Reason codes for the chargeback with detailed explanation of what it means, how to dispute the chargeback, and how to avoid future disputes. Mastercard Reason Codes the Complete Merchants Guide 2021-2022 Form. UA02 Fraud – Card Not Present Transaction. This is common when authorization is invalid or incorrect (wrong account information, pin, etc. Mastercard ® Visa ® Credit Networks Debit Networks *These networks do not have specific reason codes assigned to dispute; however, any retrieval that is received without a reason code will be assigned a default code of 1. 2 Not a Chargeback Guide Replacement 1. 0 Re-branded entire document format due to the Vantiv-Worldpay merger; replaced many instances of the 'Vantiv' with 'Worldpay. This industry faces a higher average chargeback ratio due to factors like cancellations, changes in travel plans, and service dissatisfaction. ”. 0. (Visa. ONE reason code is an alphanumeric code selected from a fixed list by the issuing bank to indicate the reason of cardholder gave for requesting a chargeback. 10. Get your finish guide on Mastercard reason codes, including all the detailed data, chargeback time limits, and other important information you need. This reason code is now obsolete, but was used to cover disputes related to recurring billings or digital goods. Credit card fraud is rampant, surging after the massive shift to e-commerce that took place during the COVID-19 pandemic. 1 Chargebacks 3. MasterCard: Reason Code 4859 Services not rendered. 195 Acquirer Use of Message Reason Code 7627-Face-to-Face or CAT Level 2 Transac tion. 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. Pursuant to the Fair Credit Billing Act of 1974 , cardholders have the right to dispute unauthorized or erroneous charges, and issuing banks must reverse a disputed transaction if the cardholder’s claim is valid. American Express chargeback reason code R13 falls under the “Inquiry/Miscellaneous” category. The Mastercard Dispute Resolution Initiative is designed to improve the process of handling credit card disputes, reduce the time it takes to resolve them, and prevent many illegitimate disputes from being filed. The list of chargeback reason codes in this article is organized by card brand and type of dispute. Chargebacks cost the industry $39. 3 Necessary Documentation 21 11. Yes, it’s possible to win a reversal on a. This code means the cardholder claims that the goods or services they received don't match the description provided by the merchant. card networks like Visa have created a breakdown of the acceptable causes for a customer to dispute a credit card transaction by filing a chargeback. Reason code 37 is not allowed for AFD transactions with CAT Level 2. The Importance of Discover Chargeback Prevention. ), confirming that the cardholder has enough funds or available credit to cover a transaction they're making with their card. Dispute Description: RC VI/MC/AX/DI: Card Absent - Fraud Dispute: 10. . 11, 16. . Goods / Services Damaged or Defective. The details on the allowed compelling evidence are included with the reason code description and details. The key is finding the right partner. Reason codes are very crucial to assist. MasterCard uses four main categories to organize its reason codes: Authorization, Card Member Disputes, Fraud, and. Administrative returns (R02, R03, R04): 3%. Reason Code: Numeric: Code for the chargeback request (see below). “Late Presentment” is a reason code description for three of the four card brands (reason code 12. Documentation must be a direct result of cardholder communication. 2 What NOT to Send 20 10. The chargeback reason codes below explain why this happened. 10. A reason code or a chargeback reason code is a string of symbols (numbers and letters). There are a few other exceptions to the rules, though. UA01 Fraud – Card Present Transaction. 4863: Cardholder does not recognize. Card authorization refers to the actual notification received by a merchant. 4834. Visa chargeback reason code 83 falls under the “Fraud” category. This type of chargeback reason could be named differently across the different card schemes (some examples: Visa 10. In this article, we'll cover some of the major changes that Mastercard has made to chargebacks in recent years, starting with. includes a Retrieval Request Reason Code providing additional information concerning the cause of the request and in some cases, the required documentation (see Table 2-1 and Table 2-2). for chargeback reason code 4863 (Cardholder Does Not Recognize). Mastercard Chargeback Reason Codes Fraud 4837 No Cardholder Authorization 4840 Fraudulent Processing of Transactions 4849 Questionable Merchant Activity 4863. 11, 16. Mastercard chargeback reason code 4841 falls under the “Cardholder Disputes” category. Banks may also include customer claims on Checks, ACHs, etc under "Disputes". MasterCard International: Credit & Debit Authentication. This process is called. Otherwise, the bank may reject the transaction. The second main. 4853 – Cardholder Dispute – Digital Goods Purchase of $25 or Less. 00: The amount of the transaction. ”. 