeback reason codes, all chargebacks fall into one of three categories: Step 4: Card Network Collects Dispute Information. This code is used when a cardholder claims that a fraudulent transaction occurred in a face-to-face environment, such as a retail store. Chargeback Reason Codes List for Mastercard Chargeback Code Chargeback Reason 4801 Requested Transaction Data Not Received 4802 Requested / Required Information Illegible or Missing 4807 Warning Bulletin File 4808 Requested / Required Authorisation Not Obtained 4812 Account Number Not on File 4831. If you believe you have received an ACH return in error, you can contact your bank. Get your complete guide to Mastercard reason codes, including all the detailed information, chargeback time limits, and other important information you need. Pre. Below is a list of Mastercard chargeback codes used in eCommerce. This chargeback reason code is also referred to as “Point-of-Interaction” Errors. Chargeback reason codes fall under three main groups: Fraud. In the case of friendly fraud, that reason could be completely invalid and. You must assign a chargeback reason code (03B/CB) to explain the reason for entering chargeback for the invoice. Your chargeback response must include at least one of the following items: Explanation and documentation to refute the cardholder’s claim. Fraud UA01 Fraud – Card Present Transaction UA02 Fraud – Card Not Present Transaction UA05 Fraud – Chip Counterfeit Transaction UA06 Fraud – Chip and PIN. ”. Which fraud reason codes will be included in EMV Liability Shift? How are Lost/Stolen transactions affected? A. many chargeback reason codes that exist today. 4853 – Cardholder Dispute – Digital Goods Purchase of $25 or Less. Chargebacks. Most commonly a Reason Code 70 chargeback occurs when the merchant processes a transaction below its floor limit without making sure that the exception file had been checked. American Express chargeback reason code C42. Reason Codes: 08 / 20 / 71 / 72 A card was used either before or after its valid date Never process a transaction on a card prior to, or after, the valid date. Reason code=108(chargeback) Reason code=109(Pre-arbitration). UA01 Fraud – Card Present Transaction. Each chargeback reason code has specific rules and documentation requirements. MASTERCARD. Acquirer Use of Message Reason Code 7623. The reason code also presents a timeline to fight the chargeback and what evidence is needed to reverse the chargeback. Several reason codes fall under this heading, and it is important to differentiate between chargebacks with reason code 4870 (Chip Liability Shift) from those with reason code 4871 (Chip Liability Shift Lost/Stolen/Never. 2%. Issuers will not have the ability to submit lost/stolen fraud chargebacks for chip-on-chip (contact or contactless) AFD transactions. 3: Added maximum length information for the following: Claimant Email Address Claimant Name Credit Card Chargeback Reason Code Dispute Amount Seller Protection Payout Amount: October 2012: 7. In addition to Reason Codes changing as a result of the VCR program, each Reason Code is now associated with a new Reason Category. What is the chargeback reason code?. However, Visa is the largest card brand in both the United States and the world. Everything You Need to Know (2023) Shopify POS has everything you need to sell in person, backed by everything you need to sell online. You can learn more about each one by visiting the Mastercard Chargeback Guide. Check the chargeback reason code. In 2021, the last parts of the EMV liability shift finally rolled out, removing the exception for self-service fuel pumps that had been in place since the beginning of the shift. 7 falls under the “Consumer Disputes” category. 0 and above Chrome version 70. Description of Change Where to Look Updated Chip Liability Shift table elements Second Presentment Condition bullet #2, Supporting Documents and DE 72. Added the following fields - Store ID, Credit Card Chargeback Reason Code. All ACH return reason codes consist of the letter “R” followed by two. For example, the dispute reason “Cardholder Does Not Recognize” is denoted under the Discover reason codes system as “AA. Visa Visa Chargeback Reason Codes The Visa chargeback reason codes system underwent a major overhaul in April 2018 as part of their new Visa Claims Resolution (VCR) initiative. . The incorrect amount being charged. 04/04/16 Added American Express Chargeback and Retrieval Reason Codes. Visa groups its various reason codes into several broad dispute categories. What is Visa chargeback reason code 13. non_receipt: The buyer claims they didn't get the goods or services. 0 initiative to update compelling evidence requirements for dispute reason code 10. • Section 4: Chargeback Reason Codes—Contains detailed information on the reason codes for the most common types of chargebacks that merchants receive. chargeback: The buyer filed a chargeback with the credit card issuer. Acquirer Use of Message Reason Code 7623. 4 applies to eCommerce, whereas code 10. chargeback: The buyer filed a chargeback with the credit card issuer. 