Online Chargeback Mangement Guide

2

DISCLAIMER

The information herein or any document attached hereto does not take into account individual

client circumstances, objectives or needs and is not intended as a recommendation of a

particular product or strategy to particular clients and any recipient shall make its own

independent decision. This downloadable document and the information provided herein may

not be copied, published, or used, in whole or in part, for any purpose other than expressly

authorized by Chase. Paymentech, LLC, Chase Paymentech Solutions, LLC and Chase

Paymentech Europe Limited, respectively trading as Chase, Chase Paymentech and J.P. Morgan

are subsidiaries of JPMorgan Chase & Co. ( JPMC). Chase Paymentech Europe Limited is

regulated by the Central Bank of Ireland. Registered Office: JP Morgan House, 1 George’s Dock,

I.F.S.C., Dublin 1, D01 W213, Ireland. Registered in Ireland with the CRO under. No. 474128.

Directors: Catherine Moore (UK), Carin Bryans, Michael Passilla (US), Dara Quinn, Steve Beasty

(US).

ONLINE RETRIEVAL REQUEST

&

CHARGEBACK PROCESSING

THROUGH PAYMENTECH ONLINE

A MERCHANT USER GUIDE

Rights Reserved

8181 Communications Parkway Plano,

TX 75024 www.chase.com

4

REVISION HISTORY

Date

Revision Summary

Page(s)

03/23/2022

Added new section on Merchant Initiated Debit Adjustments within CBIS

updated page numbers in table of contents, Updated supporting document

requirements

Throughout

08/16/2019

Changed Commerce Solutions Reference to Merchant Services

Throughout

08/17/2018

Updates made for AMEX supporting document file size

65

02/26/2018

Updates made for Visa Claims Resolution (VCR)

All

01/26/2016

Created new online chargeback management guide

All

TABLE OF CONTENTS

DISCLAIMER

2

REVISION HISTORY

4

INTRODUCTION

12

OVERVIEW

12

SYSTEM REQUIREMENTS & SUPPORTED DOCUMENT FORMATS

13

OPTIONAL MULTIPLE DOCUMENT UPLOAD FUNCTIONALITY

15

CONTACT ROLES

16

ACCESSING YOUR RETRIEVAL REQUESTS AND CHARGEBACKS

17

DEFAULT SCREEN

18

EXCEL CSV DOWNLOAD

19

PRINT DOWNLOAD

20

RETRIEVAL REQUESTS

22

PROCESSING FLOW – OVERVIEW

23

DISCOVER CNP PROCESSING FLOW

24

RETAIL RETRIEVAL REQUEST PROCESSING FLOW

25

RESPONDING TO A RETRIEVAL REQUEST

26

QUERY RESULT SCREEN COMPONENTS – LEVEL 1 DATA – FUNCTIONAL COMPONENTS

27 -28

QUERY RESULT SCREEN COMPONENTS – LEVEL 1 DATA – INFORMATIONAL COMPONENTS

29

QUERY RESULT SCREEN COMPONENTS – LEVEL 2 DATA – FUNCTIONAL COMPONENTS

30-31

QUERY RESULT SCREEN COMPONENTS – LEVEL 2 DATA – INFORMATIONAL COMPONENTS

32

WORKING RETRIEVALS - THE MRQA ROLE

33

ASSIGNING CASES TO AN MRA

33

MRQA ROLE - CREATING AUTO-DECISION RULES

34-35

MRQA ROLE - EDITING OR DELETING A RULE

36-37

MRQA ROLE – ACCEPTING RETRIEVALS FROM LEVEL 1

38

6

MRQA ROLE – ACCEPTING RETRIEVALS FROM LEVEL 2

39

WORKING RETRIEVALS – THE MRA ROLE

40

ACCESSING DETAILED RETRIEVAL REQUEST INFORMATION

41

VIEWING SUPPORTING DOCUMENTS

41

ACCEPTING A RETRIEVAL CASE

42

REQUEST FULFILLMENT OF A CASE

43

TABLE OF CONTENTS (CONTINUED)