9808;. According to the 2022 Chargeback Field Report, global costs associated with chargebacks will have skyrocketed in recent years. Each of the major card brands, including Visa, Mastercard, and others, have their own system of reason codes. 80% + 10¢ Visa. To help merchants understand the underlying issue of each chargeback, American Express has created specific chargeback reason codes to help business owners interpret chargebacks. 4853 Cardholder Dispute. Each of these causes has a designated. American Express chargeback reason code C31 falls under the “Card Member Disputes” category. com INTRODUCTION 1. There are two common causes of code 10. According to Nilson, 56% of global card transactions were done on Visa in 2015. “Non Fraudulent” ChargebackDepending on the circumstances, chargeback fees typically vary anywhere between $5 and $100 per incident. ” This reason code has been retired by Mastercard, but it was used when the cardholder did not receive the goods or services they purchased. 4849 – Questionable Merchant Activity – Mastercard Rule 3. It covers topics such as chargeback rights, time frames, reason codes, arbitration and compliance. With the implementation of Visa Claims Resolution, reason code 98 eventually became obsolete. Mastercard chargeback reason codes. Description: Reason code for applying handling fee. 3: Not as described or defective. The first two digits indicate what category the reason code falls under: 10 for Fraud, 11 for Authorization, 12 for Processing Errors, and 13 for Customer Disputes. Reason codes are alphanumeric strings of text provided in a chargeback notification as a means of explaining the cause for the dispute. However, rules from Mastercard® and Visa® allow some chargebacks to be raised up to 540 days from the date of purchase. 4849 – Questionable Merchant Activity – Questionable Merchant Audit Program (QMAP) 4863 – Cardholder Does Not. 4 –. Secure your business from login to chargeback. 4863: Cardholder does not recognize. Network Processing ® ©What is Mastercard chargeback reason code 4837, no cardholder authorization, and how can you win it? Don’t waste time defending chargebacks, make your company more profitable by preventing them. UA05 Fraud – Chip Counterfeit Transaction. Description of Change Where to Look Incorporated the changes anno2025—Mastercard Rebranding of the Recurring Payment Cancellation Service” that included. Most acquiring banks put a timeframe on when customers can initiate a chargeback for a purchase. Each card company has its own chargeback reason codes. Get your complete guide to Amex reason codes, including all the detailed information, chargeback time limits, and other important information you need. The code can be used in multiple specific situations, many of which had their own individual codes at one time. Global chargeback volume topped 615 million cases in 2021, and was estimated to cost merchants nearly $117 billion in revenue. Depending upon the class, a retailer will have a swift way to offer evidence supporting the claim. Transaction Amount: Decimal 0. Mastercard chargeback reason code 4860: Credit Not Processed covers situations where the cardholder claims they are due a credit, but believes the merchant did not provide it. September 2011: 5. Make sure you differentiate between card-absent and card-present transactions during clearing by noting internet, phone, or mail orders. 195 Acquirer Use of Message Reason Code 7627. Chargeback reason code 4853/Credit Not Processed applies to situations where customers claim they are owed a refund or other credit that has not appeared, but do not feel the issue being resolved by the merchant. Please note that the most common Chargeback reason code for Allocation disputes is 10. The arbitration process is typically used when the merchant and cardholder cannot agree about the disputed transaction. Availability Date: October 24th, 2021. 3. The bank will investigate the claim and, if necessary, reverse the charge and. com 14. To test a dispute, generate a payment request with specific information from the test scenarios. According to recent estimates, US credit card transaction volume was primed to top $3 trillion in 2022. 3. It allows an independent third party (card network) to review the case and make a. Each bank card network has its owner list of reason codes banks must prefer from. FIGURE 2-1 Retrieval Request CycleMastercard Chargeback Reason Codes. FR4 Immediate Chargeback Program. Using the same link provided above, contact PayPal to report the scam. Chargebacks were originally initiated as a means of providing consumer protection from fraud. 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. The use of this reason code indicates that the cardholder does not recognize the transaction as it appears on their bank statement. Here’s a comprehensive list of Mastercard chargeback reason codes that you might see on your screen: 4807: Warning Bulletin File. for chargeback reason code 4863 (Cardholder Does Not Recognize). 