70 (1) Card Recovery Bulletin. The chargeback transfers funds from the acquirer to the issuer. 196Merchants who believe they have received an invalid chargeback under reason code 13. Merchants who believe they have received an invalid chargeback under reason code 13. The length and structure of Reason Codes changed from a current two-digit code to four to six digits that contains decimal(s) point(s). 65%: 4. R03 Insufficient Reply. All other reason codes are up to 120 days from the transaction date. The sales receipt and/or date and amount of the authorization if other than the transaction date. Chargeback Reason Codes by Scheme. Description. 1 Maestro chargebacks are still processed on legacy Chargeback processing as Maestro association has not switched onto MCOM interface yet. Visa’s process introduces four dispute categories and associated numerical labels (Fraud – 10, Authorization – 11, Processing Errors – 12, Consumer Disputes – 13) under which the renamed reason codes will be placed. A risk department can accurately analyze what the issue is with their merchant by seeing the individual reason code,” Cirone explained. Visa Chargeback Reason Codes. While the updates have been published, they do not go into effect until Oct. 2 chargebacks are frequently caused by customers forgetting to cancel a subscription before the next billing and then going to their bank to try to get their money back. For chargeback reason code 4837 (No Cardholder Authorizations) second presentments, new information such as a merchant name, location, or dates will no longer be allowed as a potential remedy to this chargeback when a merchant’s information is a complete mismatch between the authorization and clearing. What is a chargeback fee? A chargeback fee is a non-negotiable fee, charged to merchants each time they receive a chargeback. 4512:In 2021, 43 percent of companies identified customer service delays as a top reason for their increase in chargebacks. Credit card chargeback reason code: Type: Varchar; Unique: No; Blanks: Yes; Max length: 64 characters; Unique identifier which distinguishes the nature/reason of credit card chargeback reported. Some of the reasons why the order did not reach the cardholder can be as follows: The merchant did not provide the services;Reason Code 53 Re-presentment Conditions. Once you hear from. It's an incentive for merchants to avoid chargebacks as much as possible. They also can’t prevent the lost sales revenue and merchandise resulting from a consumer dispute. 4846. Cancel a timeshare within 12 days of the receipt or contract date. EN. It can range from 60 to 120 days from the billing date. 195 Acquirer Use of Message Reason Code 7627-No MAC Provided. In 2021, the last parts of the EMV liability shift finally rolled out, removing the exception for self-service fuel pumps that had been in place since the beginning of the shift. Chargeback Reason Code 62—Counterfeit fraud pertains to the EMV liability shift. We’ll Handle the Chargebacks. The standard chargeback process involves eight steps: Retrieval request: The card-issuing bank requests that the acquiring bank provide additional information for a given transaction. 7? Visa chargeback reason code 13. 0: Changed report name from Downloadable Dispute Report to Case Report. What are the odds a merchant will “win” the chargeback dispute? The true odds depend on the strength of the compelling evidence and the chargeback reason code itself. In simple terms, an Electronic Commerce Indicator (ECI) is basically a 3-D Secure response code. 54 - Expired Card. There are no format changes to the sales file specification; there are additional values added to the sales file to designate chip card transactions. This chargeback reason code was retired by Visa in April 2018. Chargeback reason code description – An explanation which provides the reason of raising a chargeback by the cardholder. 2 chargebacks are frequently caused by customers forgetting to cancel a subscription before the next billing and then going to their bank to try to get their money back. There are multiple situations in which this can occur. com shows that more than a. Dispute Category. When you receive a dispute, a reason code will be assigned by the bank who issued the customer’s card. Signifyd’s Revenue Protection solution offers fraud screening services to help merchant subscribers protect against fraudulent or unauthorized activity with respect to certain e-commerce transactions, as classified by the applicable card processor’s chargeback. Standard Threshold: Reaching a chargeback ratio of 0. 1=1010,. Documentation must be a direct result of cardholder communication. The code can be used in multiple specific situations; when necessary, an additional message will be provided along with the reason code to inform the merchant which particular type of chargeback. If you choose to fight the chargeback, Amazon Pay will charge you a $20 Disputed Chargeback Fee. By understanding the reason behind the chargeback, you can gather the necessary evidence to support your case effectively. In these situations, a merchant’s billing descriptor is simply not recognized by the customer. Eligible Chargeback Reason Codes . Each chargeback is assigned a reason code that explains the justification for the chargeback. If they think it does, they assign it a reason code and credit the funds back to the cardholder’s account. 