It’s important that you include a copy of your customer terms and conditions in order to prove that the customer knew what to expect from the outset. Reason code 4863 (Cardholder Does Not Recognize) can no longer be used. 4863: Cardholder Does Not Recognize—Potential Fraud: 4859: Addendum, No-show, or ATM Dispute: 4840: Fraudulent Processing of. The shorthand description is “Cardholder Does Not Recognize—Potential Fraud. MasterCard reason code 4863, and Discover reason code 6040. Chargeback time limits vary widely depending on the issuing bank, and the chargeback code or reason. The length and structure of Reason Codes changed from a current two-digit code to four to six digits that contains decimal(s) point(s). Wenn Sie informiert werden, dass ein Chargeback vorliegt, heißt dies, dass die Transaktion vom Karteninhaber storniert wurde. Chargeback reason American Express reason code Discover reason code Visa reason code Mastercard reason code; Card wasn't present at the time of transaction: F29: UA01: 10. If the dispute is deemed valid, the bank or credit union proceeds to issue a chargeback to the merchant. Multiple Authorization Requests. Summary of Changes, 13 December 2018for chargeback reason code 4863 (Cardholder Does Not Recognize). 13 Example 13—Message Reason Code 4863—Cardholder Does Not. The win. Cardholder dispute. S. 4846 — Incorrect Currency Code. Transaction unauthorized make up 30% of all chargeback reason codes. Top chargeback reason codes: Visa Allocation reason code. 5: 4870: Card not present at the time of transaction: F29: UA06: 10. Reason Code North-America: Canada and United States of America; Reason Code: All other countries;. 13 Example 13—Message Reason Code 4863—Cardholder Does Not RecognizeChargeback Reason Codes Card Type DISCOVER DISCOVER DISCOVER Reason Code 4502 4534 4540 DISCOVER 4541 DISCOVER 4550 DISCOVER 4553 DISCOVER DIS. Understanding these codes can help merchants understand why chargebacks are being filed and how to prevent them in the future. Level 3/Phase 3: Second presentment, second chargeback, or pre-arbitration. Summary of Changes, 13 December 2018UA01 Fraud – Card Present Transaction. Ready to Start Preventing. pdf from BUS MISC at Yeshiva University. Pages 100+ Identified Q&As 7. For example, the acquirer for a MID with 500 chargebacks would besection into chargeback reason code 4808 (Authorization-related Chargeback) as announced in the Global Operations Bulletin No. Chargebacks with code 4836 were easy to file and hard to contest, meaning the code was commonly misused by cardholders and issuers. Documentation must be a direct result of cardholder communication. Summary of Changes, 13 December 2018section into chargeback reason code 4808 (Authorization-related Chargeback) as announced in the Global Operations Bulletin No. Mastercard limits issuers’ chargeback rights for Reason Code 4863–Cardholder Does Not Recognize. section into chargeback reason code 4808 (Authorization-related Chargeback) as announced in the Global Operations Bulletin No. Only by researching the disputed transaction and examining the true facts of the situation can you tell whether a chargeback is legitimate or not. The list of chargeback reason codes in this article is organized by card brand and type of dispute. To dispute this type of chargeback, you need to provide the following: Evidence that:. Documentation must be a direct result of cardholder communication. The cardholder claims not to recognize a card-not-present transaction. 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. 3 Conditions. 4: Counterfeit Europay, Mastercard, or Visa (EMV) card: F30: UA05 or UA06: 10. Mastercard uses a four-digit numbering scheme for its chargeback reason codes. 4: Other Fraud – Card-Absent Environment. For MasterCard reason code 4853, provide documentation to support that the chargeback is remedied or invalid through one of the following: The transaction was not a recurring. R03 Insufficient Reply. No two merchants will get exactly the same chargebacks for the same reasons, but there are definite patterns depending on the market you serve. Summary of. 4863: Cardholder Does Not Recognize - Potential Fraud: 4870: Chip Liability Shift: 4871:For more information, see Currency codes. Items – Total number of chargebacks or reversalsThe tables below include the reason codes you might receive when a dispute occurs. S. Fraud 4837 No Cardholder Authorization 4840 Fraudulent Processing of Transactions 4849 Questionable Merchant Activity 4863 Cardholder Does Not Recognize—Potential Fraud. The actual underlying cause of this chargeback is usually either true fraud or friendly fraud. message. Mastercard Chargeback Reason Code 71: Disputed Amount. Chargebacks are almost always initiated by customers, but businesses can request them as well (although this doesn’t happen often). 