3. 4853 – Cardholder Dispute – Digital Goods Purchase of $25 or Less. A service chargeback is filed by a customer, which means that you need to note the card type and dispute reason code so that you can determine which types of information to submit if you dispute the claim. You can learn more about each one by visiting the Mastercard Chargeback Guide. 6, 13. Chargeback Base Codes by Network - 2023 Guide. As part of its move to support card-not-present merchants and airlines, Visa made changes to the compelling evidence requirements for four key reason codes: Reason Code 30: Services Not Provided or Merchandise Not Received. 04/20/13 Visa and MC Retrieval Codes — removed retired codes MC Reason Code 37 — Updated Special Notes. Here are some chargeback reason codes by card type. 7: Defective goods and services: C32: RM: 13. 10. Only an issuer can initiate the chargeback process. Fraud. MASTERCARD Reason Code Description 01 Requested Transaction Data Not Received. They usually have up to 120 days after purchase to dispute a charge, though some card schemes allow up to 365 days. Goods / Services Damaged or Defective. A Product Not Delivered chargeback means the customer believes they did not receive the goods or services they purchased. Everything You Need to Know (2023) Shopify POS has everything you need to sell in person, backed by everything you need to sell online. Tips for an effective chargeback return policy. Attempted to process transactions fraudulently. up under any number of different chargeback . Many subscription payment disputes are made under code 13. If one member believed the other violated a Visa rule when handling a chargeback, they filed a pre-compliance chargeback for compensation. 2. 1 – Merchandise/Services Not Received; Mastercard Reason Code 4853 – Goods or Services Not as Described or Defective;. Merchants who receive a chargeback for a transaction placed with a Discover card may encounter reason code RN2, which indicates a disputed transaction that the cardholder does not believe they should be responsible for paying. Discover has just one additional category to classify one reason code: Dispute Compliance. Also, just like American Express, Discover functions as both a card network and an. Blog and Articles; Success Stories;. Solutions. 2 chargeback if you override a declined, referral, or pickup authorization message, but process the transaction anyway. Reason Card Type Reason Code Description Merchant Action Code This chargeback occurs because of a dispute on an Airline sale involving allegedly fraudulent card transactions. Payment Capture. Chargeback reason codes 71 and 4808 are caused when merchants ignore a declined authorization response from the issuer and attempt one of the following actions: Forced posting. Poor order shipping: Not shipping goods or delivering services as promised, shipping to the wrong address, or not making the goods available. Did not issue a credit, because it does not accept returns, but did not properly disclose its return policy. Discover. Consumer Disputes. The date on the credit. 1 chargeback: 1. All ACH return reason codes consist of the letter “R” followed by two. Chargeback Base Codes by Network - 2023 Guide. There are four primary phases to a Visa dispute: After Visa adopted VCR processes, most card networks altered their dispute cycles to be more in line with that used by Visa. In short, chargebacks are costly. A chargeback happens when a customer requests for a transaction to be. Sometimes, customers get wrongly debited due to manual data entry errors by the merchant’s team. The network plans to reduce response times even further to just 20 days in the near future. Discover chargeback Reason code RN/RN2 is applied when issuing bank gets a notice from the card owner that merchandise was returned, but merchant hasn’t refunded, and. Chargeback Reason Codes by Network - 2023 Guide. 0: Changed report name from Downloadable Dispute Report to Case Report. Get your complete guide to the new Visa reason codes, including all the detailed information, chargeback time limits, and other important information you need. Date Option. An issuer can initiate a first chargeback when the circumstances of the transaction meet the requirement of a chargeback reason code described in the Chargeback Guide. 0 is simply a better protocol than 1. 3DS2 offers more features, including PSD2 compliance, fewer false declines, and better security. All chargebacks start with a customer making a purchase in person, in an app, or online. Each card. You can also be put on a monitoring list and have your account canceled with. Below are some examples of more common reason codes. Each card network maintains reason codes to cover all the disputes that qualify for. A reason code helps explain why a transaction was disputed. Since Chargebacks are time sensitive, card networks provide time limits on each reason code to help merchants manage time and data to submit their claims in a timely manner. Spot these types of chargebacks using the below reason codes. 