Description of Reason Code
EMV Liability Shift Non-Counterfeit Fraud
Insights from Rules and Regulations
A cardholder claims his or her EMV-chip card was stolen, and that it was used in a fraudulent transaction. The transaction happened in a card-present environment. Also, one of three things have occurred: The transaction did not take place in a chip-reading terminal; OR a chip-initiated transaction took place in a chip-reading terminal. But the device was not EMV PIN-compliant; OR [online only] the transaction was chip-initiated. But your card processor didn’t transmit all of the chip data to Visa in the authorization request.
How to Win Reason Code
Provide documentation that the EMV chip was read, the terminal was EMV PIN-compliant and that all of its data was transmitted to Visa. Some documentation include: Proof of the terminal being EMV PIN-compliant; AND an imprint or signature that was created by the cardholder. If you already processed credit or a reversal: Provide documentation of the reversal; AND include the transaction amount and the date it was processed.
Transaction Modifiers applicable to Reason Code