The payment processing industry is constantly evolving and changing. New technologies and policies can quickly make previous practices outdated.
As of April 2013, Visa has discontinued the use of Visa chargeback reason code 60. If the retrieval request fulfillment was illegible, the issuer will use a specific reason code that adequately describes the cardholder’s original dispute.
While Visa no longer uses reason code 60, this article is still relevant to merchants who receive retrieval requests. Retrieval requests can be issued for a number of reasons. Examples include when the cardholder does not remember the original transaction and if the sales receipt has been subpoenaed by law.
Therefore, merchants should still note the importance of maintaining adequate records and monitoring payment processing best practices.
Everything You Need to Know about Visa’s Chargeback Reason Code 60
After a customer files a chargeback on a transaction, his or her card issuer will classify the chargeback using a particular reason code. Every card issuer has their own code numbers, but the reasons are similar.
This article focuses specifically on Visa's chargeback reason code 60.
What Is Reason Code 60?
Visa's chargeback reason code 60 is defined as "request copy invalid or illegible." It is assigned when the customer's issuing bank requests a receipt from the merchant and the receipt provided is illegible, does not contain the required information, or is from a different transaction.
Receipts can be deemed illegible if:
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- the ink is too light.
- the paper is streaked or discolored.
- the carbonless or carbon-backed paper was mishandled, resulting in black splotches covering the paper.
- the receipt was copied at a smaller size so that the print is blurred.
- the receipt on file has been otherwise damaged (crumpled, wet, burned, food stains, et cetera) and is no longer legible.
Do's and Don'ts Of Disputing Reason Code 60
Depending on the situation, it may or may not be possible to dispute Visa's chargeback reason code 60. Fight the chargeback if an adequate (i.e. legible and complete) copy of the receipt for the transaction in question is available.
Otherwise, accept the chargeback if:
- The sales receipt on file is illegible and you cannot produce a legible copy.
- The transaction is fraudulent, regardless of whether or not you can produce an acceptable receipt. Card issuers will not accept a fraudulent charge and will charge you penalties for processing a fraudulent transaction.
- The information you have on file is incomplete and does not fulfill the acquiring bank's request.
How To Prevent Reason Code 60 Chargebacks
As seen above, sometimes it is not possible to dispute chargeback reason code 60. For this reason, it is important to take adequate steps to document transactions and protect that documentation from harm. Heed the following advice to increase your success with disputing reason code 60.
- Do not adjust the size of receipts when making copies and only print on white paper. Receipts copied at a smaller size will make font harder to read.
- Maintain your receipt printer so that you do not run low on ink or paper. When the ink starts to look faded, change the cartridge. When the first colored streaks appear on your paper roll, change the roll.
- Make sure that employees know how to make an imprint of a credit card during key-entered transactions. Have the customer sign and date the card imprint. Make sure the signature matches the one on the back of the card. Employees should note the time, their department number, and amount charged and store this imprint with other signed receipts.
- For carbon copy receipts, keep the top white copy for yourself and give the bottom colored copy to the customer. Handle your copy carefully as applying pressure to the paper will turn it black.
- Store receipts in an organized file, flat and away from the sun. Crumpled, sun-damaged paper is much more likely to be rejected with reason code 60. Also, you only have 7 days to produce a receipt to dispute a chargeback for domestic transactions, so being organized from the get-go will greatly reduce the stress of fighting a chargeback.
- Comply with the customer's issuing bank's requests. If the bank needs a signed receipt for fraud-related retrieval requests, make sure that you supply receipt with a signature. Remember that reason code 60 can be applied when merchants supply the wrong information.
- Special order chargebacks can be difficult to fight, so keep meticulous records and receipts for any special orders you fill.
- After a Code 10 authorization request, document the incident. Keep this documentation and the receipt in question on file and be prepared to use it in the near future.
As you can see, there are many steps you can take to prevent accepting a chargeback due to Visa's reason code 60. Be vigilant for fraud and practice good accounting habits with all of your business's receipts; your chances of successfully disputing chargeback reason code 60 increase exponentially.
For more information about managing chargeback reason code 60—or any other types of chargebacks—fill out the form to the right. We’ll personally review your situation and help you identify additional areas of improvement.