60 due to merchandise, fees, overhead, and other sources of loss. When a customer decides to dispute a charge made to their debit or credit card, it is referred to as a chargeback. . Chargeback Reason Code List - U. See the list of reason codes below: Card Network. chargeback_settlement: The gross shows negative if the chargeback was resolved in the buyer's favor, and the funds return to the buyer. The client will send this dispute to Paymentology’s Global support team via email – support@paymentology. When you receive a chargeback request, respond promptly with any relevant information or evidence that supports your case. However, they don’t address the reason why that chargeback was issued in the first place. 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. Chargeback representment is the process through which merchants can submit evidence to prove that a chargeback is illegitimate. UA02 – Fraud:. Provide exemplary customer service. Reason Code 11. Reason codes are important to help merchants address recurring. Each chargeback reason has its own, individual prevention techniques. Number two: Product Not Received chargebacks. It should ultimately help prevent fraud and unwarranted chargebacks, specifically applying to disputes marked with a Visa reason code 10. If the CID doesn’t match, merchants generally prompt the Card Member to re-enter it. First Chargeback failed: Reason Code 4837 not allowed under “issuer auths, they own” chargeback rules: 100001: 400: INVALID_REQUEST: First Chargeback failed: Reason Code 4863 not allowed for authorized CAT transactions: 100001: 400: INVALID_REQUEST: First Chargeback failed: Reason Code 4863 not allowed for. Chargeback Reason Codes > Chip Liability Shift > Issuer Chargeback > Chip Liability Shift Program for Domestic and Intraregional Transactions Chapter 5—Compliance Case Filing Incorporated the changes announced in “AN 1677—Revised Standards—QuestionableChargeback reason American Express reason code Discover reason code Mastercard reason code Visa reason code; Cancelled subscription: C28: NF: 4841: 13. There are a variety of issues that can serve as the root causes of a chargeback, ranging from fraud to improper card processing to dissatisfaction with the quality of the goods or services provided. Improve the customer experience by resolving issues quickly. Try Shopify free for 3 days, no credit card required. Discover chargeback Reason code RN/RN2 is applied when issuing bank gets a notice from the card owner that merchandise was returned, but merchant hasn’t refunded, and credit hasn’t appeared on the bank statement. Global chargeback volume reached 615 million cases last year. The chargeback will remain and your account will not be credited. 9808 info@chargebacks911. If the customer’s story matches. Shopify has four status categories for chargebacks and inquiries: Open: No response has been sent yet and evidence can still be added. Collect Compelling Evidence. Category. American Express chargeback reason code C42. Chargeback prevention strategies vary based on the reason for the dispute. 3 is an updated version of legacy Visa reason code 72, which was phased out under the Visa Claims Resolution initiative. The tickets were held at the box office, and no signature, swipe or imprint of the card was obtained when the tickets were released. Everything You Need to Know (2023) Shopify POS has everything you need to sell in person, backed by everything you need to sell online. 3 No Authorization. After the introduction of Visa Claims Resolution, Visa set the goal of resolving all disputes in less than 31 days. for chargeback reason code 4863 (Cardholder Does Not Recognize). Despite all the rules and guidelines, the outcomes of the chargeback process can be, at times, subjective, and can vary based on the scenario, merchant payment. The charge you submitted did not receive a valid authorization approval code for the amount of the charge. When one cardholder initiates a dispute with their issuing bank, a. This scenario applies when the arbitration was raised by either the. May 2011: 5. Here is an overview of how the general chargeback process works with most major processors (we’ll get into how Square does it down below) Step 1: A purchase occurs. The cardholder may be the customer or the someone who lent their card to a friend or relative. Chargeback reason codes will usually provide specific information about what kind of evidence is needed to get the chargeback reversed. For example, the dispute reason “Cardholder Does Not Recognize” is denoted under the Discover reason codes system as “AA. 