Chargeback Reason Codes Associated with Friendly Fraud
Chargeback fraud is commonly referred to as friendly fraud because the assault comes from a traditionally non-hostile enemy–the merchant’s own customers. A customer contacts the bank to inaccurately report a genuine charge as fraud.
Most merchants view this as a form of shoplifting. While there are instances where the fraud might have been accidentally committed, consumers often set out with the intention of getting something for free.
The following reason codes are commonly associated with friendly fraud.
|Visa||MasterCard||Title and Explanation||Causes|
|30||4855||Services not provided or merchandise not received |
Merchandise or services were not received or not received by the agreed upon delivery date.
|41||4841/4850||Cancelled recurring transaction/Installment billing dispute |
A recurring transaction was processed after the cardholder requested termination, the account had been closed, the charge exceeded the predetermined amount, or the merchant failed to notify the cardholder of the upcoming charge.
|53||4853||Not as described or defective merchandise |
The merchandise was: damaged or defective upon its arrival, not the same as shown (online) or described (telephone), unsuitable for the intended purpose.
|75||4863||Transaction not recognized |
The cardholder doesn’t recognize or remember the transaction.
|83||4837||Fraud (card-not-present)/No cardholder authorization |
The cardholder did not authorize the transaction.