5 Visa Fraud Monitoring Program. ACS Number – The automated case number (ACS) assigned to the chargeback/reversal. Each MasterCard chargeback reason code has its own designated time limit within which it must be initiated. Laundering: The merchant carried out transactions without a legitimate cardholder’s involvement. Code 4807: Fraudulent Card-Present Transaction. It can also occur due to network processing. Reason code 83 represents a chargeback categorized as. Request for Information. 4 Fraud – Card-Absent Environment. reason code information. Poor order fulfillment: Late order fulfillment or billing for an order before shipping the goods. For more information on reason codes, see Chargeback Guidelines. The agency must provide this documentation to Vantiv (via mail, fax, online/scanning) within 30 calendar days after the report date on the Visa/MasterCard. 1 chargeback: 1. 4853 Cardholder Dispute. Documentation must be a direct result of cardholder communication. section into chargeback reason code 4808 (Authorization-related Chargeback) as announced in the Global Operations Bulletin No. Reason code 4842 (Late Presentment) was retired. Be transparent about your products. 4 (Visa), 4387 (MasterCard), F29 (AmEx) and UA02 (Discover). 3. Each chargeback claim is given a reason code, which helps explain to merchants the reason for the dispute. Dispute Code. Reason code 4863 (Cardholder Does Not Recognize) can no longer be used. Chargebacks can be a costly part of accepting card payments and entail administrative. For reason code 4863 (Cardholder Does Not Recognize), supporting documentation like a letter or email from the cardholder is required. 10. There are multiple situations in which this can occur. 11/03/15 Updated these MasterCard. Updated August 23, 2023. Your business may not have to handle all chargeback cases — the processor will provide automatic representation in some. 1: goods not received. Reason Codes Category 4: Processing Errors. Depending on what reason the cardholder is filing a chargeback, there are different reason codes assigned to the case. Finally, Mastercard will eliminate the following two reason codes from their list: 4840 – Fraudulent Processing of Transactions. EN. Authorization. Updated the following columns - card type, response due date. 4807 – Warning Bulletin File. A credit card chargeback is when a bank returns money to you because a credit card charge was fraudulent or you bought something online that wasn’t delivered or was. This code collects all the. STAR Chargeback Reason Codes; Visa Chargeback Reason Codes; Network Limits; Published BIN Files; 🧭 Best Practices. 4 Fraud – Card-Absent Environment. Only an issuer can initiate the chargeback process. For example, the merchant bills the cardholder in installments. Consumer Disputes Fraud Categories [D1]– Chargeback reason codes can, for the most part, be divided into four unofficial categories: Fraud, Authorization,. section into chargeback reason code 4808 (Authorization-related Chargeback) as announced in the Global Operations Bulletin No. Always submit an authorization request, no matter the transaction amount. Chargeback reason American Express reason code Discover reason code Visa reason code Mastercard reason code; Card wasn't present at the time of transaction: F29: UA01: 10. 4863: Cardholders Does Not. Each card network maintains reason codes to cover all the disputes that qualify for. A successful 3-D Secure transaction is protected against the following CNP chargeback codes: Liability shif˜ conditions The Electronic Commerce Indicator (ECI) indicates the resul˜ of the authentication: Card Visa MC Code 10. Sobald wir eine Chargeback-Meldung erhalten, leiten wir diese unmittelbar an Sie weiter. 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. R13 No Reply. 4: Other Fraud — Card Absent Environment: 10. Visa – 10. Chargeback codes Chargeback codes Last updated: August 16, 2023 Below you'll find a list of chargeback codes along with an explanation of what each one. Total views 100+ Dr. 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. 4: Counterfeit Europay, Mastercard, or Visa (EMV) card: F30: UA05 or UA06: 10. Documentation must be a direct result of cardholder communication. These time limits are established to ensure prompt resolution of disputes and prevent unnecessary delays. Chargebacks occur. The cardholder denies participating in the transaction you processed. 4863: Cardholder Does Not Recognize—Potential Fraud: Fraud: 4870: Chip Liability Shift: Fraud: 4871: Chip/PIN Liability Shift: Fraud: 4807: Warning. The following message reason codes designate chargebacks resulting from issues related to customer disputes: Response Time Frame. It. Point of Interactions Errors. Since it is such a popular reason code, a logical assumption would be that eliminating it would have a significant impact on the ecosystem. You cannot effectively fight chargebacks until you identify which of these three things is actually responsible. The terms may be different, but the process remains fairly unchanged. Fraud-related Chargebacks • FNS Counter Exceeds 25 Fraud-Related Chargebacks. 