What is a reason code? 3. What is the difference between Visa reason codes 30 and 41?About Visa chargeback reason codes Reason codes are alphanumeric codes that provide the justification for granting a chargeback. REASON CODES 1. 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. ” This reason indicates a merchant sent an authorization approval request for a transaction, received a “Decline” or “Pick Up Card” response, but submitted the. 0? Merchants that authenticate transactions using 3-D Secure 1. 4859 Addendum, No-show, or ATM Dispute. 1: 10:Visa chargeback reason codes . 2. Reason codes are alphanumeric codes that provide the justification for granting a chargeback. Like other networks, Visa has its own set of chargeback reason codes. A chargeback reason code is a 2-to-4-digit alphanumeric code provided by the issuing bank involved in a chargeback, which is meant to identify the reason for the dispute. This code was phased out under the Visa Claims Resolution initiative. reason code information. Chargeback Reason codes are Alphanumeric and Numeric Code, to describe the reason a card issuer is disputing for the particular transaction. 4. This is a common misconception. 2: Canceled Recurring Transaction, and those disputes would still go through the normal chargeback process. 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. 2022 Visa Chargeback. Feel free to submit topic suggestions, questions or requests for advice to: win@chargebackgurus. Visa chargeback Reason code 85 is applied when issuing bank gets a notice from card owner that merchandise was return, but merchant hasn’t refunded, and credit hasn’t appeared on bank statement. In contrast, an AFT is basically the inverse of an original credit transaction, or OCT. ; Resources. 2? Chargeback reason code 11. eCommerce grew too fast for the payments industry to respond. 4 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. Again, banks should not really be using 4807. 0 is an update to the rules for handling disputes filed under reason code 10. About Visa chargeback reason codes Reason codes are alphanumeric codes that provide the justification for granting a chargeback. The merchant loses their. 1. 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. Visa Chargeback. PDF 296K September 16, 2013. First, 3-D Secure is an “opt-in” program. 1. The shorthand description is “Declined Authorization. Every of the major card brands, the inclusion of Visa, MasterCard, and others, has its acknowledged system of reason codes. Post Views: 1,028. 2, and 13. Chargeback reason code 13. Visa has recently announced changes to its chargeback rules. 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. Chargeback Reason Codes > Chip Liability Shift > Issuer Chargeback > Chip Liability Shift Program for Domestic and Intraregional Transactions Chapter 5—Compliance Case Filing Incorporated the changes announced in “AN 1677—Revised Standards—QuestionableIt could also mean restrictions are imposed on your activity; for instance, if you receive a dispute assigned Visa reason code 10. Reason Code 81: Fraud. Let’s explore chargeback reason codes from the four leading credit card brands in the United States: Visa, Discover, Mastercard, and American Express. ACH return codes are a type of shorthand for specific information concerning the return, much like the card decline codes or dispute reason codes used by credit card networks. This code applies when a cardholder disputes a charge, and the merchant is informed by the processor that there is a problem with the transaction currency code. 0 standard that has specific defense requirements for chargebacks with this reason code. Region Only) 4855 Goods or Services Not Provided. In April 2018 Visa made a major overhaul to the taxonomy and organization of chargebacks, which they now refer to instead as disputes. 12. Visa groups its various reason codes into several broad dispute categories. Reason codes are alphanumeric codes that provide the justification for granting a chargeback. Without 3D Secure Liability shift, it is difficult to challenge the dispute. 4: Other Fraud–Card-Absent Environment. Yes. Either the dispute must be processed within 120 calendar days of: the transaction processing date, or. 3:Visa is introducing changes to the chargeback process with Reason Code 10. There are over 80 unique return codes, and each one represents a different type of return. 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. Merchant processed transaction below floor limit without authorization. They must respond within 30 days at each phase, or 10 days for arbitration. Visa Chargeback Reason Codes with Explanations. The newer system is designed to. 1 – Late Presentment. It was originally one of several possible scenarios covered by legacy Visa reason code 83. 13. Chargebacks with a “paid by other means” reason code are the result of a simple mistake on the part of the merchant. This code applies when valid authorization for a transaction was required but not obtained, and the merchant processed the transaction anyway. The start date for that window can vary, though. Criminals obtain personal card data using a variety of methods, but the end results are predictable: the cardholder learns of the fraudulent transactions and files a chargeback. 4 chargeback by demonstrating at least one transaction in which the details matched the disputed transaction. 