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. Response to retrieval request: Based on the information provided, the acquiring and issuing banks resolve the dispute, if possible. Thus, the easiest way to prevent chargeback reason code 75 from being. Chargeback reason code 4837: No Cardholder Authorization applies in situations where customers claim a card transaction was unauthorized, but do not feel the issue can be resolved through the merchant. REQUEST A DEMO. 1, 55, C08, RG: The notifications you receive will indicate the. RN2: Merchandise/Services Not Received : 13. What follows is a quick reference guide for all the current reason codes for each of the four major credit card networks: Visa, Mastercard, American Express, and Discover. Written to Chargeback Gurus. This definitive guide include the chargeback base codes from each away and four more card networks. EMV Liability Shift Non-Counterfeit Fraud. What is a chargeback time limit? The chargeback response. Mastercard also considers some chargeback reason codes to be indisputable. A reason code is how banks categorize the reason for a chargeback. 3. 10. Chargeback reason codes. However, the return request is invalid, as the customer does not have a legitimate right to a refund for one reason or another. Chargeback Reason Codes Reason code are the first key to understanding the root causes . For example, most cardholders can only file a chargeback within 120 calendar days of the initial transaction. Terms and conditions. M49 Vehicle Rental – Theft or Loss of Use. When you get a chargeback, it means that the funds from a completed transaction are being taken out of your merchant account and returned to the cardholder. Category. Some 90% of merchants said “cardholder abuse of the chargeback process” was a leading concern for their business. Some crucial examples of specific documents used as compelling evidence are as follows: Delivery confirmation of the order; Conversations with the customer; Verification codes (AVS, Authorization, Card Security Code, 3D Secure 2. Chargeback Reason Codes Fraud – Card-Not-Present (CNP) Network Reason Code Bank Initiation Timeframe Accel 81 120 calendar days from transaction processing date American Express FR2, F14, F24, F29 120 calendar days from transaction processing date Discover 4752 AA, 7030 UA02 Within 30 calendar days from the close date of the TRRA chargeback happens when a customer asks their card-issuing bank to reverse a transaction. Most reason codes apply to any merchant, regardless of what’s being sold. FAQ: What is Chargeback Representment? TIPS. 2 for Visa and Reason Code 4850 for Mastercard). Chargeback Reason Codes; Payment Industry Glossary; Frequently Asked Questions; News; Book a Demo. [noun]/* kə • stə • mər • di • spyo͞ot/. This authoritative guide includes the chargeback reason key from each from the four major card netz. Since the chargeback process can be costly and time consuming, merchants should consider it an important priority. Chargeback Reason Codes 62 and 4862 are issued when a merchant fails to compare the first four digits of the embossed account number on the card with the pre-printed digits below the embossed number for a card-present transaction or receives an authorization without the transmission of the entire magnetic stripe. There are two types of invalid chargebacks. Chargeback Reason Code. 4853 – Cardholder Dispute – Credit Posted as a Purchase. Every card brand has a unique set of chargeback reason codes banks must choose from. Each chargeback is assigned a reason code that explains the justification for the chargeback. When a cardholder makes a purchase, but regrets it later, they may file a chargeback to recoup their money. 4846. 'luhfw fruuhvsrqghqfh wr wkh dssursuldwh hpdlo edvhg xsrq wkh uhdvrq frgh ri wkh lvvxh olvwhg ehorz <rx pd frpelqh lvvxhv iru gliihuhqw uhdvrq frghv lq wkh vdph fruuhvsrqghqfh rqo li wkh hpdlo ghvwlqdwlrq lv wkh vdph <rx pd. Other Fraud—Card Present Environment. Visa chargeback reason codes. com Europe. The issuing bank will evaluate the evidence provided and, if they find it. Chargeback management describes all of the ways in which merchants can deal with fraud and disputes that result in payment reversals. The third digit indicates the specific reason within that category. Understanding these codes is essential because they'll guide your response strategy. Blog and Articles; Success Stories; Chargeback Reason Codes; WASTEBASKET Look-up; eGuides both Reviews;. If the order was genuinely not as described, then the cardholder has a case. The goal is to reduce ‘friendly’ fraud chargebacks, helping sellers protect more of their hard-earned revenue. Write Off Reason Code . To win a chargeback dispute as a merchant, you must have evidence that is compelling enough to persuade the cardholder’s bank to reevaluate the case. 1) If you approve of the refund just let us know and we can accept the chargeback on your behalf. e above 0. Technical. You’ll see that all chargebacks ultimately stem from one of three causes: merchant error, criminal fraud, or friendly fraud. 