The second is friendly fraud, where a cardholder falsely claims a legitimate charge was unauthorized. So the company has more incentive to side with customer during cardholder disputes. All parties are subject to the rules of the card networks, including response time limits. And of course, the individual payment in question might be made with a debit card, instead of a credit card. Capital One launched in 1994 as a corporate spin-off of its parent bank, specializing in a single financial product: credit cards. Accept the chargeback. The Fair Credit Billing Act (FCBA) of 1974 created chargebacks. Sift’s Visa chargeback reason code guide features every single Visa reason code, its description, expert insights, and real world examples. AMERICAN EPRESS CARGEBACK CODES 6 REASON CODE 4513 Credit Not Presented Chargeback Reason Any of the following reasons: 1. Dear [Credit Card Company or Bank Issuer], This is a rebuttal letter to contest chargeback [number] for [dollar amount]. There are two important time limits to be aware of when it comes to Discover chargebacks: the first is the time limit for filing a chargeback, and the second is the time limit for responding to a chargeback claim or ticket retrieval request. Most Common Chargeback Reason Codes #1: Fraudulent Transactions or No Cardholder Authorization. This code is unique—at least currently—in that Visa has since split it into two separate categories: 12. Step 4: Card Network Collects Dispute Information. The credit card networks interpreted the conditions spelled out in the law and created the many reason codes that apply to all the various chargeback scenarios. In addition, the definition of credit card chargeback fraud is not related to the behavior of the merchant but the customer. Chargeback Codes 31. Review the code to learn the reason for the chargeback and any other pertinent details. Here’s how they work. After the chargeback is initiated, the merchant will usually have between 7 and 21 days to respond with evidence. 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. 6. To make matters worse, the consumer that had their card stolen will also call their credit card-issuing bank and hit you with the chargeback against the $2,000 charge. Updated Disputes/Chargeback Policy Coming April 2024You may have processed a debit instead of a credit, processed a credit instead of a reversal, or in some other way submitted a transaction that differed from the obtained authorization. When they do, you’ll be given an. Chargeback fraud is a serious concern for businesses, and the impacts should not be. This means they are 100% preventable. 4 applies when a cardholder disputes a credit card charge made in a card-not-present environment. Chargeback reason code 10. Every cardholder’s favorite transaction type—a refund transaction—is when a credit is processed to return funds to the cardholder’s account. If a person does it too much and the CC company expects chargeback fraud at the minimum they will cancel the CC for excessive or suspect chargebacks. Some credit card companies also include a short phrase describing the code and chargeback. This guide shares an overview of chargebacks, how the dispute process works, and how to prevent them in your online store. Visa, Mastercard, Discover and American Express all have unique chargeback reason codes. The credit card issuer—which could be their bank, Visa, Discover, Mastercard, or American Express—will then assign a reason code to the chargeback claim. 4: Other Fraud–Card-Absent Environment. 11. Category. Generally, chargebacks occur between a merchant and a credit card issuing bank or a. C01:. These codes are established by the payment brands to categorize the incoming dispute requests by reason. Goods/Services Not Received or Only Partially Received. Each of these situations was given an alphanumeric identification code called a chargeback reason. The shorthand description is “Declined Authorization. Calculating chargeback fees, lost merchandise, and other drains on revenue, the average chargeback will cost merchants $3. Chargeback fees are assessed by acquirers and processors, so they can vary. The chargeback filing period for cardholders is usually 120 days. The chargeback reason code is [code number and description]. Description. You can request a chargeback from the bank that issued the card If: The transaction was unauthorized. A recurring transaction is an automatic credit card payment that occurs on a regular basis. Visa uses Reason Code 57: Fraudulent Multiple Transactions to mark chargeback caused by multiple transactions by a particular merchant on a single Credit Card account within in short period of time. 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. 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. 4808 Authorization-Related Chargeback. Rather than request a refund from the merchant who facilitated the purchase, cardholders can dispute a particular transaction by contacting their bank and requesting a chargeback. Automate Tasks & Streamline Processes Let Midigator remove complexities and improve the efficiency of your chargeback management strategy. 