Depending on the specific situation, Mastercard will match authorization response to one of the following merchant advice codes: Mastercard Response Code. Availability Date: October 24th, 2021. Try Shopify free for 3 days, no credit card required. 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. 4853 – Cardholder Dispute – Goods or Services Not Provided. Chargeback reason code. Request for Information. Chargeback prevention alerts require you to monitor and respond to notifications within a short time frame, usually 24 to 72 hours. VCR tables (Figures 1 and 2) map the old Reason Code to its new Reason Code. Specifically, these updates only pertain to transactions that are charged back after Oct. The chargeback can be for the total transaction amount or a lesser amount. Shopify Payments Chargeback Reason Code #5: Product Not Delivered. 4846. Reason code 98 was a code used for pre-compliance chargebacks before the implementation of the Visa Dispute Resolution system. Chargebacks from all three categories can show . Most commonly the payer is a consumer. In the UK, the fee typically ranges from £15-25 but can be as high as £150. From there, the merchant can look up the code to figure out what the dispute is about. What is the chargeback reason code? The reason code is an alphanumeric 2 to 4-digit code provided by the issuing bank that identifies the reason for the dispute. 4853 – Cardholder Dispute – Credit Not Processed. American Express chargeback reason code R03 falls under the “Inquiry/Miscellaneous” category. I have encountered each of these chargeback reasons at my previous job, where I helped resolve many disputes by identifying which reason code applied to each case. September 2011: 5. If your chargeback ratio is high [i. Collaboration Processing Errors 1210. Each chargeback reason code is two, three, or four digits and includes a short description detailing the chargeback. This is a code taken from the card scheme’s published list, which identifies why the issuer filed the dispute: Visa Chargeback Reason Codes. 0. Some 90% of merchants said “cardholder abuse of the chargeback process” was a leading concern for their business. 3: Goods or services were not received: C08: RG: 4855: 13. Updated the following columns - card type, response due date. Codes are not often shared between issuers which means it can be difficult to remember the details of each. Q. The chargeback reason code is important in determining the evidence you need to provide to successfully win the chargeback dispute. The most comprehensive guide to chargeback reason codes. Specify the invoice date and net due date to assign to chargebacks. A well-structured rebuttal letter should address the chargeback reason code, clearly explaining why the cardholder's dispute is not legitimate and why the funds should be returned to you. The cardholder may be the customer or the someone who lent their card to a friend or relative. Chargeback Reason Codes Reason code are the first key to understanding the root causes . When a customer decides to dispute a charge made to their debit or credit card, it is referred to as a chargeback. Attachment A: Copy of the customer's transaction on xx/xx/xxxx using a credit card ending in XXXX. MasterCard chargeback reason code 4540. The ECI value tells you what to do next in a 3DS transaction — proceed, reject the purchase, or try again. Analyze your chargeback data. All ACH return reason codes consist of the letter “R” followed by two. Reasons a customer may initiate a chargeback include: Ordering a product and not receiving it. [noun]/* chahrj • bak • rə • pôrt/. Under the legacy Visa Chargeback system, there are 22 chargeback reason codes (And remember, this is just for Visa. e above 0. Friendly fraud. Reason codes vary by card brand. If a dispute is filed with Discover and a ticket retrieval request is sent, the merchant has just five calendar days to respond with. American Express is incentivized to keep their customers happy. Friendly fraud is challenging for merchants because it’s tough to diagnose. The Complete Chargeback Reason Codes List. In other words: if you want to prevent forking over more revenue in the end due to chargeback fees, a simple, easy refund policy is the right way to go. Expedited Dispute Resolution forms will not be allowed. What are chargeback reason codes? Reason codes inform merchants about the reason why the customer is disputing a transaction, based on the information they provided to their bank. 3 falls under the “Authorization” category. The shorthand description is “No Authorization. The idea was to allow the merchants to dispute the chargeback process and help prevent certain chargeback frauds. A chargeback attempt may fail if there is not a valid reason for it, and card issuers are unable to force a merchant’s bank to refund credit card payments. 