How to Connect to Visa Merchant Purchase Inquiry (VMPI)

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How to Connect to Visa Merchant Purchase Inquiry (VMPI)

Many merchants are already taking steps to prevent invalid disputes by using Visa Merchant Purchase Inquiry (VMPI). In this post, we’ll go over what you need to know about VMPI and how you can get integrated. Visa started developing VMPI after “[They] saw over 2.6 million chargebacks initiated [in 2015] because cardholders did not recognize the transactions, an increase of over 13% from the prior year. In addition, 20% of all chargebacks were tied to purchases … Read More

Chargeback Accounting: How to Record Disputes

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Chargeback Accounting. How to Record Disputes

Proper dispute management is necessary for retaining hard-earned revenue. A vital part of dispute management is understanding the impact of disputes on your company, which is where proper bookkeeping comes in. A dispute or chargeback is a transaction reversal meant to serve as a form of consumer protection from fraudulent activity committed by both merchants and individuals. A cardholder can dispute a transaction for a variety of reasons, including fraud, unprocessed credit, goods or services not … Read More

What are VMPI Issuer Notifications and How Should Merchants Respond?

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What are VMPI Issuer Notification and How Should Merchants Respond

VMPI notifications give merchants the opportunity to avoid disputes and take meaningful actions to retain customer relationships and prevent revenue loss. Here are the VMPI issuer notification types and how merchants should take action when they receive each one. Visa Merchant Purchase Inquiry (VMPI) gives merchants the ability to respond to customers’ inquiries in real-time to prevent invalid disputes from being filed. By providing this information to the issuing bank, the dispute analyst can use transaction … Read More

Invalid Disputes: Why They Happen

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Invalid Disputes. Why They Happen

Invalid disputes are when a merchant receives a dispute from a legitimate transaction. These disputes are invalid because the merchant did not do anything to cause it, such as accepting a stolen credit card or not processing a refund credit. But if invalid disputes are actually a valid transaction, how does the merchant end up with a dispute? The first step in understanding why invalid disputes happen is by learning why cardholders are turning to the … Read More

Holiday Fraud: How to Protect Your Business During and After the Holidays

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Holiday Fraud: How to Protect Your Business During and After the Holidays

Any merchant that has a seasonal sales boost during the holidays knows that preparation is vital for having a successful holiday season. To keep the revenue gained during the holiday rush, merchants should also be prepared to handle holiday fraud. Here is how merchants should prepare for fraud before and after the holidays. Front-end fraud filters are a tool used by merchants to help assess if a purchase is fraudulent. During the holiday rush, merchants may … Read More

How to Fight Chargebacks

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How to Fight Chargebacks

Chargebacks are an unavoidable part of doing business. So what can merchants do to fight them? In this post, we will go through how merchants can recover lost revenue and what they can do to prevent disputes in the future. A chargeback or dispute is a transaction reversal meant to serve as a form of consumer protection from fraudulent activity committed by both merchants and individuals. This transaction reversal is demanded by a credit-card provider for … Read More

Chargeback Protection: How Merchants Can Prevent Disputes

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Chargeback Protection. How Merchants Can Prevent Disputes

Chargeback prevention is a necessary part of doing business if merchants want to retain hard-earned revenue and keep a low dispute ratio. There are four methods of chargeback protection. When used together, merchants are able to have the lowest possible dispute rate. The only way for merchants to stop true fraud is by putting preventive measures in place that block a fraudulent transaction from being accepted. True fraud is when a fraudster obtains credit card credentials … Read More

Visa’s New Dispute and Fraud Threshold

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Visa’s New Dispute and Fraud Threshold

Visa has made some changes to the Visa Dispute Monitoring Program (VDMP) and the Visa Fraud Monitoring Program (VFMP). The changes include lowering the thresholds that put merchants on these watch lists. As of October 1, 2019, Visa has implemented the following changes: Old Monthly Threshold New Monthly Threshold VDMP Early Warning 0.75% dispute ratio and 75 disputes 0.65%* dispute ratio and 75 chargebacks VDMP Standard 1% chargeback ratio and 100 chargebacks 0.9%* dispute ratio and … Read More

Visa Update: Transaction Receipt Requirement

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Visa Update. Transaction Receipt Requirement

Visa recently updated its transaction receipt requirements. The changes help increase flexibility for merchants and what is required. The majority of the changes surround contactless and unattended terminals. According to the Visa’s 2018 Dispute Management Guidelines, a card-present merchant should have the following on their card present receipt: Transaction receipt capability requirements can account for a significant portion of terminal costs. In an effort to reduce the cost and complexity of accepting cards, Visa has modified … Read More

What is Card Testing and How Can Merchant Protect Themselves?

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What is Card Testing and How Can Merchant Protect Themselves_

Card testing may not sound as harmful as other types of fraud, but it can cost merchants in lost revenue, dispute fees, lost merchandise, and increased dispute rates. In this post, we will dive into how fraudsters test cards and how merchants can detect and prevent card testing. Card testing is when a fraudster obtains a list of card credentials and attempts an online purchase with the stolen card number to test it. Once the fraudster … Read More