1003 - Transaction Supporting Document (TSD) needed. Most commonly the payer is a consumer. Mastercard chargeback reason code 4853 is one of the numeric labels assigned by banks to each customer dispute, indicating the given reason for the claim. Consumers tend to use credit and debit cards interchangeably. Amex Processing Errors Chargeback Reason Codes P01 — Unassigned Card Number. com. It was originally just one facet of legacy reason code 81. Chargeback reason code: A standardized code that indicates the reason a charge was disputed and a chargeback occurred. However, you have to remember that any merchant accepting credit cards also runs the risk of Shopify chargebacks. ), the MD-901 also provides a suggested remedy for a reversal of the chargeback that must. • If the card is present at the time of sale, be sure to compare the credit or debit card account number on an electronically printed draft to the credit or debit card number embossed on the card. For each reason code, a definition is The Mastercard chargeback reason codes were condensed down in 2016, like the process that Visa just underwent with Visa Claims Resolution. Chargeback Codes (continued) C04 Goods/services returned. For a debit card, the fraud liability is $500 if reported within 60 days. Through it, authorized users can look up transaction and cardholder details, along with other data for each dispute. 4 Other Fraud – Card Absent Environment 93(1) 10. Chargeback prevention strategies vary based on the reason for the. In such. There are two main types of fraud when it comes to chargebacks: credit card fraud and friendly fraud. 2. How can merchants fight code 4837 chargebacks? Merchants can fight code 4837 chargebacks by providing evidence that the charge was authorized, such as signed delivery confirmation or records showing the cardholder downloaded or used a digital purchase. On the other hand, PayPal—which can serve as a credit card processor for merchants—allows buyers up to 180 days to file a claim. The merchant failed to ship the merchandise to the agreed-upon location. In addition to the transaction detail for the chargeback (card account number, transaction amount, transaction date, etc. If a merchant runs into chargebacks throughout their business, everyone knows that it happens. In 2020, Visa owned about 50% of the credit card market share in the United States alone. A chargeback occurs when a customer disputes a charge from your business on their credit or debit card. Like credit card disputes, ACH returns are monitored. Card networks like Mastercard allow cardholders to dispute a credit card transaction by filing a chargeback under certain circumstances. The card networks know that most chargebacks represent negative customer experiences that can shake consumer confidence in the credit card payment system as a whole. The Fair Credit Billing Act, which became federal law in the United States in 1974, was created to address consumer concerns about a new financial product: The credit card. Mastercard chargeback reason code 4870: Chip Liability Shift involves fraudulent transactions where the merchant did not use an EMV-compliant terminal. Pros: $0 monthly fee. A retrieval request—sometimes called a “soft chargeback”—is a method of obtaining a copy of the paperwork to validate a transaction. FR4 Immediate Chargeback Program. Mastercard chargeback reason codes. We have issued a chargeback for a portion of theunauthorized submitted charge. 113 Credit card fraud is rampant, surging after the massive shift to e-commerce that took place during the COVID-19 pandemic. . The submitted transaction did not receive a valid approval code. Therefore, you should understand credit card chargeback merchant rights to ensure you protect your business from chargeback frauds whenever possible. When you receive notification of a payment dispute or chargeback you may see a code listed with it. 4 Ways to Fight Chargebacks: Gather compelling evidence. M49 Vehicle Rental – Theft or Loss of Use. Debit card chargebacks are dealt with in a similar way to credit card chargebacks here in Ireland, where there’s no equivalent to the UK’s Section 75 rules. That’s 50%. Each of the major card brands, including Visa, Mastercard, and others, have their own system of reason codes. A standard billing descriptor may include the merchant’s name. If you want a more thorough explanation of a given reason code, you can find it in our reason code lookup tool. You won’t be. 86% of chargebacks are probable cases of ‘friendly fraud. 39 or refused C05 Goods/services canceled. The card network then notifies the merchant’s acquiring bank about the chargeback and passes along all the collected information. Notification of Fraud. According to the customer, the product or service purchased was never received or used. The Federal Trade Commission (FTC) reports 4. • If the card is present at the time of sale, be sure to compare the credit or debit card account number on an electronically printed draft to the credit or debit card number embossed on the card. Chargeback Reason Codes The Ultimate Guide; BIN Lookup Find a Card's Issuing Bank; ROI Tool The Cost of Chargebacks; Resource Hubs. Typically, customers can file a chargeback within 60 to 120 days from the date of purchase. 