6. Signifyd’s Revenue Protection solution offers fraud screening services to help merchant subscribers protect against fraudulent or unauthorized activity with respect to certain e-commerce transactions, as classified by the applicable card processor’s chargeback. UA10 Request Transaction Receipt (swiped card transactions) UA11 Cardholder claims fraud (swiped transaction, no signature) Chargeback Reason Codes List for Mastercard Chargeback Code Chargeback Reason 4801 Requested Transaction Data Not Received 4802 Requested / Required Information Illegible or Missing 4807 Warning Bulletin File 4808 Requested / Required Authorisation Not Obtained 4812 Account Number Not on File 4831 Transaction Amount Differs 4834 Duplicate. Also, just like American Express, Discover functions as both a card network and an. The newer system is designed to. The reason code. 3 No Authorization. A new 4 byte reason code will be used moving forward. Visa Claims Resolution is a Visa-specific platform that seeks to declutter and streamline the consumer dispute and chargeback resolution process. It can range from 60 to 120 days from the billing date. Visa Claims Resolution is a Visa-specific platform that seeks to declutter and streamline the consumer dispute and chargeback resolution process. Visa chargeback codes are broken up into four categories: Fraudulent activity; Authorization issues; Processing errors; Customer disputes; Fraudulent activity The chargeback period, or the time limit for filing a chargeback, depends on the card scheme and the chargeback reason code. However, Visa is the largest card brand in both the United States and the world. Each reason code has its own set of regulations regarding: Proper and. It’s a 3-digit alphanumeric shorthand attached to a returned ACH transaction explaining why an ACH transfer is reversed. 7: Defective goods and services: C32: RM: 13. Any chargeback that is received without a reason code will be assigned a default code of 53. Chargeback time limits vary widely depending on the issuing bank, and the chargeback code or reason. 31. For educational purposes, here is an overview of the general chargeback process with most major processors: Step 1: A purchase occurs – All chargebacks start with a customer making a purchase, either in-person, in-app or online. 4 – Incorrect Account Number 12. 4 – Other Fraud – Card Absent. For example, the dispute reason “Cardholder Does Not Recognize” is denoted under the Discover reason codes system as “AA. The terms may be different, but the process remains fairly unchanged. In such circumstances, networks like Mastercard may allow consumers to reverse such a transaction by filing a chargeback. What Are the Different Chargeback Reason Codes? There are over 100 chargeback reason codes. Updated August 23, 2023. F01. This provided a number of insights into the typical. Documentation must be a direct result of cardholder communication. Encrypt transmission of cardholder data. 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. The cost of payment card fraud has increased by 60% over the last decade, and is expected to increase significantly post Covid-19. The merchant did not receive any returned merchandise. It’s generally more efficient to take a proactive stance when it comes to chargeback management. By understanding the reason behind the chargeback, you can gather the necessary evidence to support your case effectively. Protect stored cardholder data. When you receive notification of a payment dispute or chargeback you may see a code listed with it. 2. Reason code 53 is typically used when a cardholder received merchandise or service that was defective, damaged, or not as described, while reason code 85 is used when credit was not processed to the. 1. non_receipt: The buyer claims they didn't get the goods or services. 6 –. It doesn’t help matters that travel is a high risk industry for credit card payments and with 100+ reason codes across all issuers, making sense of them all is a challenge. 1 chargeback: 1. If the chargeback is in the customer’s favor, the bank reverses the transaction and debits the business’s acquiring bank instead of crediting itThe chargeback period, or the time limit for filing a chargeback, depends on the card scheme and the chargeback reason code. A chargeback works its way from the issuing bank through the. Now, compliance cases go through Visa Resolve Online (VROL). The assigned chargeback reason code outlines why a customer submitted the dispute. . Visa, for example, has reason codes: 11. 2. 15% - the number of chargebacks initiated by cardholders due to retailers shipping the wrong product. You could also end up submitting the wrong evidence, which will cost you time, money, and standing with the bank. Example: 25. In both instances if the Merchant wishes to withdraw from an arbitration case, Visa will charge the amount of 500. Once you receive this notification, you have 11 days to submit a response. Fewer chargeback reason codes. 