6. Visa ® has launched the CE 3. It willInvalid chargebacks from Visa chargeback Reason Code 13. The Mastercard chargeback reason codes were condensed down in 2016, like the process that Visa just underwent with Visa Claims Resolution. The issuing bank assigns each dispute a code according to the consumer’s claim. Four reason codes have modified time frames: Reason Code 10. Certain reason codes require specific pieces of evidence to be provided in order to remedy a dispute. As a rule, “Fraud” and “Authorization” disputes enter straight into the “Pre-Arbitration” stage. There are five main categories of Visa chargeback reason codes: Fraudulent Transactions, Authorization Issues, Processing Errors, Consumer Disputes, and Other. Four reason codes have modified time frames: Reason Code 10. 5: The chargeback under normal situations should be executed in under 120 days in all religions other than US Domestic. The Visa chargeback reason codes system. 1? Chargeback reason code 11. See our Automated Clearing House (ACH) support article if you are looking for ACH Return Codes. Midigator has created a database of Visa reason codes. This code applies when authorization for a transaction was requested and denied, but the merchant processed the transaction anyway. Chargeback /Dispute; Merchant Response. All of Visa’s existing reason codes were condensed into four key groupings: fraud, authorization errors, processing errors, and customer. In fact, the same thing could be said of other chargeback reason codes, too. 3 applies when a cardholder claims a charge—made in a card-present environment—was. Suspected fraud is a common reason, as is insufficient funds in the cardholder’s account. This liability shift essentially provides merchants. Reason codes are alphanumeric codes that provide the justification for granting a chargeback. 6 – Credit Not Processed. Before VCR, Visa reason codes were two-digit numbers that often seemed like they were assigned completely at random. Visa. 1 – Other Fraud – Card Recovery. Visa Reason Codes. See moreFor each reason code, a definition is provided along with the merchant’s actions—or failure to act—that may have caused the chargeback, and. For example, if: The cardholder no longer wishes to dispute the transaction. Visa groups its chargeback codes into four main categories—fraud, authorization, processing errors, and customer disputes. If merchants use the API, they can submit the new reason codes and their descriptions. Visa chargeback reason code 13. For the time being, however, merchants should be aware that banks may still use the legacy code. 1, which covers duplicate processing errors, and 12. Visa’s chargeback reason code 13. 634. Identifying the chargeback reason code and the evidence required to fight it is the first step in chargeback. 0 represents the first rules change of its kind that specifically provides merchants with the opportunity to reverse the fraud status applied to a transaction associated by reason code 10. What is Visa Reason Code 11. In fact, the same thing could be said of other chargeback reason codes, too. VisaChargeback Reason Codes. The implication is that the merchant failed to deliver the goods or services, but this reason. 0 are generally protected from issuer eCommerce fraud-related chargeback claims (chargeback reason codes 75 and 83) -- market-specific program exceptions. In short: capture is the point at which you get paid for a sale. Chapter 1: All about chargebacks; Chapter 2: Average chargeback rates; Chapter 3: Chargeback Reason Codes Guide; Chapter 4: American Express Chargeback Reason Codes; Chapter 5: Mastercard Chargeback Reason Codes; Chapter 6: Visa Chargeback Reason Codes; Chapter 7: Chargeback responses; Chapter 8:. the date on the credit transaction receipt. This specific code applies when a cardholder reports that the actual merchandise received was counterfeit, and can back up that claim with documentation from a reliable, professional third party. High Level Visa Chargeback Dispute Flow. We say the given reason because it may or may not reflect the true reason. 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. Credit not processed. This code applies when a transaction is not deposited within the timeframe designated by Visa (see chart below). The transaction was recurring and the cardholder failed to meet the cancellation terms of the. Reason Code – 13. Either the acquiring or issuing bank could initiate the. . 13. 4846. 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. It’s typical to see fraud chargebacks roll in 2-3 months after the initial charges took place. Each card network—Visa, Mastercard, American Express, and Discover—defines and maintains their own unique set of reason codes, which are applied to disputes by the banks that issue credit and debit cards under their brands. Automate Tasks & Streamline Processes Let Midigator remove complexities and improve the efficiency of your chargeback management strategy. Identifying the chargeback reason code and the evidence required to fight it is the first step in chargeback. 1. 4. What is Visa chargeback reason code 10. The Visa chargeback reason codes take the form of two digits followed by a dot followed by a single digit. In addition to timeframe and workflow changes, Visa is consolidating its chargeback reason codes. All ACH return reason codes consist of the letter “R” followed by two. ” Visa categorizes these types of disputes as “first-party misuse” under their reason code 10. For U. 5 is part of the updated Visa reason codes that were phased out under the Visa Claims Resolution initiative. 