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. Visa has its own set of chargeback reason codes. Capital One's. But you should also know that just because the cardholder indicated fraudulent activity as the reason code does not mean actual fraud took place. The first is true fraud, where someone used stolen credit card or account information to make a purchase. Be transparent about your products. Step 2: Customer initiates the chargeback – After the customer reviews their credit card statement at the end of. Merchants are required. Thanks for following the Chargeback Gurus blog. manual processing by uploading chargeback documents instantly. Too many fines and the retailer may be labeled as “high risk” by credit card companies and even lose credit card processing privileges or be hit with higher chargeback fees and penalties. 1 Card Recovery Bulletin or Exception File. 4866: Fraud Chip Card Counterfeit Transaction:A standard billing descriptor may include the merchant’s name. 3-D Secure 2. This. • Section 4: Chargeback Reason Codes—Contains detailed information on the reason codes for the most common types of chargebacks that merchants receive. cardholder claims that they do not recognize the transaction and states that they did not authorise the charge to their credit card. MasterCard: Reason Code 4859 Services not rendered. In some cases it can be upwards of 540 days, though, depending on. The interviewer may ask this question to assess your knowledge of chargeback reasons. This is generally because the cardholder is dissatisfied with only part of an order, and wants a refund just for that amount. This is a common mistake when processing a reversal. P03 — Credit Processed as Charge. Chargebacks. Approval messages are usually straightforward, but there are some which contain additional important information. Fines exceeding $10,000 can also be levied against businesses where monthly chargeback rates go over a certain number. Depending on the reason code, issuing bank, and credit card network, the entire. They may have returned an item, for example, or perhaps were billed for a service. The problem continues to grow out of control with each year. 2 – EMV Liability Shift Non-Counterfeit Fraud. This tool is designed to aid in dispute resolution. Too many fines and the retailer may be labeled as “high risk” by credit card companies and even lose credit card processing privileges or be hit with higher chargeback fees and penalties. . Chargeback reason code 4850: Installment Billing Dispute refers to customer complaints involving either acquirer- or merchant-financed installment billing. Card Member Dispute. Common reason codes Mastercard. 60 for every $1 in sales. Fraud Reason Codes Current Reason Code New VCR Reason Code 62(2) 10. A chargeback occurs when a customer disputes a charge from your business on their credit or debit card. Amex uses the same four main categories as Visa to organize its reason codes: Authorization, Card Member Disputes (which Visa refers to as Consumer Disputes), Fraud, and Processing Errors. F22 Expired or Not Yet Valid Card F24* No Card Member Authorisation F29 Card Not Present Chargeback Code Type: Card Member Dispute C02 Credit (or Partial Credit) Not Processed C04. After the chargeback has been filed, the card issuer posts a preliminary credit to the cardholder’s account. 4 chargebacks? There are two common causes of code 10. 4: Counterfeit Merchandise. The only resource you need to become an expert on chargebacks, customer. MENU MENU. A chargeback is a return of money to a payer of a transaction, especially a credit card transaction. Updated these Discover Chargeback Codes: RG, RM, U01, U02. Card networks recommend that both issuing banks and merchant acquirers support the protocol. 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. The specific dispute reason is important because it helps you plan the documentation you need to counter the cardholder’s claim. Chargebacks filed with reason code 4850 must be processed either: 120 days. To dispute a credit card chargeback, you should first review the reason code and details provided by the card issuer to understand the basis for the chargeback. Chargeback reason code 13. This includes the ability to accept credit card payments with a phone and a mobile card reader. The credit card number used for a sale is not assigned to a valid account. The purpose of the FCBA was to protect cardholders from fraud and unfair billing practices. These codes can affect the interchange fees (or tiered fees) you are charged for credit card transactions. Among other reforms, the legislation granted cardholders the right to dispute. Therefore, you should understand credit card chargeback merchant rights to ensure you protect your business from chargeback frauds whenever possible. 10. 