4853. 13 Example 13—Message Reason Code 4863—Cardholder Does Not RecognizeJan 2020_Chargeback Reason Code Encyclopedia - Free download as PDF File (. While creating the reason codes, the bank asks the customer about the reason for dispute and then assigns a code. The length and structure of Reason Codes changed from a current two-digit code to four to six digits that contains decimal(s) point(s). While the updates have been published, they do not go into effect until Oct. 4812. When that happens, the issuing bank will gather evidence from the customer and assign a reason code to the chargeback based on the card issuer. Expedited Dispute Resolution forms will not be allowed. Level 2/Phase 2: Chargeback. These may impact the dispute time limits. Proof you have already refunded the transaction and credited the cardholder’s account. 4 disputes through Verifi’s Order Insight®, which ChargebackHelp clients are integrated with already under CBH+Deflect . 4812: Account Number. One of the most common Chargeback reason codes is caused when the goods or servicesare not received by the customer. 4870 – Chip Liability Shift. REASON CODE 4863 REASON CODE 41 & REASON CODE 85: REVIEW YOUR BOOKKEEPING TO ENSURE THAT CANCELLATIONS AND REFUNDS ARE INITIATED IN A TIMELY. It is a valuable resource for anyone involved in the payments industry. Additionally, Discover uses a fifth "No Classified" category. Chargeback Reason Codes Visa. MasterCard and Visa will rule in favor of the. 1. 4808. By default, payments should be auto-captured, but if this fails, you have the option to manually. An issuer must not submit a chargeback using this message reason code for any of from FRAUD 101 at Dr. Required Authorization Not Obtained. Typically, cardholders file a chargeback if they were not informed of dynamic currency conversion fees or were not given the option to complete the sale in their local currency. Reason Code. The Mastercard chargeback reason codes were condensed down in 2016, like the process that Visa just underwent with Visa Claims Resolution. In-Depth Analytics Recognize the real reasons for transaction disputes the solve issues at their source. For example, Visa reason code 83 is one of the reason codes with several modifiers with which it’s associated. Consult the applicable network’s guidelines for examples of acceptable compelling evidence. What causes code 4863 chargebacks? Below you will find the reason codes for the dispute events Chargeback, Request for Information (RFI), and Notification of Fraud (NOF). All rights reserved. Card Type Reason Code Reason Text Chargeback Category Preventable Reversible VISA 30 Services Not. Expedited Dispute Resolution forms will not be allowed. Discover: Reason Code 4755 Non-receipt of goods or services. 5. (See below) You update the When rule accordingly. What are chargeback reason codes? Mike Conway 2021-03-04T20:56:54+00:00. Few days later she checks her account and finds out an un-recognizable charge. Credit card chargeback reason code: Type: Varchar; Unique: No; Blanks: Yes; Max length: 64 characters; Unique identifier which distinguishes the nature/reason of credit card chargeback reported. These are the phases: Level 1/Phase 1: Retrieval request or first presentment. Each code has a different timeline. 15, 2021. Chargeback reason American Express reason code Discover reason code Visa reason code Mastercard reason code; Card wasn't present at the time of transaction: F29: UA01: 10. Fraud. . 12, 1 December 2015, Authorization-related Chargeback Sections Combined. Doc Preview. This chargeback reason code means that the cardholder was not able to recognize the charge on their bank statement and believes that the transaction was fraudulent. • Chargeback Reason Code – Each chargeback contains a reason code that signifies the reason for the dispute and the rules that must be followed by the issuer and the merchant in order to resolve the dispute. Report. The most comprehensive guide to chargeback reason codes. This reason code may not be used for: Properly identified Mastercard SecureCode, Masterpass by Mastercard, and Digital Secure Remote Payment (DSRP) transactions (including any subsequent transaction related to the. Specifically for gaming merchants – If you can provide. please provide MPI log. Visa Chargeback Codes: 30: Services not provided or Merchandise not received : 41: Cancelled recurring transaction : 53:. S. 1: EMV Liability Shift Counterfeit Fraud: 10. The reason code used to describe the dispute will determine the chargeback time limit. Here’s how reason codes make it easy for you to check the status of your disputes or chargebacks: Mastercard Chargeback Reason Codes Demystified. Codes are not often shared between issuers which means it can be difficult to remember the. Improve chargeback-resolution time. The code can be used in multiple specific situations; when necessary, an additional message will be provided along with the reason code to inform the merchant which particular type of chargeback. Chargeback reason codes are set by the card networks and used by card issuers to categorize chargebacks. Products. Cardholder Dispute - Not Elsewhere Classified (U. For MasterCard reason code 4853, provide documentation to support that the chargeback is remedied or invalid through one of the following: The transaction was not a recurring transaction. Technical. 