7

FULFILLING A RETRIEVAL

45

RETRIEVAL QUERIES

45

RETRIEVALS SEARCH QUERIES

46

SEARCH SCREEN AND FIELD DEFINITIONS

47

RUNNING ADVANCE RETRIEVAL SEARCH QUERIES

48

RUNNING ADVANCE RETRIEVAL SEARCH QUERIES – USING ADDITIONAL SEARCH CRITERIA

49

HEALTHCARE IIAS RETRIEVALS REQUESTS

50

OVERVIEW

51

IIAS TRANSACTIONS IN THE ONLINE CHARGEBACK MANAGEMENT SYSTEM

52

TRANSACTIONS – VISA LEVEL 1

52

TRANSACTIONS – MASTERCARD

®

LEVEL 1

52

FULFILLING IIAS RETRIEVAL REQUESTS

52

VISA IIAS TRANSACTION RETRIEVAL REQUEST

53

MASTERCARD

®

IIAS TRANSACTION RETRIEVAL REQUEST

54

RETRIEVAL WORK TRACKER

55

WORK TRACKER

55-57

SEARCH RESULTS

58

CREDIT CHARGEBACKS

59

OVERVIEW

60

VISA AND MASTERCARD

®

CHARGEBACK CATEGORIES

61

TECHNICAL CHARGEBACK WORKFLOW

62-63

CUSTOMER DISPUTE CHARGEBACK WORKFLOW

64-65

DISCOVER CHARGEBACK CATEGORIES

66

RETURN TO MERCHANT WORKFLOW

67-68

CHARGEBACK LIFECYCLES

69-71

TABLE OF CONTENTS (CONTINUED)

8

SECOND CHARGEBACK NOTES

72

QUERY RESULT SCREEN COMPONENTS – LEVEL 1 DATA – FUNCTIONAL COMPONENTS

73

QUERY RESULT SCREEN COMPONENTS – LEVEL 1 DATA – INFORMATIONAL COMPONENTS

74-75

QUERY RESULT SCREEN COMPONENTS – LEVEL 2 DATA – FUNCTIONAL COMPONENTS

76

QUERY RESULT SCREEN COMPONENTS – LEVEL 2 DATA – INFORMATIONAL COMPONENTS

77-78

CHARGEBACK FUNCTIONS

79

WORKING CHARGEBACKS – THE IQA ROLE

80

ASSIGNING CASES TO AN MCA

81

IQA ROLE – CREATING AUTO–DECISION RULES

82-84

IQA ROLE – EDITING OR DELETING A RULE

85

IQA ROLE – ACCEPTING CHARGEBACKS FROM LEVEL 1

86

IQA ROLE – ACCEPTING CHARGEBACKS FROM LEVEL 2

87

WORKING CHARGEBACKS – THE MCA ROLE

88

MCA ROLE – ACCESSING DETAILED CHARGEBACK INFORMATION

89-90

MCA ROLE – VIEWING SUPPORTING DOCUMENTS

91

MCA ROLE – ACCEPTING A CHARGEBACK

92

MCA ROLE – CHALLENGING A CHARGEBACK

93-94

MCA ROLE – SUBMIT INFO

95-96

CHARGEBACK QUERIES

97

CHARGEBACK SEARCH QUERIES

98

CHARGEBACK SEARCH SCREEN AND FIELD DEFINITIONS

99-101

RUNNING ADVANCE CHARGEBACK SEARCH QUERIES

102

TABLE OF CONTENTS (CONTINUED)