623-444-3000 For fraud related disputes: (Overnight/Signature Required):Chargeback reason code: A standardized code that indicates the reason a charge was disputed and a chargeback occurred. The issuer assigns a reason code to the chargeback. If not, check out our latest blog where we briefly discuss credit card chargeback laws. This guide shares an overview of chargebacks, how the dispute process works, and how to prevent them in your online store. The acquirer or merchant has 30 days to respond to a chargeback filed under reason code 12. In these cases, a credit card chargeback is fairly straightforward. Additionally, there are instances when the AVS code does not apply to one credit card brand but does apply to another. Each chargeback is disputed by a specific reason code. Feb 10, 2022Chargeback Reason Codes. Despite the reason for a chargeback, it means that as a merchant you don’t get paid for the goods and. [noun]/* fren • dlē • frôd • /. AMERICAN EPRESS CARGEBACK CODES 6 REASON CODE 4513 Credit Not Presented Chargeback Reason Any of the following reasons: 1. Below is a list of VISA chargeback codes. The chargeback process has been around for decades. CVV2. If the charge has not yet been settled, it’s better to use a void. On the cardholder’s flank, most chargeback reason codes allow cardholders to file a dispute between 90-120 days from the transaction date. Generally speaking, a chargeback cost will range from $15 to $50 depending on the payment processor. Visa Reason Code 10. The chargeback period, or the time limit for filing a chargeback, depends on the card scheme and the chargeback reason code. 1002 - Cardholder disputes billed amount. To simplify this process, the situations that may qualify for a chargeback are broken down into designated “reason codes. Top chargeback reasons, and documentation to submit. Chargebacks occur when a customer disputes a transaction with their credit card issuer, and the funds are returned to the customer. Find explanations for the major credit card issuers’ dispute reason codes in the Cardholder Dispute Reason Code Encyclopedia. Chargeback Reason. Reason Code 02: Common Point of Purchase: Account data is stolen from the card-present merchant and used with other merchants: Reason Code 03: Laundering: The merchant processed transactions that did not involve a bona fide cardholder: Reason Code 04: Excessive Chargebacks: The merchant breached predetermined chargeback. Merchants in the credit repair industry can fight chargebacks by keeping thorough records, including signed service agreements, invoices, receipts, and records of any communication with customers. R03 Insufficient Reply. The number of in-person fraud attacks attempted in the UK has dropped by 69% since 2004. 5% savings interest!* Conditions apply. A02 No Valid Authorization. Our all-in-one e-commerce fraud prevention solution helps e-commerce companies reduce chargeback overheads while streamlining transactions for legitimate users. Here's what you need to know about the chargeback process. Learn which strategies to use as you fight and prevent consumer disputes by reason code. About 127 million people in the U. 1 EMV Liability Shift Counterfeit Fraud 81(3) 10. Each card scheme has its own regulations. 4. If the bank does file a chargeback, they’ll transmit the dispute information to the merchant’s bank. Case number assigned to the chargeback. Ideally, you should have the Credit Card Authorization. Chargeback reason code 4853 can be used to indicate cases involving hotels or other temporary lodging establishments where a customer claims that the hotel charged an undeserved fee to the cardholder’s bill. While the risk of chargebacks may elevate your financial exposure, processing credit card payments is more critical than ever. But sometimes, a chargeback can be fraudulent. Square’s chargeback fee: $15 to $25. This code was phased out under the Visa Claims Resolution initiative. “It’s a lot tougher with Mastercard because they only use four main codes. Simply click or hover the mouse above the payment. 0, the data will be more accurate. Please deal directly with the cardholder for reimbursement. have experienced credit card fraud, and more than a third of all cardholders have been victimized by card fraud more than once. The new reason codes follow a format of two digits, a period, then a third digit. The merchant may be required to provide evidence the charge was legitimate in order to receive a reversal of the chargeback. 2023-09-07. Check this complete list of chargeback and dispute reason codes. For example, if there was a scheduled delivery date for the order, then the timeframe starts on that date. Reason codes are alphanumeric codes that provide the justification for granting a chargeback. 65 - Withdrawal limit exceeded: The transaction would exceed the. Each card company has its own chargeback reason codes. Consolidated Reason Codes. 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. 1 is an updated version of legacy reason code 74, which was phased out under the Visa Claims Resolution initiative. 2. 