4808 – Authorization-Related Chargeback – Multiple Authorization Requests. During this process, the representative of the institution examines the reasons’ list. Processing Errors involve chargeback and disputes revolving around processing issues, late presentment, credit processed as charge, invalid card numbers, no show errors, incorrect charge amounts. To quantify the total cost of fraud, we break down the many losses that accrue along the purchase journey of a fraudulent $100 sale. Discover. RN2: Credit Not Received: NC: Not Classified: Processing: 4834: Point of Interaction Error: 4834: Transaction Amount Differs: 4834: Late Presentment: 4834: Point-of-Interaction Currency. for chargeback reason code 4863 (Cardholder Does Not Recognize). FR4 Immediate Chargeback Program. Specify the default reason code that you want the system to assign when you enter a chargeback amount. 4. Reason code 4808 – Authorization-Related Disputes; Reason code 4870 – Chip Liability Shift; Reason code 4871 – Chip & PIN Liability Shift; Reason code 4834 – ATM Dispute; Chargebacks filed with these reason codes are supported by a great deal. There are over 80 unique return codes, and each one represents a different type of return. 1 Different workflows Disputes will be routed in two different workflows, called Allocation and Collaboration. These can be classified into three types of chargebacks. Reason Code 53: Not as Described or Defective Merchandise. Reason Codes Category 4: Processing Errors. Discover uses the four main categories to organize its reason codes: Authorization, Service (Discover’s name for Card Member Disputes), Fraud, and Processing Errors. Chargeback reason codes. Discover chargeback reason codes are divided into three categories: service disputes, processing errors, and fraud. Updated: Valid values updated. CHARGEBACK REASON CODES ONE reason code is an alphanumeric code selected from a fixed list by the issuing bank to indicate the reason of cardholder gave for requesting a chargeback. Overall returns (all codes): 15%. The ECI value tells you what to do next in a 3DS transaction — proceed, reject the purchase, or try again. 11. Note that these limits apply only to the issuer and/or cardholder; acquiring banks and merchants have a set time limit of 45 days to respond to each phase. Different card networks have different reason code systems. 4853 – Cardholder Dispute – Credit Not Processed. Step 2: Customer initiates the chargeback – After the customer reviews their credit card statement at the. What is the chargeback representment process? When faced with a chargeback representment, you should take these steps. Your request for a chargeback reversal has been reviewed. 2022 Visa Chargeback. The reason_code will be one of the following values: chargeback_reimbursement: The gross shows positive if the chargeback was resolved in the seller's favor, and the seller gets a refund. A customer will go straight through their bank to initiate a chargeback. 3 Fraud – Card-Present Environment. Chargeback Reason Codes by Lan - 2023 Guide. Discover chargeback reason code 7030. This reason code is accompanied by a fraudulent reason code (UA). Visa chargeback reason code 11. FR4 Immediate Chargeback Program. Timeframe: Under card network rules, a cardholder has up to 120 calendar days from the settlement date to initiate a chargeback (depending on the chargeback reason code). If the retrieval request is returned to the issuer by the acquirer after the 120-day deadline, the issuer gets an extra 30 days to file a chargeback. Check the chargeback reason code. There is a USD 25 limit for the First Chargeback (Reason Code 22). This code is used when a cardholder claims that a fraudulent transaction occurred in a face-to-face environment, such as a retail store. ️ Provide a better customer experience. Excessive Chargebacks: The merchant exceeded established chargeback thresholds. Visa Chargeback Reason Codes are divided into six general groups, with 22 subcategories (codes): 1. Merchandise/Services Not Received. We also included the reason code descriptions and an indication of when the allowable time frame begins. Partnerships; Integrations; About. This reason code is accompanied by a fraudulent reason code (UA). Chargeback reason codes identify the general reason behind a chargeback. Other Ineligible Transactions Under Reason Code 62, Condition 2 . Step 1: Identify the Source. By entering your email, you agree to receive marketing emails from Shopify. 2 EMV Liability Shift. If the conflict can be settled, the acquiring and issuing banks do so. Vantage HouseAccording to the 2022 Chargeback Field Report, global costs associated with chargebacks will have skyrocketed in recent years. 1. • Section 4: Chargeback Reason Codes—Contains detailed information on the reason codes for the most common types of chargebacks that merchants receive. In simple terms, an Electronic Commerce Indicator (ECI) is basically a 3-D Secure response code. reason_description: string. Step 1: The cardholder disputes a charge. If you want a more thorough explanation of a given reason code, you can find it in our reason code lookup tool. Values are: Blank: Use the receipt G/L date. Issued the credit but did not deposit it with its processing bank in time for it to appear on the cardholder’s next statement. The reason code indicates the justification the cardholder gave for the chargeback. 