4846 — Incorrect Currency Code. This code tells you why the customer or bank initiated the dispute. Less than 20% of merchants noted a slight decline in Visa chargebacks after VCR, while over 55% reported no decline in chargebacks. Each card network maintains reason codes to cover all the disputes that qualify for. The charge you submitted did not receive a valid authorization approval code for the amount of the charge. Some consumer disputes are legitimate complaints about an order that doesn’t go as planned. These are only a handful of common Visa chargeback reason codes. 4860 Credit Not Processed. However, the disputes themselves are still categorized by the issuing bank based on the card network issuing the card. Also, Ethoca Alerts only notify you of chargebacks that occur within the alert. There are dozens of reasons why cardholders and issuers dispute transactions. Chargeback reason codes will usually provide specific information about what kind of evidence is needed to get the chargeback reversed. After the introduction of Visa Claims Resolution, Visa set the goal of resolving all disputes in less than 31 days. Accessed October 31, 2022. [noun]/* kə • stə • mər • di • spyo͞ot/. 7. The network hasn't wholly disallowed some old codes. In some cases, errors can be resolved and reversed, but there is no equivalent to chargeback representment when it comes to ACH. Chargeback Reason Codes / Visa / 11. , American Express, Discover, MasterCard, and Visa), there are 151 chargeback reason codes. Both EFM and ECM measure compliance at the MID level. Added the following fields - Store ID, Credit Card Chargeback Reason Code. for chargeback reason code 4863 (Cardholder Does Not Recognize). Dispute Best. If you did not receive the email, open Mave, Wave’s automated chatbot, and. The agency must provide this documentation to Vantiv (via mail, fax, online/scanning) within 30 calendar days after the report date on the Visa/MasterCard. chargeback_settlement: The gross shows negative if the chargeback was resolved in the buyer's favor, and the funds return to the buyer. 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. Mastercard Chargeback Reason Codes. ”. Chargeback. Merchant. The merchandise was as described or was not defective. 3: Goods or services were not as described: C31: RM: 13. A chargeback reason code is a two- or four-digit alphanumeric code issuing banks assign to disputes. Field name: reasonCode. How to Manage ‘Late Presentment’ Chargebacks. Mastercard issuers use merchant advice codes to respond to authorization requests, and as a communication tool with merchants regarding a cardholder's account. UniBul August 16, 2010 Credit Card Processing Blog 0 Comments. M01 Chargeback Authorization. The number of in-person fraud attacks attempted in the UK has dropped by 69% since 2004. . Visa - 13. In simple terms, an Electronic Commerce Indicator (ECI) is basically a 3-D Secure response code. The other member could accept the chargeback or contest it, escalating the dispute to compliance where Visa adjudicates. Dispute Best Practices Guide Overview This guide includes: An overview of authorization and transaction processing An overview of retrievals and chargebacks Reason code guidelines for all. Each code refers to one of the specific rationales that card networks consider legitimate reasons for a customer dispute. Reason codes for chargebacks are assigned by issuing banks at the time of their creation, depending on the nature of their occurrence. 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. 4859 Addendum, No-show, or ATM Dispute. Values are: Blank: Use the draft G/L date. A credit card chargeback is when a bank returns money to you because a credit card charge was fraudulent or you bought something online that wasn’t delivered or was. A chargeback happens when a customer requests for a transaction to be reversed. Chapter 6 Pre-Arbitration and Arbitration Case Filing-For Chargebacks Initiated On or After 17 July 2020 > Time Frames and Requirements > Dual Message System Pre-Arbitration andLike traditional chargeback reason codes, an ACH return code indicates why the RDFI initiated the transaction reversal request. Notification of Fraud. Visa chargeback reason code 12. 3. Click on “report a problem” and select the transaction in question. “It’s a lot tougher with Mastercard because they only use four main codes. In addition to Reason Codes changing as a result of the VCR program, each Reason Code is now associated with a new Reason Category. This indicates that the merchant didn't respond to an inquiry properly. The shorthand description is “Credit Not Processed. Chargebacks911® can help your business manage risk from Visa chargeback reason code 10. Use order validation and prevention alerts. 