4: Other fraud: Card-absent environment: VCR Dispute Reason Code 13. Combine card acceptance rules compliance with the latest technology to shift fraud liability is the number one method to prevent. For example, Goods or Services Not Provided was once legacy reason. Code 4837 chargebacks are most often caused by either a fraudster making a purchase with stolen payment credentials or a cardholder failing to recognize a legitimate charge. You must keep in mind, though: the reason code seldom gives the full story behind the chargeback. In most cases, these fees are non-refundable and must be paid, even if the merchant proves the dispute was. This reason code means that the cardholder is claiming that the merchant never provided the goods or services that they paid for. Mastercard chargeback reason codes. 2025—Mastercard Rebranding of the Recurring Payment Cancellation Service” that included. The newer system is designed to. After the issuing bank’s unsuccessful attempt to identify the transaction for the cardholder, the chargeback process begins. 6. 0 Restructure and update document to include Visa Claims Resolution process. The act serves as the legal basis for the chargeback process. The bank will investigate the claim and, if necessary, reverse the charge and. Of course, many banks offer “zero-liability” cards to cardholders, meaning the bank protects the cardholder from any loss. The networks say merchants have a 45-day response window, but the Chase credit card chargeback time limit for merchants is 39 days. American Express chargeback reason code C32 falls under the “Card Member Disputes” category. In some cases, errors can be resolved and reversed, but there is no equivalent to chargeback representment when it comes to ACH. 11. 265. This means that the chargeback is actually paused for that period and the 45 days waiting for second presentment only starts from the date the chargeback is actually processed. 4853 – Cardholder Dispute – Goods or Services Not as Described or Defective. The code is used to help verify buyers during a card-not-present transaction. Get your complete guide to the new Visa reason codes, including all the detailed information, chargeback time limits, and other important information you need. Documentation must be a direct result of cardholder communication. Mastercard chargeback reason code 4840 falls under the “Fraud” category. If a criminal manages to defeat the technology and complete an online purchase, Mastercard will shift liability away from the merchant and onto the issuer. 4808 - Authorization Related Chargeback. 2 for Visa and Reason Code 4850 for Mastercard). A chargeback occurs when a customer disputes a charge from your business on their credit or debit card. . The tickets were held at the box office, and no signature, swipe or imprint of the card was obtained when the tickets were released. A02 No Valid Authorization. ’ All 2. Chapter 5: Mastercard Chargeback Reason Codes. Learn more about Mastercard chargeback reason codes. This second chargeback is what was commonly referred to as a “pre-arbitration chargeback. Visa groups its various reason codes into several broad dispute categories. These chargebacks occur to resolve chargeback-related disputes between network members. Reason code 4853 indicates the broad category “Cardholder Dispute,” which in general means the cardholder was not happy with a purchase and blames the merchant. For first chargebacks, Mastercard currently only has 9 reason codes in use, with a few others in the process of being phased out. Mastercard Reason. Defending Chargebacks 20 10. Every of the major card brands, the inclusion of Visa, MasterCard, and others, has its acknowledged system of reason codes. The shorthand description is “Account Number Not On File. 3 Training Options 2 LIFECYCLE OF A TRANSACTION 2. The issuing bank assigns each case a code according to the consumer’s claim, and the merchant must adhere to the time limits for that specific code. Merchant must provide proof of authorization. . Everyone has had the experience of buying. What is Mastercard chargeback reason code 4871? Mastercard chargeback reason code 4871 falls under the “Fraud” category. 1 for Visa transactions, or reason code 4834 for Mastercard. 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. EXIDRL–IKVFDLIONCFKNQLOFC AMEX CODE A01Visa chargebacks can be a major inconvenience for merchants. This is perhaps the most common claim associated with disputes and chargebacks. 15, 2021. a bank, credit union, etc. 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. 634. American Express Chargeback Reason Codes 32 Appendix F Discover Chargeback Reason Codes 41 . This helps you keep your Mastercard chargeback rate low, which will reduce your operating costs and keep your processing rights secure. Monitoring programs temporarily suspended; July – October 2019. The shorthand description is “Questionable Merchant Activity. chargeback reason codes visa reason codes mastercard codes mastercard chargeback guide 2022 issuer. Each chargeback is assigned a reason code that explains the justification for the chargeback. Check with the issuing banks to determine what time limits may apply to you. 4866: Fraud Chip Card Counterfeit Transaction: A cardholder is claiming that they did not authorise or participate in a transaction that you processed. 1 to RC 13. 