0 is simply a better protocol than 1. About Visa chargeback reason codes Reason codes are alphanumeric codes that provide the justification for granting a chargeback. Merchants can deflect first-party disputes or reverse ensuing chargebacks by tying cardholders to their purchases by capturing transaction data, aka “compelling evidence. 0 as it does for 3-D Secure 1. 1 is an updated version of legacy reason code 74, which was phased out under the Visa Claims Resolution initiative. Blog Read helpful tips, industry insights, and articles to create the most effective chargeback management strategy. 0 requirements are scheduled to take effect in April 2023. Visa is planning to shake up the chargeback process with new compelling evidence rules for fraud disputes with Reason Code 10. 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 charge by filing a chargeback. 195 Acquirer Use of Message Reason Code 7627-No MAC Provided. Now, compliance cases must be submitted through Visa Resolve Online (VROL). 4846 — Incorrect Currency Code. 2 is the result of receiving a declined authorization but going ahead with the transaction anyway. Visa chargeback reason code 75 is filed as an honest mistake. Reason codes are alphanumeric codes that provide the justification for granting a chargeback. a bank, credit union, etc. 13. It is associated with a chargeback. 9 was previously covered by legacy Visa reason code 90. 9 – Non-Receipt of Cash or Load Transaction Value. 5: Visa Fraud Monitoring Program: 11. Chargeback Code Chargeback Reason; 10. ; Resources. The good news is that most of these invalid claims are disputable by the merchant. Disputes with this reason code are still limited to a 120-day filing window. 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 agency must provide this documentation to Vantiv (via mail, fax, online/scanning) within 30 calendar days after the report date on the Visa/MasterCardReason. About Visa chargeback reason codes Reason codes are alphanumeric codes that provide the justification for granting a chargeback. If you want a more thorough explanation of a given reason code, you can find it in our reason code lookup tool. Reason codes are alphanumeric codes that provide the justification for granting a chargeback. Get of Visa’s current reason codes were condensed into four key groupings: fraud, authorization errors, processing fault, and my disputes. A card-not-present chargeback is a payment reversal conducted by a bank in response to a card-not-present (i. Another downside is that chargebacks on annual subscriptions. Say Goodbye to Chargeback Fraud with Our Ultimate Prevention Guide. Under “Transaction History,” tap the transaction you want to dispute, then tap “Report an Issue. About Visa chargeback reason codes Reason codes are alphanumeric codes that provide the justification for granting a chargeback. There are over 80 unique return codes, and each one represents a different type of return. ” This code indicates that the merchant sent an authorization approval request for a transaction, received a “Decline” or “Pick Up Card” response, and submitted the. But cardholders and merchants have different time limits. Visa Chargeback Reason Codes are divided into six general groups, with 22 subcategories (codes): 1. 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. About Visa chargeback reason codes Reason codes are alphanumeric codes that provide the justification for granting a chargeback. Transaction was approved by the Issuer knowing that the authentication data failed verification and was not reliable. Reason code: Explanation: 12. Either the dispute must be processed within 120 calendar days of: the transaction processing date, or. Late Presentment Rules: Visa. the transaction adjustment date for an ATM cash disbursement or PIN-authenticated debit transaction. For your reference, here's a list of chargeback reason codes for Visa, Mastercard, Discover, and Amex. Specifically, these updates only pertain to transactions that are charged back after Oct. Visa. S. Condition 13. Our all-in-one e-commerce fraud prevention solution helps e-commerce companies reduce chargeback overheads while streamlining transactions for legitimate users. Learn about the different chargeback reason codes and what they mean. The first is a catch-all for claims of fraud, while the others typically involve customer disputes over undelivered items,. 2? Visa chargeback reason code 12. 5 under Visa Claims Resolution). All card brands have their own number of codes). S. Chapter 1: All about chargebacks; Chapter 2: Average chargeback rates; Chapter 3: Chargeback Reason Codes Guide; Chapter 4: American Express Chargeback Reason Codes; Chapter 5: Mastercard Chargeback Reason Codes; Chapter 6: Visa Chargeback Reason Codes; Chapter 7: Chargeback responses; Chapter 8:. 6. 1 is an updated version of legacy reason code 30, which was phased out under the Visa Claims Resolution initiative. What is Visa Reason Code 11. 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. 7 can be disputed, but it’s much more efficient to take a proactive stance. 2: Declined. com. CE 3. 