2? Visa chargeback reason code 12. Take the time to note the following dispute reason codes for Visa. Chargebacks911 is the original chargeback management company with solutions to prevent chargebacks before they happen and fight. However, these chargeback reason codes cannot. The Mastercard chargeback reason codes were condensed down in 2016, like the process that Visa just underwent with Visa Claims Resolution. For example, Visa reason code 83 is one of the reason codes with several modifiers with which it’s associated. Check with the issuing banks to determine what time limits may apply to you. The chargeback is ordered by the bank that issued the consumer's payment card. Provide exemplary customer service. For example, Mastercard has a code which indicates a ‘consumer dispute. Each chargeback reason code has specific rules and documentation requirements. TC40 data is used to inform banks and card networks when a merchant has an outstanding fraud. Typically, cardholders file a chargeback if they were not informed of dynamic currency conversion fees or were not given the option to complete the sale in their local currency. Chargeback reason codes are one piece of evidence you can use to make your case. In simple terms, VCR introduced five definitive. If you leave this processing. All chargebacks start with a customer making a purchase in person, in an app, or online. Now, compliance cases must be submitted through Visa Resolve Online (VROL). Late Presentment Rules: Mastercard. Discover is a credit. This reason code indicates that the merchant processed a transaction using the wrong transaction code. The networks say merchants have a 45-day response window, but the Chase credit card chargeback time limit for merchants is 39 days. " If you can look up the order and confirm via the shipping tracking number that it was indeed delivered to the customer (and signed for), you have a slam-dunk case to fight that chargeback. A chargeback happens when a customer requests for a transaction to be reversed. Visa’s rules allow merchants to fight chargebacks by presenting the charge a second time along with evidence supporting its legitimacy. #9. The following chargeback reason codes are related to EMV: Visa: 10. M49 Vehicle Rental – Theft or Loss of Use. Managing Reason Code 41 chargebacks. Pro Tip: Prepare a chargeback representment template that you can edit per incoming disputes, and be sure to include. The issuing bank will then pass on the chargeback to the merchant. Fraudulent TransactionsThe chargeback process is similar across most credit card networks and issuing banks, with specific differences for each bank or network. The chargeback initially results in the debit or credit card charge being reversed and the funds that you received for the payment being returned to the customer. While the format of chargeback reason codes varies depending on the card network, all codes are. EMV has been a mostly global standard since 2004. The good news for those using Shopify Payments, the hundreds of reason codes and buckets them into eight. But when they do occur, decisive steps are key. 1 falls under the “Processing Errors” category. This list was generated 5/4/2022. The actual underlying cause of this chargeback is usually either true fraud or friendly fraud. If the transaction has special authorization procedures, provide documentation that proves the first authorization request included an estimated amount; the subsequent authorization requests. Then they instruct the merchant’s acquiring bank to reverse the transaction and withdraw the funds from the merchant account. Merchants. Breakdown your chargeback data by some of the variables you collected in step #2: marketing source, product type, issuer BIN, customer’s country, reason code, price, billing cycle, and lag time (amount of time between the transaction and the dispute). Improve the customer experience by resolving issues quickly. Consult the applicable network’s guidelines for examples of acceptable compelling evidence. Date Option. 4 to this dispute, indicating the purchase was fraudulent in a card-not-present environment. VCR tables (Figures 1 and 2) map the old Reason Code to its new Reason Code. Chargeback Reason Code 30 - Services Not Provided or Merchandise Not Received The chargeback time limit is calculated based on one of the following: 120 calendar days after the transaction processing date 120 calendar days after the last date the cardholder expected to receive the goods or services (not to exceed 540 days of the transaction. Reason Code 53 chargeback can be re-presented in one of the following circumstances: chargeback is invalid or a credit was processed. It is very similar to: Mastercard's 4853- Defective/Not as Described Reason Code. 4841 Canceled Recurring or Digital Goods Transactions. without a reason code will be assigned a default code of 1. The time limits for responding to a chargeback also vary based on the card scheme and the chargeback reason code. All the major card networks use chargeback reason codes to convey the reason for a chargeback. 2 is the result of receiving a declined authorization but going ahead with the transaction anyway. Today, we at Chargebacks911 are proud to call ourselves the industry’s leading name in end-to-end chargeback management. Maestro. • Chargeback – a message sent via the card brand network to debit the merchant and credit the issuer for a cardholder dispute. 