Chargeback Guide

Find out what the numbers mean

Credit Card ChargebackA chargeback reason code will guide you in the process of resolving disputes and clue you in as to whether you have any hope of resolving your dispute in a manner that will benefit your company. Some disputes are harder to fight than others, so depending on the circumstances you may want to cut your losses, or fight tooth and nail..

Code Categories

Reason codes for chargebacks are different depending on the credit card association, but still fall into some generally similar categories. The most serious is fraud, where the purchaser either claims that they did not use the card or did not authorize it. Note that "friendly fraud" arises from a dishonest customer or one who may have an axe to grind. Most claims, however, arise out of counterfeit cards and stolen card numbers being used at retailers and in an online card-not-present (CNP) environment. Another set of reasons falls around the quality of merchandise or services received. In auto repair this could arise from a dispute over the quality of services rendered and/or parts. Quality claims may be hard to dispute since they are subjective. Clerical reasons for chargebacks typically involve overpayments, duplicate payments, or keying errors. This happens most often in restaurants where a tip is added and the total comes out as incorrect, or on hand-keyed transactions where the dollar amounts are transposed and nobody notices. Less frequently, there are technical reasons for retrievals or disputes, such as NSF, processing errors, or expirations. Given that most authorizations are instantaneous, this is not as common as it was in the past.

Visa and MasterCard Codes Defined

Note that Visa and MasterCard have numeric codes, versus alphabetical codes for Discover which also have numbers associated with them

MasterCard Chargeback Codes:

reason code 63: cardholder does not recognize: potential fraud

reason code 62: counterfeit transaction magnetic stripe pos fraud

reason code 60: credit not processed

reason code 59: services not rendered

reason code 55: non-receipt of merchandise

reason code 54: cardholder dispute-not elsewhere (u.s. only)

reason code 53: cardholder dispute defective/not as described

reason code 50: credit posted as a debit

reason code 49: questionable merchant activity

reason code 47: exceeds floor limit, not authorized, and fraud transactions

reason code 42: late presentment

reason code 41: canceled recurring transaction

reason code 40: fraudulent processing of transactions

reason code 37: fraudulent mail/phone order transaction

reason code 35: card not valid or expired

reason code 34: duplicate processing

reason code 31: transaction amount differs

reason code 12: account number not on file

reason code 08: requested/required authorization not obtained

reason code 07: warning bulletin file

reason code 02: requested item illegible

reason code 01: requested transaction data not received

Visa Chargeback Codes

reason code 86: paid by other means

reason code 85: credit not processed

reason code 83: fraudulent transaction: card absent environment

reason code 82: duplicate processing

reason code 81: fraudulent transaction: card present environment

reason code 80: incorrect transaction amount or account number

reason code 79: requested transaction information not received

reason code 77: non matching account number

reason code 76: incorrect transaction code

reason code 75: cardholder does not recognize the transaction

reason code 74: late presentment

reason code 73: expired card

reason code 72: no authorization / transaction exceeds floor limit

reason code 71: authorization request declined / declined authorization

reason code 62: counterfeit transaction

reason code 60: requested copy illegible

reason code 57: fraudulent multiple transactions

reason code 53: not as described/defective merchandise

reason code 41: cancelled recurring transaction

reason code 30: services not provided or merchandise not received

Discover Reason Codes

reason code ua fraud dispute-4540

reason code tf violation of operating regulations-4757

reason code sv stored value dispute-4756

reason code rn2 credit not received-4555

reason code rn1 additional credit requested-4555

reason code rm quality of goods or services dispute-4553

reason code rg non-receipts of goods or services-4755

reason code nc not classified-4554

reason code na no authorization-4754

reason code lp late presentation-4542

reason code is missing signature-4584

reason code in invalid card number-4753

reason code ic illegible transaction documentation-4502

reason code ex expired card-4535

reason code dp duplicate processing-4534

reason code da declined authorization-4752

reason code cr cancelled reservation-4594

reason code cd credit posted as card sale-4550

reason code ca cash advance dispute

reason code aw altered amount dispute-4586

reason code ap automatic payment dispute-4541

reason code al airline transaction dispute-4750