3? Chargeback reason code 11. Otherwise, the Discover card chargeback time limit starts at the transaction processing date. All by Visa’s existing reason codes were condensed into four press groupings: scam, authorization failures, processing errors, press customer disputes. However, a truly effective chargeback management strategy must encompass prevention as well as disputing cases of friendly fraud. In the case of an arbitration chargeback, though, the issuer must file within 45 calendar days of the second presentment settlement date. Code. Learn more today about how much you could. New Visa CE 3. Fraud Reason Codes Current Reason Code New VCR Reason Code 62(2) 10. Reason Code 53: Not as Described or Defective Merchandise. Reason code 53 is typically used when a. Chargeback Reason Codes. For each reason code, a definition is provided along with the merchant’s actions—or failure to act—that may have caused the chargeback, and recommendations are given for resubmitting the transaction and preventing similar chargebacks in the future. 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. Other Programs to Know About. 1 — EMV. 12. Originally filed under legacy reason code 85 (condition 3), this code applies when a credit transaction was not accepted, usually for one of two reasons: The cardholder did not accept the credit. Visa Chargeback Reason Codes When a customer files a chargeback, the merchant receives a notification with an applicable chargeback reason code. Chargeback Reason Code Quick Reference Manual. Under the new VCR process, there will be 4 dispute categories: Fraud, Authorization, Processing Errors and Consumer Disputes. Stripe Category. 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. However, you’re not alone; they create headaches for many players within the Mastercard ecosystem. Card-not-present chargeback. In some cases, chargebacks from Visa Reason Code 12. 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. 196Mastercard issuers use merchant advice codes to respond to authorization requests, and as a communication tool with merchants regarding a cardholder's account. About Visa chargeback reason codes Reason codes are alphanumeric codes that provide the justification for granting a chargeback. It depends on the chargeback reason code associated with the dispute. If the dispute is invalid, provide documentation that proves the reasoning: the merchandise cleared the merchant’s customs but is being held by the customer’s customs agency, the dispute amount includes the cash-back portion of the transaction, or the dispute is for a purchase made at an automated fuel dispenser. 3 - Incorrect CurrencyPlease note that the most common Chargeback reason code for Allocation disputes is 10. 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. Below you will find the reason codes for the dispute events Chargeback, Request for Information (RFI), and Notification of Fraud (NOF). Now George has contacted his bank to start a dispute with the Reason Code 30: Services Not provided or Merchandise Not Received. Visa no longer allows the use of retrieval requests, announcing they would be phased out effective October 2020. Reason codes are alphanumeric codes that provide the justification for granting a chargeback. Survey data from the 2019 Chargeback Field Report found that 82% of merchants surveyed believed that the Visa Claims Resolution process had “little to no impact on chargeback management. 2, which specifically deals with. In this article, you’ll learn the key takeaways for merchants: Visa standard chargeback regulations; 3 most common Visa dispute reason codes; New Visa mandate Compelling Evidence 3. Specifically, the ones with the reason code 10. Amex continues to operate as both a card network and a bank. This code is unique—at least currently—in that Visa has since split it into two separate categories: 12. Credit card authorization is a notification given by a credit or debit card issuer (i. Then there are the reason codes that apply to merchants who are unable to keep up with the unrelenting barrage of chargebacks and fraud attempts that e-commerce companies of today are constantly dealing with. The sales receipt and/or date and amount of the authorization if other than the transaction date. The claim the cardholder is making here is that they did not authorize the transaction and are alleging their card was used fraudulently or that the merchant pushed a transaction through without. Select a tab to see the possible. Visa Chargeback Reason Code 10. Declined Authorization Authorization Visa Code: 11. 6 is an updated version of legacy reason code 85, which was phased out under the Visa Claims Resolution initiative. The Ultimate Dispute Management Resource. 2? Visa chargeback reason code 11. Often, this is the result of one of the. 16, 2021. The network plans to reduce response times even further to just 20 days in the near future. What is a reason code? 3. 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 following are reason codes for the same scenario: Visa: Reason Code 30 Services not provided or merchandise not received. 1=1010, 10. All Mastercard chargebacks (except reason codes 4808, 4870, 4871, and 4834) All Visa collaboration disputes The following is a high-level overview of the process used in these situations. 2 - Incorrect Transaction Code: The wrong transaction code was used. Using the same link provided above, contact PayPal to report the scam. 1: Services not provided or merchandise not received: VCR Dispute Reason Code 13. About Visa chargeback reason codes. The following Visa chargeback code maps are organized by category, as defined by Visa. 4: Other Fraud–Card Absent Environment. 2. 13. As a merchant, you face the brunt of chargeback losses. About Visa chargeback reason codes Reason codes are alphanumeric codes that provide the justification for granting a chargeback. Visa Chargeback Reason Codes. 