10. A reason code or a chargeback reason code is a string of symbols (numbers and letters). 1These chargebacks occur to resolve chargeback-related disputes between network members. 26% - the number of chargebacks that result from undelivered orders. The reason_description field lists the chargeback reason. Solutions. But to win, you will need to understand exactly what is going on – and the "reason" doesn't necessarily match the root cause. Depending on the reason code, chargeback disputes may have different time limits. The major card networks (Visa, Mastercard, Discover, and American Express) established these codes to clearly identify the reason a chargeback was requested. manual processing by uploading chargeback documents instantly. The notifications you receive. Reason codes vary by card brand. chargeback: The buyer filed a chargeback with the credit card issuer. The new reason codes follow a format of two digits, a period, then a third digit. On the other hand, PayPal—which can serve as a credit card processor for merchants—allows buyers up to 180 days to file a claim. 11. 4. American Express – Consumer Disputes: C02 – Credit Not Processed C04 – Goods or. A chargeback can be initiated up to 120 days—but not more than 540 days—of one of the following events: The date the transaction was processed. Visa chargeback codes are broken up into four categories: Fraudulent activity; Authorization issues; Processing errors; Customer disputes; Fraudulent activity A chargeback cannot be filed for at least 10 days after the date of a reservation, cancellation, or return. 16, 2021. The actual underlying cause of this chargeback is typically either friendly fraud or merchant error. F01. This may include: Transaction receipts; Merchant credentials; Customer authorizationThe process for filing a chargeback the grounds for doing so, and the chargeback reason codes used, can change frequently. Specifically, these updates only pertain to transactions that are charged back after Oct. Chargeback Reason Codes; Payment Industry Glossary;. The date of the reservation or event. Chargeback Reason Codes by Network - 2023 Guide. Even if the. With the right compelling evidence,. Chargeback reason code 11. Jan 2020_Chargeback Reason Code Encyclopedia - Free download as PDF File (. Chargeback Reason Codes 85 and 4860 may be caused because the merchant: Did not issue a credit. Each chargeback has a chargeback reason code assigned to it, which is a two-digit number that corresponds to the reason the customer is disputing the charge. Visa has recently announced changes to its chargeback rules. Reason Code 04. Mastercard Chargeback Reason Code 71: Disputed Amount. M10 Vehicle Rental – Capital Damages. Depending on the specific situation, Mastercard will match authorization response to one of the following merchant advice codes: Mastercard Response Code. ” This code indicates the merchant waited too long to finish processing a transaction, and the account was no longer in good standing when the transaction was completed. Updated August 23, 2023. Change of Chargeback Reason to an Authorization-related Chargeback Replace ‘Change of Reason within the Cardholder Dispute Chargeback’ with this section. When a cardholder makes a purchase, but regrets it later, they may file a chargeback to recoup their money. Chargeback Reason Codes Retrieval Reason Codes 78 Int'l only Service Violation Code Discover 4541 AP 4586 AW 4755 RG 4553 RM 8002 RN2 Altered Amount Non-Receipt of Goods or Services0Cardholder Disputes Quality of Goods or Services MasterCard;45 Days from the central processing date of the transaction120 Days from the central processing date of. Another downside is that chargebacks on annual subscriptions. The issuing bank initiates the first chargeback on behalf of the cardholder by sending a chargeback notification to Adyen stating the dispute reason. 65% with at least 75 total disputes. Issuers must not initiate a chargeback for magnetic-stripe (POS Entry Mode value of 90 or 02) transactions on non-chip enabled cards. Any chargeback that is received without a reason code will be assigned a default code of 53. Each of the major card brands, including Visa, Mastercard, and others, have their own system of reason codes. They also can’t prevent the lost sales revenue and merchandise resulting from a consumer dispute. If the cardholder is using the chargeback process incorrectly — a practice commonly referred to as “friendly” fraud — the information provided to the bank. DD: Unearned (disallowed) discount amount. There are several useful benefits of chargeback prevention alerts: Reduce chargeback rates by about 20-30% to help prevent chargeback threshold breaches. com. In this instance, the cardholder claims a misrepresentation of the order they received, such as a defect, damage, counterfeit, or incomplete merchandise. A chargeback reason code is a 2-to-4-digit alphanumeric code provided by the issuing bank involved in a chargeback, which is meant to identify the reason for the