6. Each code has a different timeline. The cardholder initiates contact with their bank or credit union to file a dispute. 4: Counterfeit Europay, Mastercard, or Visa (EMV) card: F30: UA05 or UA06: 10. 12, 1 December 2015, Authorization-related Chargeback Sections Combined. 12, 1 December 2015, Authorization-related Chargeback Sections Combined. 13 Example 13—Message Reason Code 4863—Cardholder Does Not Recognizeminimum chargeback amount of GBP 10 that is currently applicable in the United Kingdom for certain reason codes. UA02 Fraud – Card Not Present Transaction. A successful 3-D Secure transaction is protected against the following CNP chargeback codes:. Subscribe today to our newsletter and stay up to date with all events coming straight in your mailbox:Here’s how reason codes make it easy for you to check the status of your disputes or chargebacks: Mastercard Chargeback Reason Codes Demystified. Sift’s MasterCard chargeback reason code guide features every single MasterCard reason code, its description, expert insights, and real world examples. MasterCard time limits vary depending on the applicable reason code. A chargeback is the potential outcome of a disputed credit or debit card transaction. rdmd-html { margin-left: 0 !important;} Expa. List of Chargeback Reason Codes. The time limits for responding to a chargeback also vary based on the card scheme and the chargeback reason code. As per the Chargeback Guide, the UCAF indicators must be the values from 211 to 915. Discover Chargeback CodesAccording to Aite, it’s expected that the cost to intake, manage and provide settlements on disputes will increase to 67% by 2023, reaching $177. MasterCard reason code 4863, and Discover reason. 6 million. Reason codes are alphanumeric codes that provide the justification for granting a chargeback. Among some of the most common Visa chargeback reason codes are Fraudulent Processing of Transactions (Reason Code 4837), Invalid Data (Reason Code 4775), Credit Not Processed (Reason Code 4834), and Goods/Services Not Provided (Reason Code 4863). Overview. The implication is that the merchant is at fault. A chargeback happens when a customer asks their card-issuing bank to reverse a transaction. Knowing these codes can help you dispute chargebacks more effectively. 10. In this case, the cardholder doesn’t. MasterCard chargeback reason codes are a set of four digits beginning with the 48xx. Chargeback reason American Express reason code Discover reason code Visa reason code Mastercard reason code; Card wasn't present at the time of transaction: F29: UA01: 10. Not as Described or Defective Merchandise 83 4837 F29 UA02 30 4855 C08 RG 41 4841 C28 AP 85 85 4860 4860 C02 C02 RN2 RN2 75 4863. Documentation must be a direct result of cardholder communication. 2. Message reason code 4863 first chargebacks will be included in the FNS count once the FNS fraud chargeback count is two or greater. Proof that a positive response was obtained. Merchants will still have 45 days to respond to chargebacks and 30 days to respond to retrievals. Mastercard Chargeback Reason Code 73: Duplicate Transaction. 4863: Authorization Non-Compliance: 4864: Non Receipt of Cash from ATM: 4865: Paid by other means: 4866: Fraud - Chip Card Counterfeit Transaction:Examples of compelling evidence that you may submit in response to a chargeback with this reason code include: Proof you received a positive authorization response and proof the authorization amount matches the transaction amount. However, the 30 day waiting period can be waived if you’ve. 4:. 4860 Credit Not Processed 4862 Counterfeit Transaction Magnetic Stripe POS Fraud 4863 Cardholder Does Not Recognize – Potential Fraud 4870 Chip Liability Shift 4871 Chip / PIN Liability. Read the Chargeback Advice letter carefully. 3. Recommend Documents. 4: Counterfeit Europay, Mastercard, or Visa (EMV) card: F30: UA05 or UA06: 10. The total volume in US dollars of Mastercard payments that result in fraudulent chargebacks (net fraud volume) calculated by dispute reason code (reason code 4837 and 4863) The fraud-count-to-transaction ratio (fraud chargeback rate) The ratio of 3DS Mastercard payments to all Mastercard paymentssuch as no authorization approval code received. 