3DS1 is less secure, less effective, and incompatible with the way consumers shop online. Each card network — Visa, Mastercard, American Express, and Discover — defines and maintains their own unique set of reason codes. The time limits for filing a chargeback under different Visa reason codes can vary. 1: Card Recovery Bulletin: 11. ; This chargeback may be reversed by supplying information such as the method and date when the authorization code was obtained or evidence that a credit was issued. 4, MasterCard 4837, AMEX F29, Discover UA02, and so on). American Express Chargeback 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. All received credit card disputes include a reason code. If you’re entered into the VFMP, that means Visa will keep tabs on your activity. Blog Read helpful tips, industry insights, and articles to create the most effective chargeback management strategy. Blog Read helpful tips, industry insights, and articles to create the most effective chargeback management strategy. 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. One of two things will happen next. Simplify reason codes. Find out the timeframes for Visa chargeback resolution, the merchant required documentation, and the re-presentment rights. 4 — Other Fraud: Card-absent. Visa advises the following authorization best practices:Automate Tasks & Streamline Processes Let Midigator remove complexities and improve the efficiency of your chargeback management strategy. Chargeback reason code 98 was used to describe any exception that fell into that category. What follows is a quick reference guide for all the current reason codes for each of the four major credit card networks: Visa, Mastercard, American Express, and Discover. Chargeback reason code description – An explanation which provides the reason of raising a chargeback by the cardholder. A risk department can accurately analyze what the issue is with their. The fact is, that this type of reason code is typically harder to fight than other types of chargebacks. When a cardholder makes a purchase, but regrets it later, they may file a chargeback to recoup their money. • Cardholder Disputes and Chargebacks • Visa Rules for Returns, Exchanges and Cancellations By accepting Visa cards at your point-of-sale,. If you do perform a key-entered transaction, make a manual imprint of the card. Reason codes are alphanumeric codes that provide the justification for granting a chargeback. Which fraud reason codes will be included in EMV Liability Shift? How are Lost/Stolen transactions affected? A. Each card network—Visa, Mastercard, American Express, and Discover—defines and maintains their own unique set of reason codes, which are applied to disputes by the banks that issue credit and debit cards under their brands. The issuer generates a claim, then transmits it to the merchant’s acquirer, as well as to Visa, as a means of noting all reported fraud incidents tied to the merchant. While Apple Cash transactions are ineligible for conventional disputes, you can dispute Apple Card transactions. About Visa chargeback reason codes Reason codes are alphanumeric codes that provide the justification for granting a chargeback. Mastercard. 2 Compliance CasesIf a merchant does not submit the required pieces of compelling evidence, it is unlikely that the card brands will rule in the merchant’s favor. Each card network—Visa, Mastercard, American Express, and Discover—defines and maintains their own unique set of reason codes, which are. 2: EMV Liability Shift Non-Counterfeit Fraud: 10. Automate Tasks & Streamline Processes Let Midigator remove complexities and improve the efficiency of your chargeback management strategy. Search reason codes 2. This code is unique—at least currently—in that Visa has since split it into two separate categories: 12. This can be the result of intentional merchant fraud, but it is more likely to be an honest mistake. 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. Loss, Theft, or Damages chargebacks, for example, formerly fell under legacy. 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. Under Visa’s previous rules, merchants could dispute a reason code 10. You can learn more about each one by visiting the Mastercard Chargeback Guide. In theory, reason codes help merchants understand why customers dispute. Chargeback reason code 13. If a customer asks to use another form of payment after the Visa card transaction has been processed, credit from the original. 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 Merchandise/Services Not Received. Reason codes are alphanumeric codes that provide the justification for granting a chargeback. A transaction modifier (or modifier) represents specific circumstances associated with a card sale that change what compelling evidence is required to overturn the chargeback. 5: Visa Fraud Monitoring Program. This chargeback occurs when it cannot be checked that a valid code was obtained for a transaction at the time of the actual sale. 3 – Not as Described or Defective Merchandise / Services. 13. What is Visa chargeback reason code 12. The implication is that the merchant failed to deliver the goods or services, but this reason. The goal is to reduce ‘friendly’ fraud chargebacks, helping sellers protect more of their hard-earned revenue. 4, 13. Chargebacks. the date the customer received the merchandise or services (but not to exceed 540 days of the original transaction processing date) However, if the customer returned merchandise or. Visa Chargeback Reason Code 13. About Visa chargeback reason codes. 1: EMV Compensation Shift Counterfeit Fraud: 10.