20 days to present evidence proving chargeback is illegitimate. A chargeback occurs when a customer questions a credit card transaction and asks their bank to reverse it. France saw a drop of roughly 50% during the same period. What is Visa Reason Code 11. Despite being the smallest of the four major credit card companies, the list of Discover chargeback reason codes is extensive. American Express chargeback codes. Remember: A PayPal transaction dispute is an internal matter between two PayPal users, and a PayPal claim is handled by the company directly. 10. Canceled Recurring Billing. American Express Credit Card Account Customer Service Department PO Box 981532 El Paso, TX 79998 FAX 623-444-3000 For fraud-related disputes:Credit cards are big business. Read on for the complete guide to dealing with chargebacks. This extra step can be frustrating for Card Members and lead to lost sales. Here's a rundown of the most common decline codes: 51 - Insufficient funds: At the time authorization was requested, the customer’s account did not have sufficient funds to cover the transaction. The average chargeback fee is around $25. Per your agreement with American Express, when you give a refund for a purchase made with the card, you must credit that card account. The situation described by Visa chargeback reason code 13. By entering your email, you agree to receive marketing emails from Shopify. 2022 Visa Chargeback. Visa chargeback reason code 13. The issuer returns the disputed transaction to the acquirer explaining the reason for the dispute, potentially with supporting documentation. Card Member received written acknowledgement from the Merchant for a Credit, but the Credit has not been applied to the Card Member’s Account. The issuing bank received a claim from the cardholder, acknowledging that he or she participated in at least one. 57 - Transaction Not Permitted to Cardholder. Credit card chargebacks occur for several reasons, including: The cardholder doesn’t recognize or didn’t authorize the charge. The exact time frame will vary based on factors such as the reason code or the card network. 1 chargebacks? The acquirer or merchant has 30 days to respond to a chargeback filed under reason code 12. However it happened, just about the only way you could earn an incorrect transaction code chargeback is by mistyping the transaction code. 265. 4 - Fraudulent Transaction – Card Absent Environment: The cardholder claims that a fraudulent transaction was made without the physical card involved. ’ Well, what is it exactly? With Visa CE 3. 9 was previously covered by legacy Visa reason code 90. 4853 – Cardholder Dispute – Digital Goods Purchase of $25 or Less. 15-Day Waiting Period on Returns. . Under U. When a cardholder disputes a charge, their issuing bank will review the transaction and decide if. For example, gambling and direct marketing transactions. Get your complete guide to Amex reason codes, including all the detailed information, chargeback time limits, and other important information you need. Chargeback Codes (continued) C04 Goods/services returned. Chargeback is for debit AND credit cards and can be used on any amount – Section 75 only applies to credit cards and for certain amounts. Credit cards, clocks, calendars and include numbers - 02, 01, 03, 21, 04, 24, 26, 30, 27, 29, 25, 28. These rights to revoke, charge back, and obtain refund terminate if and when a settlement for the item received by the bank is or becomes final. Card Member Dispute. To encourage merchants to reduce chargeback activity as best they can, the card networks have established remediation programs for merchants with. 461 trillion in purchase volume in 2021. Code. The chargeback reason code; The transaction amount and the chargeback amount; The action(s) already completed by the acquirer; The deadline for submitting representment documents;. To maintain compliance with NACHA regulations, businesses that process ACH transactions must keep their rates of various return codes under certain thresholds, based on the previous 60 days of activity: Overall returns (all codes): 15%. There are chargeback reason codes that specifically relate to returns: “Credit Not Processed” and “Credit Not Received” refer to situations. 5 - Visa Fraud Monitoring Program: Visa flagged the transaction under the Fraud Monitoring Program, and the issuer has not filed a chargeback under another reason code. The American Express chargeback process begins with Amex issuing a chargeback, along with a reason code to explain the dispute to the merchant. When you receive notification of a payment dispute or chargeback you may see a code listed with it. Pursuant to the Fair Credit Billing Act of 1974 , cardholders have the right to dispute unauthorized or erroneous. Generally, you’ll have two options when disputing a transaction: refund or chargeback. have experienced credit card fraud, and more than a third of all cardholders have been victimized by card fraud more than once. Each reason code is composed of a two-, four-, or three-digit number and a short phrase that describes the chargeback (these elements will vary, depending on the credit card company). Merchants must respond within 30 days of day one for each phase. Step 3 – The acquiring bank receives the. For American Express; For Visa; For Mastercards; Chargeback Reason Codes List for American Express Each credit card brand has a unique set of chargeback codes, totaling over 100. The acquirer or merchant has 30 days to respond to a chargeback filed under reason code 13. The credit card issuer might take out the wrong amount or bill you for something you didn’t charge. which are applied to disputes by the banks that issue credit and debit cards under their brands. 