70: Account Number on Exception File: 71: Declined Authorization: 72: No Authorization Obtained: 73: Expired Card: 74:Mastercard chargeback reason code 4871 is one of the numeric labels assigned by banks to customer disputes, indicating the given reason for the claim. 11, 16. The Allocation workflow applies to any chargeback assigned a “Fraud” or “Authorization”. . American Express Chargeback Codes (2023) American Express functions as a card network and an issuing bank. This gives them more of an incentive to keep their customers happy, which means they usually side with cardholders during a dispute. Early Warning: Reaching a chargeback ratio of 0. Click on “report a problem” and select the transaction in question. Once you know why a chargeback happened, you can start building a case to address the claims that were made. While there are reason codes related to processing errors that cause disputes, the majority of reason codes result from a cardholder disputing a charge. VCR tables (Figures 1 and 2) map the old Reason Code to its new Reason Code. Never swipe a card back and forth or at an angle, as it may cause the reader to misread the stripe. 195 Acquirer Use of Message Reason Code 7627-Face-to-Face or CAT Level 2 Transac tion. Batch chargeback process. 0. Merchant processed transaction below floor limit without authorization. Always ask for authorization regardless of the transaction amount. Complaint reason_code values include: not_as_described: The buyer claims that the goods or services received differ from the merchant's description of the goods or services. message. Complaint reason_code values include: not_as_described: The buyer claims that the goods or services received differ from the merchant's description of the goods or services. Use pre-sale fraud detection service providers that can help verify the cardholder’s identity, detect potential criminal activity, and reduce the risk of accepting unauthorized transaction. We assign the dispute to you for review in your Customer Area > Risk > Disputes, or send you a webhook. 4. Each card company has its. Specify the default reason code to. The shorthand description is “Late Presentment. Automate Tasks & Streamline Processes Let Midigator remove complexities and improve the efficiency of your chargeback management strategy. In most cases, though, cardholders have 120 days after the original purchase date to dispute the charge. Chargeback Visa Reason Codes more detail here. What stands out about the Discover reason codes list, though, is most of the codes are alphabetically-noted rather than numeric. 2. Download this sample Chargeback Rebuttal Letter. When a cardholder makes a purchase, but regrets it later, they may file a chargeback to recoup their money. Each card network has their own set of chargeback policies and reason codes, and they frequently change them. Chargeback. 65% with at least 75 total disputes. ”. Compare account numbers. Cause. 11, 16. Visa has recently announced changes to its chargeback rules. WEX has repurposed chargeback reason code 10 to indicate EMV chargebacks. This provided a number of insights into the typical causes of subscription chargebacks by industry: Computer Software : Cancelled Services was the most common chargeback reason code, which is troubling because these should be easily avoidable disputes. Updated Disputes/Chargeback Policy Coming April 2024Chargeback Reason Codes 85 and 4860 may be caused because the merchant: Did not issue a credit. Values are: Blank: Use the draft G/L date. Whether the CID — the four-digit security code on the front of the Card — matches the issuer’s records. [noun]/* kə • stə • mər • di • spyo͞ot/. Proof you have already refunded the transaction and credited the cardholder’s account. Chargeback Reason Code. A chargeback can happen when a customer initiates a transaction dispute. instead of chargeback reason codes Chapter 3—Dual Message System Chargebacks, Overview, Chargeback Message Reason Codes, First Chargeback: MTI 1442 Removed all references to chargeback message reason code 4802—Requested/Required Information Illegible or Missing as announced in Global Security Bulletin No. chargeback: The buyer filed a chargeback with the credit card issuer. The chargeback reason codes were created to standardize the list of acceptable reasons a bank may submit a card chargeback or a direct debit chargeback on behalf of its customer. UA06 Fraud – Chip and PIN Transaction. A chargeback reason code may display a chargeback related to fraud, processing errors, consumer disputes, or a variety of other reasons. Each code corresponds to an issue or problem. Try Shopify free for 3 days, no credit card required. This means the cardholder claims that they received goods or services that were substantially different from