6. Credit card chargeback reason code: Type: Varchar; Unique: No; Blanks: Yes; Max length: 64 characters; Unique identifier which distinguishes the nature/reason of credit card chargeback reported. The standard chargeback process involves eight steps: Retrieval request: The card-issuing bank requests that the acquiring bank provide additional information for a given transaction. A number of factors contribute to a high chargeback ratio. The tickets were held at the box office, and no signature, swipe or imprint of the card was obtained when the tickets were released. 1130: No Authorization: up to 120 days: Authorization: Visa: 1210: Late Presentment: up to 120 days: Processing Errors: Visa: 1220: Incorrect. Discover Chargeback Reason Codes Explained. In simple terms, VCR introduced five definitive changes to the dispute resolution process: The timeframe for merchant response was shortened from 45 days to 30 days. 00 in chargebacks. 1. The Importance of Discover Chargeback Prevention. Merchant processed transaction below floor limit without authorization. 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. All ACH return reason codes consist of the letter “R” followed by two. A customer payment dispute, more commonly called a “chargeback,” happens when a cardholder disputes (challenges) a payment card transaction and asks the card-issuing bank to reverse it. Step 2: Customer initiates the chargeback – After the customer reviews their credit card statement at the. Visa chargeback reason codes. Modified on: Wed, 15 Apr, 2020 at 9:11 AM. According to a study released by Juniper Research, ecommerce businesses were projected to lose roughly $20 billion in 2021 due to fraud, an 18% increase over the $17. These codes are broken down into five different category. Additionally, one clearing transaction. Search the Chargeback Reason Code Database. There are no format changes to the sales file specification; there are additional values added to the sales file to designate chip card transactions. The chargeback can be for the total transaction amount or a lesser amount. Examples, processing a transaction even after the subscription is cancelled, defective items delivered, non-delivery of sold goods and so on. Chargebacks are a problem that is growing worse across the board, and gas station. Some of these reason codes are specifically designated to apply to authorization-related issues. 1 Chargebacks A chargeback is a rules-based mechanism, with time-sensitive workflows, that enables the issuer and the acquirer to determine the financial liability of a disputed transaction. Reason code 83 represents a chargeback categorized as. These reason codes indicate disputes that occur as a result of inaction or wrong action on either party’s part (merchant or cardholder). 3. This can be transaction receipts, proof of. Here are some chargeback reason codes by card type. However, it is important to note that this reason code is based on the reason given by the customer to their bank. Transaction not authorised – the Card Issuing Company is stating that an authorisation code was required for the transaction, but it was not obtained. A chargeback guarantee is a service provided by third-party vendors that protects merchants against the financial impact of chargebacks. A false decline on a credit card or debit transaction occurs when a legitimate card purchase is rejected by mistake. 4. By entering your email, you agree to receive marketing emails from Shopify. UA01 Fraud – Card Present Transaction. Chargebacks are a reality of running a small business,. R13 No Reply. 1The Stakes: Ignoring reason codes can lead you to confuse valid chargebacks for problematic ones. ; Help Center Find answers to common questions about Midigator’s technology,. Reason Code 03: Laundering: The merchant processed transactions that did not involve a bona fide cardholder: Reason Code 04: Excessive Chargebacks: The merchant breached predetermined chargeback thresholds: Reason Code 05: Excessive Fraud: The merchant breached predetermined fraud-to-sales dollar volume thresholds:. Chargeback time limits vary widely depending on the issuing bank, and the chargeback code or reason. Check out the definitive guide to. 6. Based on the information provided, Paymentology will investigate the transaction being disputed. Discover chargeback reason codes are divided into three categories: service disputes, processing errors, and fraud. Late Presentment. 00 EUR as a Withdrawal fee. Dec 6, 2021 — Betty's bank issued the chargeback for $9. When a transaction is declined, the specific code provides information about the reason for the decline. Betty's issuing bank assigned chargeback reason code 10. If you believe you have received an ACH return in error, you can contact your bank. Message. The shorthand description is “Insufficient Reply. 3? Visa chargeback reason code 11. What stands out about the Discover reason codes list, though, is most of the codes are alphabetically-noted rather than numeric. 