4853 – Cardholder Dispute – Credit Posted as a Purchase. The system is used to validate buyers at checkout, creating an additional layer of security for online transactions. 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. If a transaction has been declined, the authorization code will provide further details. Too many fines and the retailer may be labeled as “high risk” by credit card companies and even lose credit card processing privileges or be hit with higher chargeback fees and penalties. 3 is part of an updated and expanded revision of the legacy codes that indicated fraud, codes which were phased out under the Visa Claims Resolution initiative. In the style of Salvador Dali, Pops of red and teal. This chargeback reason code is also referred to as “Point-of-Interaction” Errors. This process occurs strictly between the two banks. which are applied to disputes by the banks that issue credit and debit cards under their brands. This is the name of the business responsible for the charge; often a shortened, yet still recognizable version of the “doing business as” (or “DBA”) name. A partial chargeback refers to a chargeback that returns only a portion of a disputed transaction. In broad terms, representment refers to the process of fighting a chargeback. It is subject to change and may not include every currently known dispute reason code. If a customer asks to use another form of payment after the Mastercard transaction has been processed, credit from the original. It should ultimately help prevent fraud and unwarranted chargebacks, specifically applying to disputes marked with a Visa reason code 10. A chargeback is an action taken by a bank to reverse a payment and trigger a dispute resolution process. Use this report to check the status of all chargebacks disputes and retrieval notifications within the report range. 3: No Authorization For the sake of simplicity and standardization, 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. Chargebacks Explained;. Step 2 – The issuing bank reviews the chargeback dispute charge and electronically sends the transaction to the acquiring bank. Mastercard chargeback reason code 4807 – Warning Bulletin File is one of the numeric labels assigned by banks to each customer dispute, indicating the given reason for the claim. Chargeback fraud is more likely to result in a civil case than a criminal one. [noun]/THrē • dē • sə • kur/. Step 1: First Chargeback. Goods/Services Not Received or Only Partially Received. The acquirer or merchant has 45 days to respond to a chargeback filed under reason code 4837. So, a merchant's specific credit and debit card chargeback rights often vary. 14 - Invalid Card Number. Codes 51 (insufficient funds) and 05 (do not honor) are especially common. It’s crucial that you recognize the common merchant errors that might trigger a reason code 13. Unfortunately, the chargeback process was not some financial version of Athena, springing fully formed from the head of the U. instagram. Chargebacks are initiated when a cardholder disputes a transaction, resulting in a reversal of their original payment. Sunday, November 23, 2014 If your business accepts credit or debit cards, you already know the unfortunate truth – chargebacks happen. The aim of CE 3. The following is an inside and out diagram of reason codes for Visa, MasterCard, Discover & Amex alongside their depiction. It was originally just one facet. This can also involve tracking and real-time reporting, as well as post-dispute practices like deploying dispute analytics and diagnostics. Reason codes are important to help merchants address recurring. A merchant category code, or MCC, is a four-digit number that indicates your line of business and the types of goods or services you provide to your customers. 1? Chargeback reason code 11. 9. 4 Fraud – Card-Absent Environment. How can merchants fight code 12. Fraud. 1: EMV Liability Shift Counterfeit Fraud: 10. Reason codes are alphanumeric codes that provide the justification for granting a chargeback. FR6 Partial Immediate Chargeback Program. It also you to upload evidence to fight a Discover chargeback. 800. A chargeback is the reversal of a transaction made using a credit card or debit card. Just like chargeback reason codes, each credit card brand has its own system of AVS codes. 4 chargebacks. For each reason code, a definition isRetrieval Request. In the distribution. Only an issuer can initiate the chargeback process.