4, 37, F29, U02: Cancelled Recurring: 13. United States; 18167 US Highway 19 N; Clearwater, FL 33764; 877. Mastercard Chargeback Guide is a comprehensive document that explains the rules and procedures for resolving disputes between cardholders, merchants and issuers. 2025—Mastercard Rebranding of the Recurring Payment Cancellation Service” that included. The shorthand description is “Transaction Amount Differs. Chargeback time frames - A specific period of time during which a chargeback can be raised. pdf from ACC 103 at Stevens-Henager College. To subscribe and learn more about the free online chargeback management system, or contact Chase Paymentech Client Services at 1. for chargeback reason code 4863 (Cardholder Does Not Recognize). 10/21/14 Updated Chargeback Time Frames: Added Reason Code 05; Addendum Reason Code PM; Changed TF time frame from 120 days to 540 days. In short: yes. 4, 13. Valid Values/Format: 22 - First Chargeback Handling Fee. The program focuses on small ticket and digital goods merchant fraud transactions. The Discover chargeback reason codes list is just as extensive as the other major US card schemes, despite being the youngest and smallest of the four. UA10 Request Transaction Receipt (swiped card transactions) UA11 Cardholder claims fraud (swiped transaction, no signature) DCC-Related Reason Codes DCC-related chargebacks fall under Mastercard Reason Code 4834: Point-of-Interaction Currency Conversion. 4807 Warning Bulletin File. Reason code 12. Credit card fraudsters have some new tricks up their sleeves. ”. . 03/09/11 Updated Issuer Required Documentation Required for VISA Codes: 53, 57, 62, 72, 80, 81, 85. Here are some chargeback reason codes by card type. If you believe you have received an ACH return in error, you can contact your bank. Added 2 bullets: Taiwan only and Mastercard Biometric Card to bullet list No Cardholder Authorization Added under CAT 2 Transactions MCC codes Updated bullet: Properly identified Mastercard. Some of the most common. Example: 25. Chapter 4: American Express Chargeback Reason Codes. Chargeback. This cannot change once the value is set. Now, compliance cases must be submitted through Visa Resolve Online (VROL). 1 Chargeback Requirements 5 CHARGEBACK PROCESS Get your complete guide to Mastercard reason codes, including all the detailed information, chargeback time limits, and other important information you need. ”. By default, payments should be auto-captured, but if this fails, you have the option to manually. A credit card dispute (or chargeback) occurs when a cardholder registers a formal complaint against a merchant regarding a. A few select Mastercard chargeback reason codes have different Masteracrd chargeback time limits. Take, for example, a reason code 4853 chargeback claiming that merchandise or services ordered were not received. Detecting Credit Card Fraud: 15 Steps to Follow for Safer, More Secure Transactions. Multiple Authorization Requests. Customer Dispute. 37: No Cardholder Authorization. Card Number: Alphanumeric: The first 6 digits, followed by. Reason Code 02. 196In most scenarios, professional chargeback assistance can substantially raise your ROI. Appendix Laser Chargeback Reason Codes 23 13. This list was generated 5/4/2022. Chargeback reason codes have changed. The Fair Credit Billing Act of 1974, or FCBA, is a federal law designed to protect consumers from unfair credit billing practices and build consumer confidence in then-new forms of credit in the process. Most cases stemming from point-of-interaction errors allow 90 calendar. Description. The most relevant Mastercard chargeback codes for the majority of merchants can be broken down into four main categories—authorization, cardholder dispute, fraud, and point of interaction. 11, 16 November 2015, Elimination. 5 billion in 2018, and total losses are expected to rise to $80. When a fraudster places a transaction using stolen payment credentials, it may result in a true fraud chargeback under this reason code. There are several scenarios where a customer may reasonably expect a payment reversal. F02. 4854 Cardholder Dispute—Not Elsewhere Classified (U. A customer payment dispute, more commonly called a “chargeback,” happens when a cardholder disputes (challenges) a payment card transaction and asks the card-issuing bank to reverse it. An example of a chargeback is when a credit card holder contacts their bank to dispute a charge that was made on their account without their permission. 4 Fraud – Card-Absent Environment. The fact is, that this type of reason code is typically harder to fight than other types of chargebacks. It takes more effort to convert 25 cards to cash, each valued at $20, than one gift card valued at $500. Some Mastercard reason codes (4808, 4870, and 4871) proceed directly to arbitration if the issuer does not accept the merchant's representment. A reason code is how banks categorize the reason for a chargeback. Mastercard will reduce the time frame to file a chargeback for reason code 4834 (Point of Interaction Error) from 120 days to. The customer’s card issuer has declined the transaction and requested that your customer’s card be retained. But that doesn’t make them any less frustrating. The cost of fraud relative to the transaction amount also increases by 12%. Non-receipt of merchandise or services. Visa Chargeback Codes — removed retired codes. MasterCard: Reason Code 4859 Services not rendered. Based on the information provided, Paymentology will investigate the transaction being disputed. The merchant breached predetermined chargeback thresholds. Reason code 4855 chargebacks must be processed within 120 calendar days from the settlement date. American Express chargeback reason code F14 falls under the “Fraud” category. Expedited Dispute Resolution forms will not be allowed. 