2 EMV Liability Shift. chargeback_settlement: The gross shows negative if the chargeback was resolved in the buyer's favor, and the funds return to the buyer. This may be done by either the merchant or the issuing bank. Each major credit card company has its own list of chargeback reason codes that describes the chargeback. About American Express chargeback reason codes. Feel free to submit topic suggestions, questions or requests for advice to:. 2 – Incorrect Transaction Code 12. 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. Expedited Dispute Resolution forms will. Visa Chargeback Reason Codes; Chargeback Management Software; Chargeback Reason Codes; Credit Card Dispute Time Limit; Mastercard Reason Codes; Bank Identification Number; CONTACT. By entering your email, you agree to receive marketing emails from Shopify. 4% of all transactions worldwide are made with EMV chip cards, which has led to a precipitous drop in card-present fraud. May 2011: 5. Some credit card companies also include a short phrase describing the code and chargeback. All chargebacks start with a customer making a purchase in person, in an app, or online. What to Include in Your eCommerce Return PolicyRead chargeback reason code descriptions carefully, especially if they include any transaction modifiers. 4 Other Fraud Card Absent. Then, prepare compelling evidence which may. Then they instruct the merchant’s acquiring bank to reverse the transaction and withdraw the funds from the merchant account. Specify the default reason code to. 196Breaking Down Chargeback Fees. And according. 5%. for chargeback reason code 4863 (Cardholder Does Not Recognize). ”. For instance, if the customer claims unauthorized purchase, your letter should cite evidence, such as an IP address matching previous purchases, to support. Acquirer Use of Message Reason Code 7623. Chargebacks911 is the original chargeback management company with solutions to prevent chargebacks before they happen and fight. Each of these situations was given an alphanumeric identification code called a chargeback reason code, which is meant to explain the reason for the dispute. 3. What are reason codes?. M01 Chargeback Authorization. Faxing and Mailing Agencies: What stands out about the Discover reason codes list, though, is most of the codes are alphabetically-noted rather than numeric. A reason code or a chargeback reason code is a string of symbols (numbers and letters). Step 2: Customer initiates the chargeback. That’s 50% more time than what the major card networks allow. 0 is to make the chargeback process more efficient, transparent, and fair. Card Brand Code Description Days to Dispute Dispute Category;. Visa has recently announced changes to its chargeback rules. The chargeback process can last from one month to six months. Ensure you’ve fully reviewed the chargeback reason code before writing your chargeback rebuttal letter. ”. Most chargebacks are violations of the rules and regulations established by a payment brand, such as Visa®, MasterCard® or debit network. 26% - the number of chargebacks that result from undelivered orders. Select a tab to see the possible reason codes for each dispute event category, divided by scheme. Respond to invalid disputes. Merchants who believe they have received an invalid chargeback under reason code 13. 2 Declined Authorization; 11. Chargeback. According to one study, the average chargeback ratio for the travel industry is 0. 11/03/15 Updated these MasterCard. Unfortunately, the final decision in such cases comes down to the issuing bank, and not. According to a chargeback report, the projected costs of chargeback for 2023 are estimated at $117 billion, with around $79 billion as merchant losses. Chargeback Reason Codes. 3 is the less common version for card-present transactions. The first step to fighting a chargeback, is to research the reason code which explains the reason for the chargeback and the required compelling evidence to dispute it. Fight; Prevent;. In that way, winning one dispute may help prevent the next chargeback to come after it. In fact, the same thing could be said of other chargeback reason codes, too. Reason codes are very crucial to assist. Everyone has had the experience of buying. Take, for example, a reason code 4853 chargeback claiming that merchandise or services ordered were not received. You cannot effectively fight chargebacks until you identify which of these three things is actually responsible. 4: Fraud—Card-Absent Environment. You must tailor your representment case — including the compelling evidence — to the reason code under. Learn about the different chargeback reason codes and what they mean. message. The goal is to reduce. What are chargeback reason codes? Mike Conway 2021-03-04T20:56:54+00:00. 9% and 100 chargebacks per month], you can get into the excessive chargeback program, which can cause penalties of up to $50 per chargeback. 3. This code applies when a cardholder claims to have returned merchandise or cancelled services, but the credit did not appear on the cardholder’s monthly.