9

RUNNING ADVANCE CHARGEBACK SEARCH QUERIES – USING ADDITIONAL SEARCH CRITERIA

103

CHARGEBACK WORK TRACKER

104

WORK TRACKER

104-107

DEBIT CHARGEBACK

108

OVERVIEW

109-110

TECHNICAL DEBIT CHARGEBACK WORKFLOW

111-112

CUSTOMER DISPUTE DEBIT CHARGEBACK WORKFLOW

113-114

RETURN TO MERCHANT WORKFLOW

115

MERCHANT INITAITED DEBIT ADJUSTMENTS

116-120

QUERY RESULT SCREEN COMPONENTS – LEVEL 1 DATA – FUNCTIONAL COMPONENTS

121

QUERY RESULT SCREEN COMPONENTS – LEVEL 1 DATA – INFORMATIONAL COMPONENTS

121-122

QUERY RESULT SCREEN COMPONENTS – LEVEL 2 DATA – FUNCTIONAL COMPONENTS

123

QUERY RESULT SCREEN COMPONENTS – LEVEL 2 DATA – INFORMATIONAL COMPONENTS

124

EXCEPTION PROCESSING

125

INTRODUCTION

125

INCOMING PRE-ARBITRATION/ ARBITRATION – VISA, DISCOVER & MASTERCARD

126

OUTGOING ARBITRATION - DISCOVER

126

OUTGOING COLLECTION – VISA & MASTERCARD

®

126

PRE-COMPLIANCE – INCOMING AND OUTGOING – VISA & MASTERCARD

®

127

CHARGEBACK ANALYSIS REPORTING

129

INTRODUCTION

129

PDE-0017 – CHARGEBACK ACTIVITY – MONTHLY VERSION

129

PDE-0039 – CHARGEBACKS WON/LOST SUMMARY

129

APPENDIX A

130

CASE STATUS CODES

130-134

TABLE OF CONTENTS (CONTINUED)

10

APPENDIX B

135

REPORTING OVERVIEW

135

RETRIEVALS RECEIVED (PDE-0021) – FIELD DEFINITIONS

135-136

RETRIEVAL ACTIVITY (PDE-0029) – DESCRIPTION & USE

136

RETRIEVALS ACTIVITY (PDE-0029) – FIELD DEFINITIONS

136-137

CHARGEBACKS WON/LOST SUMMARY (PDE-0039) – DESCRIPTION & USE

138

CHARGEBACKS WON/LOST SUMMARY (PDE-0039) – REPORT SAMPLE

139

CHARGEBACKS WON/LOST SUMMARY (PDE-0039) – FIELD DEFINITIONS

139-140

CHARGEBACK MANAGEMENT USER EFFICIENCY (PDE-0040) – DESCRIPTION & USE

141

CHARGEBACK MANAGEMENT USER EFFICIENCY (PDE-0040) – REPORT SAMPLE

141

CHARGEBACK MANAGEMENT USER EFFICIENCY (PDE-0040) – FIELD DEFINITIONS

141-142

CHARGEBACK MANAGEMENT AGING (PDE-0041) – DESCRIPTION & USE

142

CHARGEBACK MANAGEMENT AGING (PDE-0041) – REPORT SAMPLE

142

CHARGEBACK MANAGEMENT AGING (PDE-0041) – FIELD DEFINITIONS

143

CHARGEBACK MANAGEMENT WORK QUEUE SUMMARY (PDE-0042) – DESCRIPTION & USE

143

CHARGEBACK MANAGEMENT WORK QUEUE SUMMARY (PDE-0042) – REPORT SAMPLE

144

CHARGEBACK MANAGEMENT WORK QUEUE SUMMARY (PDE-0042) – FIELD DEFINITIONS

145

PRE-DISPUTE DETAIL REPORT (PDE-0065) DESCRIPTION & USE

146

CHARGEBACKS WON/LOST SUMMARY BY USER (PDE-0043) – DESCRIPTION & USE

146

CHARGEBACKS WON/LOST SUMMARY BY USER (PDE-0043) – REPORT SAMPLE

147

CHARGEBACKS WON/LOST SUMMARY BY USER (PDE-0043) – FIELD DEFINITIONS

147

DEBIT ADJUSTMENT DETAIL (PDE-0036) – DESCRIPTION & USE

148

TABLE OF CONTENTS (CONTINUED)

11

DEBIT ADJUSTMENT DETAIL (PDE-0036) – REPORT SAMPLE

148

DEBIT ADJUSTMENT DETAIL (PDE-0036) – FIELD DEFINITIONS

148-149

GLOSSARY

150

A – CH

150-151

CO – RE

151 -152

RE – W

152-153

12

INTRODUCTION

CHARGEBACK MANAGEMENT - A JOINT EFFORT

As a business you do all you can to ensure customer satisfaction with your product or service. All

sales transactions are submitted accurately and refund transactions are processed in a timely

fashion. You take measures to avoid fraudulent transactions by using address verification, card

security codes and employing a well-educated and aware customer service staff. Even with all your

efforts, your customers may question items on their billing statement and this may result in a

retrieval request or chargeback being sent to Merchant Services.

We take an active role in working with you to minimize the number of chargebacks and the effect

on your company’s bottom line. Efficient and successful recovery of monies for chargeback

transactions involves careful attention to paperwork, prompt action, communication with your

Chargeback Analyst, and in some instances, your customer.

