MasterCard uses four main categories to organize its reason codes: Authorization, Card Member Disputes, Fraud, and Processing Errors (which MasterCard refers to as Point-of-Interaction Errors).
Code | Description | Transaction Modifier | Category |
---|---|---|---|
4837 | No Cardholder Authorization | CNP Airline Transaction, Customer Profile, Digital Goods Download, E-commerce Transaction: Partial Shipment or Balance Due, Recurring Transaction, Site to Store | Fraud |
4840 | Fraudulent Processing of Transactions | None | Fraud |
4849 | Questionable Merchant Activity | None | Fraud |
4863 | Cardholder Does Not Recognize—Potential Fraud | None | Fraud |
4870 | Chip Liability Shift | None | Fraud |
4871 | Chip/PIN Liability Shift | None | Fraud |
4807 | Warning Bulletin File | None | Authorization |
4808 | Authorization-Related Chargeback | None | Authorization |
4812 | Account Number Not On File | None | Authorization |
4834 | Point-of-Interaction Error | Addendum/"No-Show" Dispute, DCC Selected by Merchant, DCC Unknown/Refused, Incorrect Transaction Amount, Late Presentment, Unreasonable Amount | Point-of-Interaction Error |
4831 | Transaction Amount Differs | None | Point-of-Interaction Error |
4842 | Late Presentment | None | Point-of-Interaction Error |
4846 | Correct Transaction Currency Code Not Provided | None | Point-of-Interaction Error |
4850 | Installment Billing Dispute | None | Point-of-Interaction Error |
4999 | Domestic Chargeback Dispute (Europe Region Only) | None | Point-of-Interaction Error |
4853 | Cardholder Dispute | Addendum/"No-Show" Dispute, Counterfeit Merchandise, Credit Not Processed, Digital Goods Purchase of USD 25 or Less, Non-Receipt, Not As Described/Defective, Recurring Transaction, Timeshare Cancellation, Transaction Not Completed | Cardholder Disputes |
4841 | Canceled Recurring or Digital Goods Transactions | Recurring Transaction - Digital Goods | Cardholder Disputes |
4854 | Cardholder Dispute—Not Elsewhere Classified (U.S. Region Only) | None | Cardholder Disputes |
4855 | Goods or Services Not Provided | Digital Goods Purchase of USD 25 or Less, European Transaction for Travel Services | Cardholder Disputes |
4859 | Addendum, No-show, or ATM Dispute | ATM Transaction | Cardholder Disputes |
4860 | Credit Not Processed | None | Cardholder Disputes |
MasterCard Time Limits to Respond
Time limits are for the acquiring bank. Merchants will typically be given half the amount of time the acquiring bank is given to accomodate for the time they need to process internally. MasterCard has a time limit of 45 days from the date of the chargeback.
Mastercard Transaction Modifiers
A transaction modifier (or modifier) represents specific circumstances associated with a card sale that change what compelling evidence is required to overturn the chargeback.
Addendum / "No-Show" Dispute
Applies to Reason Codes
- 4834 - Point of Interaction Error
- 4853 - Cardholder Dispute
How to Respond
- Provide either:
- Proof that the deficiency that led to this dispute has been corrected
- Evidence proving that the cardholder is responsible for the addendum or "no-show" charge
ATM Transaction
Applies to Reason Codes
- 4859 - Addendum, No-show, or ATM Dispute
How to Respond
- Provide a legible copy of either the ATM audit tape or an internal transaction report from the acquirer. The
ATM audit tape or the transaction report must show any terminal financial activity that occurred immediately
before and after the disputed transaction. At a minimum, the audit tape or transaction report must include:
- Primary account number read from track 2 of the magnetic stripe or from the chip (DE 2)
- Transaction type and account accessed (DE 3)
- Transaction amount in local currency (DE 4)
- Transaction trace or system trace audit number (DE 11)
- Transaction date and time (DE 12)
- Terminal ID (DE 41)
- Terminal status (only required in case of partial or no dispense)
- Error report (only required in case of partial or no dispense). The documentation may also show:
- Terminal's response to the last command received from the interchange system
- Retract indicator
- Bill counts for each canister
CNP Airline Transaction
Applies to Reason Codes
- 4837 - No Cardholder Authorization
How to Respond
- Provide at least one of the following documents and, if necessary, accompanied by an explanation thereof:
- Flight ticket or boarding pass showing the passenger's name
- Flight manifest showing the passenger's name
- Additional transactions connected with the disputed flight, such as, upgrades, excess baggage charges, and in-flight purchases
- Passenger identification documentation showing a link to the cardholder
- Credits of frequent flyer miles for the flight, showing connection to the cardholder
- Proof of receipt of the flight ticket at the cardholder's billing address
Counterfeit Merchandise
Applies to Reason Codes
- 4853 - Cardholder Dispute
How to Respond
Your response needs to include documentation to support your claim that the merchandise was not counterfeit.