195 Acquirer Use of Message Reason Code 7627-No MAC Provided. In most cases, though, cardholders have 120 days after the original purchase date to dispute the charge. Reviewing data on the most common Mastercard and Visa reason codes and their average win rates, in. The second is friendly fraud, where a cardholder falsely claims a legitimate charge was unauthorized. Check out how easy it is to complete and eSign documents online using fillable templates and a powerful editor. This reason code means that the customer claims to have received goods or services that were damaged, defective, or otherwise unacceptably faulty. Without this, the test dispute won't be created. . 2: Cancelled recurring transaction: VCR Dispute Reason Code 13. Code Reason; 01: Requested Transaction Data Not Received: 02: Requested item illegible: 07: Warning Bulletin File: 08: Requested/Required Authorization Not Obtained: 12:. American Express will give you separate numbers for each merchant you intend to patronize, while Capital One and Citibank will provide you with a new number per request, even for the same merchant. Limiting value amounts may make your cards less enticing to fraudsters. France saw a drop of roughly 50% during the same period. Prevent Chargeback Issuances. 7 Violation for Coercion Claim. Back in 2018, Visa and Mastercard began the process of completely overhauling their chargeback and dispute rules and procedures -- but there's still work to be done. The cardholder initiates contact with their bank or credit union to file a dispute. ”. Card Absent - Fraud Dispute: 10. The aim of CE 3. Documentation must be a direct result of cardholder communication. For example, if the agency fails to provide. The shorthand description is “No Reply. Or it must be processed in the latest anticipated date that the goods or services were to be. 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. The reason code may not reflect the true reason for the chargeback. 44%: 58. Chargebacks happen when a customer disputes a transaction and requests a refund. Cardholder-Activated Terminal (CAT) 3 Device. 0% ratio. They may have returned an item, for example, or perhaps were billed for a service. Credit card fraud is a big problem for eCommerce merchants, leading to many true. ”. Fewer Chargebacks: Alipay's unique settlement mechanism bypasses conventional chargeback processes. Card Network Reason Code Detail; VCR Dispute Reason Code 10. What is Mastercard chargeback reason code 4807? Mastercard chargeback reason code 4807 falls under the “Authorization” category. R21 Late Chargeback Response R22. The full rollout of the mandate occurred on April 17, 2020. Reason Code 53 Re-presentment Conditions. This chargeback will include a description that provides additional information: Digital Goods $25 or Less; Cardholders can dispute digital goods transactions of $25 or less (or the equivalent in local currency) if certain purchase controls were not put. According to recent estimates, US credit card transaction volume was primed to top $3 trillion in 2022. 11. When a customer who's enrolled with 3-D Secure from their bank initiates a purchase, the tool will deploy during the. If the dispute is deemed valid, the bank or credit union proceeds to issue a chargeback to the merchant. View XXXX2967. Discover: Reason Code 4755 Non-receipt of goods or services. 07/19/10 Added two new MasterCard Reason Codes: Reason Code 70 Chip Liability Shift; Reason Code 71 Chip/PIN Liability Shift. An example of a chargeback is when a credit card holder contacts their bank to dispute a charge that was made on their account without their permission. Find and apply for the Ink business credit card best. Reason Code: Numeric: Code for the chargeback request (see below). The bank or credit union then conducts an investigation to ascertain the validity of the dispute. for chargeback reason code 4863 (Cardholder Does Not Recognize. Reason Codes: 23 / 37 / 61 / 83 Account numbers do not match After swiping a card, if the card number displayed does not match the number embossed on the face of Do you want to know how to handle chargebacks as a merchant? Download the Mastercard Chargeback Guide - Merchant Edition, a comprehensive resource that explains the chargeback process, the reasons, the time frames, and the best practices to prevent and dispute chargebacks. When a customer who's enrolled with 3-D Secure from their bank initiates a purchase, the tool will deploy during the checkout. To take advantage of these new advice