what the merchant described. It covers topics such as chargeback rights, time frames, reason codes, arbitration and compliance. Your business may not have to handle all chargeback cases — the processor will provide automatic representation in some instances. Codes 51 (insufficient funds) and 05 (do not honor) are especially common. Chargeback reason code 11. This gives them more of an incentive to keep their customers happy, which means they usually side with cardholders during a dispute. For example, a debit may have been processed instead of a credit, or a credit processed instead. . Chargeback. Below are the top causes of chargebacks including the reason codes established by leading credit card companies: Customer Dissatisfaction: Cardholder did not receive the items/service purchased, the products/services were not as described and/or product (s) was damaged or otherwise defective. Specify the default reason code that you want the system to assign when you enter a chargeback amount. A chargeback happens when a customer requests for a transaction to be. VISA 70 Card Recovery Bulletin or. May 25, 2021 6 min read Suppose you are hearing the term Chargeback Reason Codes for the first time. 4853 – Cardholder Dispute – Goods or. The transaction amount and authorization number (ARN. Paymentology will submit the chargeback using the appropriate chargeback reason code. All ACH return reason codes consist of the letter “R” followed by two. Justt, a Tel Aviv-based chargeback mitigation startup, is emerging out of stealth today with $70 million in total funding. ©For card-absent transactions, use all Visa tools, including AVS, CVV2, Visa Secure, and more, to reduce instances of fraud. The time limits for responding to a chargeback also vary based on the card scheme and the chargeback reason code. During an economic recession, the average percentage of revenue lost to a fraudulent transaction increases by 39%. This code applies when a cardholder claims to have returned merchandise or cancelled services, but the credit did not appear on the cardholder’s monthly. 4860 Credit Not Processed. Therefore, the issuer may submit a chargeback for a Payment Transaction using the message reason code 4842 before the 30-calendar day presentment time frame normally required for this message reason code. 1210 3. M49 Vehicle Rental – Theft or Loss of Use. Also, Ethoca Alerts only notify you of chargebacks that occur within the alert. The newer system is designed to. The customer is claiming that this purchase was not authorized. Code 4807: Fraudulent Card-Present Transaction. The agency must provide this documentation to Vantiv (via mail, fax, online/scanning) within 30 calendar days after the report date on the Visa/MasterCard. Information on proper voice authorization procedures may be needed for ‘referral’ responses. 5 Visa Fraud Monitoring ProgramThe chargeback debit usually occurs a few days after you receive the NoC. 1Chargeback Reason Codes by Industry. Below are the top causes of chargebacks including the reason codes established by leading credit card companies: Customer Dissatisfaction: Cardholder did not receive the items/service purchased, the products/services were not as described and/or product (s) was damaged or otherwise defective. In the case of an arbitration chargeback, though, the issuer must file within 45 calendar days of the second presentment settlement date. chargeback: The buyer filed a chargeback with the credit card issuer. MasterCard does not have an equivalent reason code. 1: goods not received. In these situations, a merchant’s billing descriptor is simply not recognized by the customer. Clearly differentiate between card-present and card-absent transactions by noting mail, phone, and internet. 11, 16. The keys to this are improved communication, enhanced customer satisfaction measures, and effective dispute resolution when necessary. Cardholder Disputes. Code 13. When one cardholder initiates a dispute with their issuing. Visa’s rules allow merchants to fight chargebacks by presenting the charge a second time along with evidence supporting its legitimacy. A reason code is how banks categorize the reason for a chargeback. 0. 00, an authorization should be requested for $70. 4: Other Fraud–Card-Absent Environment. 4853 – Cardholder Dispute – Digital Goods Purchase of $25 or Less. 0 rule changes take effect April 15,. Here is an overview of how the general chargeback process works with most major processors (we’ll get into how Square does it down below) Step 1: A purchase occurs. When a merchant processes a transaction against a counterfeit card in a. For each reason code, a definition isReason codes. These may impact the dispute time limits. 