4807 – Warning Bulletin File. Expedited Dispute Resolution forms will not be allowed. Visa – 10. Time Limit. Each credit card brand has different codes. The bank or credit union then conducts an investigation to ascertain the validity of the dispute. A credit card chargeback is when a bank returns money to you because a credit card charge was fraudulent or you bought something online that wasn’t delivered or was. TabaPay 1099k Procedures; Transaction Integrity - Network Fees;. Updated August 23, 2023. 5%: Net fraud volume is greater than 50,000 USD: 10% of total Mastercard payment count (non-regulated countries) 50% of total Mastercard payment count (regulated countries) Chargeback reason American Express reason code Discover reason code Visa reason code Mastercard reason code; Card wasn't present at the time of transaction: F29: UA01: 10. Because it’s so easy for customers to initiate a chargeback, retailers are bound to experience a request at. AMERICAN EXPRESS; CODE: DESCRIPTION: A01: Charge Amount Exceeds Authorization Amount. Chargebacks with the following reason codes are requested due to fraudulent activity. 10. 4854 Cardholder Dispute—Not Elsewhere Classified (U. Chargeback reason codes and what do they mean? Visa Chargeback Reason Codes. This chargeback occurs when merchants do not adequately provide currency information. Unrecognized Chargebacks. 4: 4863 It’s also important to note that any chargebacks involving Mastercard’s reason code 4834 (Point of Interaction Error) will see the chargeback filing timeframe reduced from 120 days to 90 days. Any chargeback that is received without a reason code will be assigned a default code of 53. Chargeback. 1 = EMV-Liability Shift counterfeit. Visa - 10. 4863 Cardholder does not recognize - potential fraud (US Only) 4870 Chip Liability Shift; 4871 Chip/PIN Liability Shift;for chargeback reason code 4863 (Cardholder Does Not Recognize). Expedited Dispute Resolution forms will not be allowed. Trust & Safety University; Library. Nothing immediately identifies a chargeback as being the result of first-party misuse. Cancelled Recurring Transaction. 4 Funding Process. Reason Code 02. Canceled Transactions (Codes 4862 - 4863) Canceled transactions occur when a cardholder cancels a transaction after it has been authorized. 1:. MasterCard’s Corporate Purchasing Department Account Program does not have rights for the following message reason codes: 4835 — Card Not Valid or Expired. When you receive a chargeback request, respond promptly with any relevant information or evidence that supports your case. Visa Chargeback Reason Codes. Sometimes, customers get wrongly debited due to manual data entry errors by the merchant’s team. For example, 10. MDR removed some reason codes completely, including code 4863 – Cardholder Does Not Recognize. Or fill in the chargeback form because it seems easier than contacting the merchant directly. 1, 5 January 2016. compliance process depending on whether a chargeback right exists. In 2021, 43 percent of companies identified customer service delays as a top reason for their increase in chargebacks. for chargeback reason code 4863 (Cardholder Does Not Recognize). For example, the dispute reason “Cardholder Does Not Recognize” is denoted under the Discover reason codes system as “AA. 6. 5. The Discover. 3 Fraud – Card-Present Environment. 12, 1 December 2015, Authorization-related Chargeback Sections Combined. 4 (1040) (Visa) Card-not-present fraud: F24. Documentation must be a direct result of cardholder communication. Note : For message reason code 4863 (Cardholder Does Not Recognize—Potential Fraud),. FR6 Partial Immediate Chargeback Program. The issuer submitted more than 15 chargebacks in aggregate involving the same account (as defined above) for message reason codes 4837, 4840, 4870, or 4871. 13 Example 13—Message Reason Code 4863—Cardholder Does Not RecognizeChargeback Reason Codes by Industry. Reason Other fraud—Card absent environmentMasterCard Chargeback Reason Codes Reason Code: Category: Description: 4802: Request for Information: Requested/Required Item Illegible or Missing: 4803:. With phase two, Mastercard reduces the chargeback filing timeframe for issuers reduced from 120 to 90 days when the case in question pertains to reason code 4834 (Point of Interaction Error). Visa chargeback reason codes. (See below) You update the When rule accordingly. These codes are notoriously inaccurate; in fact, first-party fraud is predicated on reason codes being inaccurate. reason code information. 4: Counterfeit Europay, Mastercard, or Visa (EMV) card: F30: UA05 or UA06: 10. 12, 1December 2015, Authorization-relatedChargeback Sections Combined. The following message reason codes designate chargebacks resulting from authorization-related issues: Response Time Frame 4807 Warning Bulletin File 4808 Requested /. 5: 4870: Card not present at the time of transaction: F29: UA06: 10. The reason codes are grouped into several broad. 