dispute. What causes these chargebacks? Chargeback Reason Codes 85 and 4860 may be caused because the merchant: Did not issue a credit. The ECI value tells you what to do next in a 3DS transaction — proceed, reject the purchase, or try again. Code 4807: Fraudulent Card-Present Transaction. Effective for Transactions completed on or after 15 April 2016, A Transaction for which Authorization was obtained after a Decline Response was received for the same purchase. ”. The following are some examples: Visa Reason Code 13. Chargeback reason codes vary by the credit card company. Chargeback reason code. Chargeback reason code 75 is issued when a card issuer receives a complaint from a cardholder stating that the name of the merchant that. FAQ: What is Chargeback Representment? TIPS. The reason_code field lists the reason code the issuing bank has assigned to the chargeback. Every chargeback has a reason. Code 81. By entering your email, you agree to receive marketing emails from Shopify. 18167 US Highway 19 N Clearwater, FL 33764 877. The date the services were cancelled. High-Risk (Excessive): Reaching a chargeback ratio of. Additionally, one clearing transaction. In the case of an arbitration chargeback, though, the issuer must file within 45 calendar days of the second presentment settlement date. Fraud is the number one chargeback reason, but it is important to note that there are two types of fraud: After the issuer initiated the dispute, the merchant issued a credit for the whole transaction amount in the merchant's local currency. This can provide important information to fight the dispute. 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. Here finalizing user includes the chargeback reason codes from either of the foursome major card networks. #9. The process is often troublesome; most times, reason codes do not show the actual basis why customer is disputing a transaction. Follow the Rules. See our Automated Clearing House (ACH) support article if you are looking for ACH Return Codes. codes should be used, instead. 101. The refund process gives you a chance to fix the issue and make the customer happy. Identify issues within 24 hours of a cardholder dispute, rather than waiting. FAQ: What remains Chargeback Representment? TIPS. Typical reason codes are: BD: Bad debt DC: Damaged goodsVisa recently shortened chargeback time limits from 45 days to 30. Also, remember that the time frame for your response includes any processing required by the acquirer. However, Visa is the largest card brand in both the United States and the world. A few reason codes allow for shorter timeframes. These chargebacks occur to resolve chargeback-related disputes between network members. How you respond is determined by the chargeback reason code: Embed This Graphic. The newer system is designed to. A payment capture is the legally binding point at which transactional funds move from a cardholder's account into a merchant’s account. DD: Unearned (disallowed) discount amount. Non-receipt of information. This definitive guide comprise which chargeback reason encrypted with apiece of the four greater bill networks. Typical chargeback reason codes are: DA: Disputed amounts. Time Frames by Chargeback Type and Reason Code. While there are reason codes related to processing errors that cause disputes, the majority of reason codes result from a cardholder disputing a charge. . Get your complete guide. See moreTime Frames by Chargeback Type and Reason Code The Time Frame charts in this guide indicate the reason codes, allowable time frames for chargeback processing. . Overview. Card networks send these codes to merchants to indicate why a chargeback has been filed. Specify the invoice date and net due date that you want the system to assign to chargebacks. Excessive Chargebacks: The merchant exceeded established chargeback thresholds. pdf - Free download as PDF File (. A08 Authorization Approval Expired. 4 Fraud – Card-Absent Environment. The network plans to reduce response times even further to just 20 days in the near future. Depending on the reason code, supporting documentation may include: Copies of the order confirmation, invoice, or receipt; Proof of. The notifications can help merchants stop chargebacks before they count against them. 2 Declined Authorization. This information should be based on the Visa chargeback reason codes assigned to the case. If you receive a chargeback under Reason Code 85, you will need to provide evidence that the credit was processed in order to dispute the chargeback. France saw a drop of roughly 50% during the same period. With the implementation of Visa Claims Resolution, reason code 98 eventually became obsolete. April 2018_Chargeback Reason Code Encyclopedia. A risk department can accurately analyze what the issue is with their merchant by seeing the individual reason code,” Cirone explained. 105. Visa organizes their chargeback codes by categories. A chargeback reason code is a two- or four-digit alphanumeric code issuing banks assign to disputes.