74 (1 & 2) Late Presentment. We used 3DS to authenticate this purchase and obtained AVS and CVV match codes at authorization (page 2). Across open networks and include account numbers sent over email, instant messaging, text, or chat. Valid chargeback reason codes are defined in UDC 03B/CB. 2. The ECI value tells you what to do next in a 3DS transaction — proceed, reject the purchase, or try again. Proof you have already refunded the transaction and credited the cardholder’s account. Most commonly a Reason Code 70 chargeback occurs when the merchant processes a transaction below its floor limit without making sure that the exception file had been checked. You’ll put that reason code, the transaction amount and authorization number, and state that the. Chargeback. Reason codes for chargebacks are assigned by issuing banks at the time of their creation, depending on the nature of their occurrence. Merchant must provide proof of authorization. Recurring billing transactions are a frequent source of conflict, disputes, and. So if the bill before tip is for $70. MasterCard: Reason Code 4859 Services not rendered. What is Visa chargeback reason code 13. Try Shopify free for 3 days, no credit card required. Mastercard asserts that SecureCode will prevent unauthorized charges and reduce fraud. This reason code indicates that the merchant processed a transaction using the wrong transaction code. Mastercard: n/a This chargeback is caused by Authorization. 1: Various content edits. Take, for example, a reason code 4853 chargeback claiming that merchandise or services ordered were not received. 74. You take approval before processing, right? If you have been accepting credit cards, you must have learned what will happen if you don’t. So, if a customer files an Amex chargeback, the company has good reason to side with their customer over the merchant. The terminal action codes are in Table 122 of the 4. Check the chargeback reason code. 39%: 65. compliance process depending on whether a chargeback right exists. Examples are: DA: Disputed amounts DD: Disallowed discount amount. Most chargebacks are violations of the rules and regulations established by a payment brand, such as Visa®, MasterCard® or debit network. EFM MONTHLY CRITERIA NUMBER OF E-COMMERCE TRANSACTIONS FRAUD CHARGEBACK AMOUNT FRAUD CHARGEBACK RATIO BASIS POINTS (BPS) 3DS UTILIZATION (EMV 3DS + DATA. 02/10/16 Added Debit Chargeback Reason Codes. All of Visa’s existing reason. The charge you submitted did not receive a valid authorization approval code for the amount of the. Card Recovery Bulletin Authorization Visa Code: 11. The most popular type of disputes of the chargeback category. There are several reasons why many merchants turn a blind eye to suspected return fraud. Some 90% of merchants said “cardholder abuse of the chargeback process” was a leading concern for their business. 1 occurs when the merchant didn’t request authorization (typically because the amount was below the floor limit), and the account number was listed in the Card Recovery Bulletin. Use standard authorization criteria with Issuer retaining chargeback rights: 7: CAVV failed verification (attempt) – Issuer approves authorization:. 195 Acquirer Use of Message Reason Code 7627. ) A no-nonsense summary of evidence that proves transaction is legit. About American Express chargeback reason codes. Visa chargeback reason code 75 is filed as an honest mistake. Reason. As we mentioned, Visa dispute time limits for merchants are straightforward. If you don’t reply in time or with . Of the 58 percent of respondents who thought their company’s chargeback rates increased post-March 2020 in the Kount survey, 45 percent said delivery delays were the top reason. The list of chargeback reason codes in this article. We say the given reason because it may or may not reflect the true reason. Complete Guide to Visa Compelling Evidence Update CE 3. The chargeback timeline can be based on one of several start dates: If the delivery date or service performance date was not specified, the issuer must wait at least 30 calendar days after the transaction processing date to initiate the chargeback but not exceed 120 calendar days. Mastercard Chargeback Reason Code 73: Duplicate Transaction. #9. ”. Chargeback reason code 13. Chargeback Reason Code 70 is typically issued when the following two conditions are present: A card issuer receives a transaction that is below the merchant’s. These reason codes indicate disputes that occur as a result of inaction or wrong action on either party’s part (merchant or cardholder). Timeframe: Under card network rules, a cardholder has up to 120 calendar days from the settlement date to initiate a chargeback (depending on the chargeback reason code). Category. Sometimes, customers get wrongly debited due to manual data entry errors by the merchant’s team. Reason codes are just what they sound like, an identification code used to categorize why a transaction is being refuted by the card holder. In simple terms, an Electronic Commerce Indicator (ECI) is basically a 3-D Secure response code. Despite all the rules and guidelines, the outcomes of the chargeback process can be, at times, subjective, and can vary based on the scenario, merchant payment. the reason code doesn’t reflect the real reason for the dispute. Floor limits are typically specified in merchant processing agreements, and the exception file is part of the merchant banks or the merchant account providers transaction. 99.