codes, merchants and their acquirers must learn to recognize the new data values and their meanings and use them. MasterCard uses four-digit numbers for their chargeback reason codes, each beginning with 48 as the first two digits. ”. Reason Code Reason Description; 4752: Does not Recognize: The cardholder claims that they do not recognize the transaction and states that they did not authorise the charge to their credit card. . For each reason code, a definition is provided along with the merchant’s actions—or failure to act—that may have caused the chargeback,The Electronic Fund Transfer Act is a piece of US legislation that requires banks to provide certain information to customers regarding electronic fund transfers (EFTs). American Express Chargeback Reason Codes 32 Appendix F Discover Chargeback Reason Codes 41 . Code Description; 4801: Requested Transaction Information not Received: 4802: Requested/Required Information. Some acquirers, processors or PSPs may just provide the last two digits of the reason code in their data reporting, as that is all that is needed to distinguish between the reason codes and recognize the chargeback description. 1. 4860 Credit Not Processed. Visa Credit Card: Swipe Rate (card present) Visa Credit Basic: 1. Reason codes are important to help merchants address recurring. [1] Sift. This indicates that the merchant has failed to respond to a transaction inquiry before the deadline elapsed. Laundering: The merchant carried out transactions without a legitimate cardholder’s involvement. Chargeback Reason Codes; Mastercard Reason Codes; Chargeback Rebuttal Letters; CONTACT. 2 Declined Authorization. for chargeback reason code 4863 (Cardholder Does Not Recognize). • Chargeback – a message sent via the card brand network to debit the merchant and credit the issuer for a cardholder dispute. What is Mastercard chargeback reason code 4807? Mastercard chargeback reason code 4807 falls under the “Authorization” category. chargeback meaning. Summary of Changes, 20 November 2017 This document reflects changes made since the last publication. This guide is updated regularly to reflect the latest rules and. The chargeback can be for the total transaction amount or a lesser amount. 1 applies when the issuing bank receives the same transaction more than one time. In simple terms, an Electronic Commerce Indicator (ECI) is basically a 3-D Secure response code. Reason Codes Category 4: Processing Errors. [noun]/* fren • dlē • frôd • /. The shorthand description is “Credit Not Processed. UA10 Request Transaction Receipt (swiped card transactions) UA11 Cardholder claims fraud (swiped transaction, no signature)Goods / Services Damaged or Defective. Accepting recurring transactions is enough cause for acquiring banks and processors to label you as a “high-risk” merchant. Cardholder Disputes. 4849 – Questionable Merchant Activity – Questionable Merchant Audit Program (QMAP). mastercard chargeback reason codes. The shorthand description is “Goods/Services Not as Described. and the last 4 digits of the card number. 1 to RC 11. This chargeback reason code was retired by Visa in April 2018. The situation is only growing worse; according to the 2022 Chargeback Field Report, six out of every ten chargebacks issued. 4 (previously under reason code 53) applies when a cardholder can verify that the received merchandise was counterfeit. 2025—Mastercard Rebranding of the Recurring Payment Cancellation Service” that included. for chargeback reason code 4863 (Cardholder Does Not Recognize). Overview. The sales receipt and/or date and amount of the authorization if other than the transaction date. 1 Chargeback Handling Guidelines 20 10. American Express chargeback reason codes, much like Discover, bear one important difference from those under Visa and Mastercard: the issuing bank is also the card network. Reason code explanations can be found on MasterCard's website. During an economic recession, the average percentage of revenue lost to a fraudulent transaction increases by 39%. 4853 – Cardholder Dispute – Goods or Services Not Provided. 10. . This is now an obsolete reason code, and issuers have been instructed to use code 4808 instead. have experienced credit card fraud, and more than a third of all cardholders have been victimized by card fraud more than once. ” Mastercard has retired this reason code, but it was used when the cardholder claimed they never received a refund or credit the merchant promised them. The charge you submitted did not receive a valid authorization approval code for the amount of the charge. The following are reason codes for the same scenario: Visa: Reason Code 30 Services not provided or merchandise not received. Friendly fraud. How many chargeback reason codes are there? Among the four major credit card networks, there are a total of 151 reason codes. 4 For MasterCard Reason Code 37, a manually imprinted and signedMastercard chargeback reason code 4831 falls under the “Point-of-Interaction Error” category. Once the new evidence is received and reviewed, the chargeback reason code may reflect information that the merchant left out or falsified. 30. 1% + 10¢ Visa Business: 2.