Credit Not Processed
Applies to Reason Codes
- 4853 - Cardholder Dispute
How to Respond
- Provide any of the following in your response:
- Proof that the deficiency that led to this dispute has been corrected
- A statement that neither a return nor attempted to return merchandise has been made
- A statement and evidence that the cardholder's return does not comply with your written policies
Customer Profile
Applies to Reason Codes
- 4837 - No Cardholder Authorization
How to Respond
- If you require a cardholder to register prior to completing a purchase, you must provide documentation
confirming the cardholder or authorized user is registered to purchase goods with a password and must
provide one or more of the following:
- The cardholder or authorized user completed other undisputed purchases prior to, or after, the alleged fraudulent transaction
- The cardholder or authorized user completed the disputed transaction from a registered device and IP address
- Details of the purchase
- Signed proof of delivery
- Email addresses to support digital download delivery
- The cardholder or authorized user completed the disputed transaction from a registered device and IP address
- The cardholder or authorized user registered the disputed goods or services. For example, registration for purposes of warranty or future software updates
- A fully enabled SecureCode transaction was used to register a PAN for future transaction
DCC Selected by Merchant
Applies to Reason Codes
- 4853 - Cardholder Dispute
How to Respond - Provide all of the following as relevant compelling evidence:
- A copy of the transaction receipt
- Certification confirming that Dynamic Currency Conversion was chosen by the cardholder and not
by the merchant
- A copy of the transaction receipt
- Certification confirming that Dynamic Currency Conversion was chosen by the cardholder and not by the merchant
DCC Unknown/Refused
Applies to Reason Codes
- 4853 - Cardholder Dispute
How to Respond
- Ask your acquirer to provide certification that you are registered to offer Dynamic Currency Conversion and to provide a copy of the transaction receipt showing the your local currency
Digital Goods Download
Applies to Reason Codes
- 4837 - No Cardholder Authorization
How to Respond - In your response, provide:
- The cardholder's written confirmation of registration to receive electronic delivery of goods or services
- The cardholder's written confirmation of registration to receive electronic delivery of goods or services
Digital Goods at or Under $25 USD
Applies to Reason Codes
- 4853 - Cardholder Dispute
- 4855 - Goods or Services Not Provided
How to Respond
- You may respond when you and your acquirer can substantiate that the merchant offered at least the following
minimum purchase controls at the time of the transaction or transactions (in the case of multiple transactions
charged back in a batch):
- The option, enabled as a default setting, for the cardholder to disable all digital goods purchases
- The time period during which a digital goods purchase can be made on the cardholder’s account with the merchant (the “account open” period) must not exceed 15 minutes from the time at which the cardholder enters account authentication credentials
- Allowing the cardholder to confirm or to cancel the clearly displayed total transaction amount of each pending digital goods purchase before completion of the transaction
E-commerce Transaction: Partial Shipment or Balance Due
Applies to Reason Codes
- 4837 - No Cardholder Authorization
How to Respond
- Provide a statement documenting all of the following if, after completing an authenticated ecommerce
transaction, you obtained authorization for a related transaction involving a partial shipment or the payment
of a balance due:
- The original transaction was a digital; secure remote payment (DSRP) transaction or was SecureCode initiated
- Description of the goods or services purchased in the initial transaction
- Date and authorization for approval code for the initial transaction
- The initial transaction was not disputed
European Transaction for Travel Services
Applies to Reason Codes
- 4855 - Goods or Services Not Provided
How to Respond
- Provide documentation and explanation that the services were covered by a bonding authority, insurance or consumer protection scheme. An acquirer statement that such a scheme exists is not sufficient.