04/04/16 Added American Express Chargeback and Retrieval Reason Codes. Summary of Changes, 13 December 2018 The following are changes with the most recent publication of this document. MDR also retired reason code 4840 – Fraudulent Processing of Transactions. e. 4863: Request for Information: Cardholder does not recognize - Possible Fraud: 4903: Other: Documentation received was invalid/incomplete: 4905:About American Express chargeback reason codes. Time Limit. Mastercard. Cardholder Dispute — Defective Merchandise / Not as Described. 5: 4870: Card not present at the time of transaction: F29: UA06: 10. 5. 4860 Credit Not Processed. If left empty, the chargeback will be considered non-fraudulent. Several countries have mandates related to 3-D Secure and MasterCard SecureCode. An issuer must not submit a chargeback using this. It is associated with a chargeback reason code, and it is specific per Card Scheme. It is subject to change and may not include every currently known dispute reason code. Prevention strategy: Implement EMV chip card technology to reduce the risk of fraudulent card-present transactions. EUR/USD 5 per chargeback for each chargeback over 300. [noun]/* kə • stə • mər • di • spyo͞ot/. 4807 – Warning Bulletin File. Reason code 4837: Fraud related chargeback or no cardholder authorization. Expedited Dispute Resolution forms will not be allowed. By entering your email, you agree to receive marketing emails from Shopify. As such, it is limited to merchants in the following merchant category codes (MCCs): MCC 5735 — Record Stores. 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. Each code corresponds to an issue or problem. Chargebacks—Maestro POS Transactions—added information to the section, Proper Use of Intra-European Message Reason Code 4808, about the MasterCard – 4863 Cardholder Does Not Recognize – Potential Fraud. The reason code used to describe the dispute will determine the chargeback time limit. ”Authorization and 4863-Cardholder Does Not Recognize-Potential Fraud). Fraudulent processing of transaction. There are also specific return time frames, which can differ. MASTERCARD 4863 Cardholder does not recognize- Possible Fraud Request for Information NO YES. 0: Updated report version from 1. MasterCard chargeback reason codes are a set of four digits beginning with the 48xx. Set forth below are the sole chargeback reason codes pursuant to which you may be eligible for Chargeback Protection, subject to all of the terms and conditions contained herein. MasterCard Chargeback Reason Codes. This chargeback reason code means that the cardholder was not able to recognize the charge on their bank statement and believes that the transaction was fraudulent. Step #2 | Report the Scam to PayPal. Below is a list of Mastercard chargeback codes used in eCommerce. for chargeback reason code 4863 (Cardholder Does Not Recognize). For all of Europe, merchants that want to be able to accept Maestro debit. UA05 Fraud – Chip Counterfeit Transaction. These symbols stand for reasons why a financial institution may file a credit card chargeback from their client’s name. • 4808 Authorization-related. Reason code 4840 (Fraudulent Processing of Transactions) can no longer be used. Each chargeback received a numeric code which is known as the “reason code”. for chargeback reason code 4863 (Cardholder Does Not Recognize). These chargebacks will show up under reason codes that will, on first glance, appear legitimate. The cardholder didn’t recognize the non-face-to-face transaction on their statement. 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. MC 4812 Account Number Not on File. MC 4808 Requested/Required Authorization Not Obtained. 5. For more information on reason codes, see Chargeback Guidelines. for chargeback reason code 4863 (Cardholder Does Not Recognize). for chargeback reason code 4863 (Cardholder Does Not Recognize). 4863: Cardholder does not recognize - potential fraud (US Only) 4870: Chip Liability Shift: 4871: Chip/PIN Liability Shift:section into chargeback reason code 4808 (Authorization-related Chargeback) as announced in the Global Operations Bulletin No. Cardholders can dispute digital goods transactions of $25 or less (or the equivalent in local currency) if certain purchase controls were not put. 3. How do you use reason codes? A chargeback often has a reason code associated with it. 4: Counterfeit Europay, Mastercard, or Visa (EMV) card: F30: UA05 or UA06: 10. 4863 Cardholder Does Not Recognize—Potential Fraud: 10. Regards, Arun Kumar. 83: Fraudulent Mail/Telephone/eCommerce Transaction. A reason code or a chargeback reason code is a string of symbols (numbers and letters). RR - Retrieval Request MID - Merchant Identification number PA - Pre-arbitrations NOTE: PayPal often cites reason codes from cardVisa categorizes these types of disputes as “first-party misuse” under their reason code 10. 5.