Similar to American Express, Mastercard, and Visa, Discover has its own group of chargeback reason codes. Whereas the Discover chargeback programs are similar to the other three card networks, Discover’s reason codes are unique.
Merchants need to understand what makes Discover chargebacks so different from other card network transactional disputes.
While a significant portion of chargebacks are filed illegitimately by friendly fraudsters, the blame for transaction disputes doesn’t always lie elsewhere. There are several chargebacks that result from merchant error,
Chargebacks are disputes filed by cardholders or issuing banks when there is a discrepancy with a credit card transaction. Each chargeback is assigned a reason code,
Chargeback terminology is often confusing, especially when the nomenclature differs from one network to another. Copy requests and retrieval requests are two such examples.
Like MasterCard and Visa, American Express has its own set of chargeback reason codes. While the American Express chargeback programs are similar to those of the other card networks,
Each chargeback is accompanied by a reason code, assigned by the issuer, which explains the supposed motivation for the dispute. Card networks have their own unique list of reason codes,
Mistakes and misunderstandings happen all the time--in all areas of our lives--and there are usually consequences. Business is no exception: When it comes to credit card payments,
Unfortunately for merchants, there is a lot of confusing terminology, regulations, and procedures involved in the act of processing chargebacks. In theory, chargeback reason codes provide a cut-and-dried explanation as to why the cardholder disputed the transaction.
**NOTE: As of April 13, 2018, Visa has officially retired chargeback reason code 75. The post below contains legacy information pertaining to the formerly-common Visa chargeback reason code 75.
Unfortunately, many chargebacks are caused by merchant error. Visa chargeback reason code 71 is the perfect example (Visa chargeback reason code 74 is another). Criminals and friendly fraudsters don’t cause these profit losses;