Incorrect Transaction Amount
Applies to Reason Codes
- 4834 - Point of Interaction Error
How to Respond
- Provide evidence that either:
- The cardholder was billed the accurate amount represented in the disputed transaction
- The chargeback is invalid because the issuer failed to provide the original ARD in DE 72 (Data Record)
Late Presentment
Applies to Reason Codes
- 4834 - Point of Interaction Error
How to Respond
- Your response to this chargeback can include any of the following:
- Evidence that a credit was issued
- Documentation indicating the transaction was submitted within the applicable timeframe
- Evidence that the chargeback is invalid because the issuer failed to provide the original ARD in DE 72 (Data Record)
Non-Receipt
Applies to Reason Codes
- 4853 - Cardholder Dispute
How to Respond
- Provide evidence that either:
- The cardholder received the goods or services
- The deficiency that led to this dispute has been corrected
Not As Described/Defective
Applies to Reason Codes
- 4853 - Cardholder Dispute
How to Respond
- Provide evidence of any of the following:
- The cardholder received the goods or services which fit the description at the time of the purchase
- The deficiency that led to this dispute has been corrected
- A statement that neither a return nor attempted to return merchandise has been made
Recurring Transaction
Applies to Reason Codes
- 4837 - No Cardholder Authorization
- 4853 - Cardholder Dispute
How to Respond
- For MasterCard reason code 4837, provide all of the following:
- Description of the goods or services being provided the transaction was recurring by providing the
start date of the recurring transaction and, if used, one of the following:
- SecureCode was used to initiate the original transaction
- If the card validation code 2 (CVC 2) was provided in the authorization request/0100 message and the card validation code result (DE 48, subelement 87) had a value of M in the Authorization Response/0110 message
- More than one transaction was processed by providing the date(s) of previous transaction(s)
- Previous transactions were not disputed
- Description of the goods or services being provided the transaction was recurring by providing the
start date of the recurring transaction and, if used, one of the following:
- 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. For example, the merchant bills the cardholder in installments
- The transaction was recurring and the cardholder failed to meet the cancellation terms of the signed contract
- Documentation that services are being provided to and used by the cardholder after the cancellation date are available
- You can document that proper disclosure of entering into the recurring transaction was provided to and accepted by the cardholder
Recurring Transaction - Digital Goods
Applies to Reason Codes
- 4841 - Cancelled Recurring Transaction
How to Respond
- Provide documentation to support that the chargeback is remedied or invalid
Site to Store
Applies to Reason Codes
- 4837 - No Cardholder Authorization
How to Respond
- Provide a receipt, work order, or other document signed by the cardholder stating that the goods or services were received by the cardholder (common terms include "will call" and "in-store pickup")
Timeshare Cancellation
Applies to Reason Codes
- 4853 - Cardholder Dispute
How to Respond
- Provide proof of any of the following:
- The deficiency that led to this dispute has been corrected
- The cardholder did not cancel the timeshare agreement or similar service in accordance with your written policies with which they agreed
Transaction Not Completed
Applies to Reason Codes
- 4853 - Cardholder Dispute
How to Respond - Provide proof that either:
- The deficiency that led to this dispute has been corrected
- The transaction posted correctly to the cardholder's account
- The deficiency that led to this dispute has been corrected
- The transaction posted correctly to the cardholder's account
Unreasonable Amount
Applies to Reason Codes
- 4834 - Point of Interaction Error
How to Respond
- Provide documentation showing that the cardholder agreed to an amount range as reasonable and that the transaction did not exceed this amount range
More reason code information is available on the American Express and Visa chargeback reason codes pages.