Card companies and debit networks provide rules and regulations for retrieval and chargeback

processing which define the number of times and the reasons a transaction may be charged back

and/ or represented. The rules specify certain time frames within which retrieval request and

chargeback processing may take place. In the event a dispute cannot be resolved through normal

retrieval and chargeback processing channels, alternative processes may be available. In certain

situations Pre-Arbitration, Arbitration, Good Faith Collection and Pre-Compliance efforts can be

made.

This user guide provides detailed information to help you successfully work your retrievals and

chargebacks using the channels established and regulated by the card companies and debit

networks.

CHARGEBACK MANAGEMENT SYSTEM FOR ONLINE PROCESSING

OVERVIEW

The online chargeback management system within Paymentech Online streamlines retrieval

requests and chargebacks through a user-friendly interface that supports:

• Electronic capture, storage and exchange of retrieval and chargeback related documents between

Merchant Services, Clients and endpoints such as VISA

®

and MasterCard

®

and other Card-Issuers

• Online case management allowing Clients and Merchant Services Analysts to view retrieval and

chargeback activity, conduct research, and make decisions necessary for resolution

• Decreasing timeframes for dispute resolution

• Reduction in mailing and handling costs

The online chargeback management system is an interactive web-based tool available through

Paymentech Online as an accompaniment to the Report Center and Transaction History Applications.

13

Chargeback Management allows Clients to monitor and respond to retrieval requests and

chargebacks. It also provides for uploading electronic documents to Merchant Services for viewing

by the Chargeback Analyst, thereby significantly reducing delivery time of the documents.

Clients may use any scanner or other device and related software of their choosing for converting

paper documents to an image in a supported format.

Access to the online chargeback management system is granted as part of the security login system

for Paymentech Online.

SYSTEM REQUIREMENTS & SUPPORTED DOCUMENT FORMATS

Please refer to the Paymentech Online User Guide for system requirements.

o Documents submitted in response to a retrieval request, a chargeback or an Analyst’s request for

information may be in the following formats: pdf and tif. These are the ONLY file formats that

can be accepted

See the table below for document format and size

Network

Image

Format

Color Mode

Allowed by

Network

Individual

File Size

Resolution and

Dimensions

Visa

.pdf

Color, BW

2 MB

200 X 200

MasterCard

.pdf

Color, BW

14 MB

300 X 300

Discover

.pdf

Color, BW

14 MB

200 X 200

Amex

.pdf

Color, BW

1MB

200 X 200

• To ensure successful uploads, all files uploaded to the chargeback system must conform to the

following standards:

o File names may only contain:

A through Z (uppercase and lowercase permitted)

0 through 9

Dash (-)

Underscore (_)

File name length including path of 220 characters or less

Period (.)

o It is suggested that image files be sent in black and white. Color files do not

always transmit correctly, leaving images blurred and illegible. Illegible files

can be declined by the card brands.

Attempts to upload files that fall outside of this parameter will result in an error message.

14

It is the client’s responsibility to check all uploaded documents to ensure they can be opened

and viewed and that they contain the appropriate information.

**DO NOT UPLOAD PASSWORD PROTECTED DOCUMENTS**

Document Upload Methods

Documents may be submitted using two different methods:

• Manually uploading document and attaching it to the case in the online chargeback management

system

• Electronic File Submission

For more information on Electronic File Submission, please contact your Account Executive.

15

OPTIONAL MULTIPLE DOCUMENT UPLOAD FUNCTIONALITY

You can submit chargeback and retrieval document files electronically, which are matched up

with the chargeback or retrieval cases that reside within the online chargeback management

system. This eliminates the need to manually upload documents when challenging a case or

responding to a retrieval.

Documents can be submitted using the following supported protocols: FTP, S-FTP, FTP-S and

NDM. Only .tif formats are accepted.

See the table below for document format and size

Network

Image

Format

Color Mode

Allowed By

Network

Individual

File Size

Resolution and Dimensions

Visa

.tif

Color, Grayscale,

BW

10 MB

200 X 200; Resolution Unit 2 or 3; 8.64 inches X 14

inches

.pdf

Color, BW

2 MB

200 X 200

Mastercard

.tif

Color, BW

14 MB

300 X 300

.pdf

Color, BW

14 MB

300 X 300

Discover

.tif

Color, Grayscale,

BW

14 MB

200 X 200

.pdf

Color, BW

14 MB

200 X 200

Amex

.tif

BW

1MB

200 X 200; 8.5 inches X 11 inches; CCITT Group IV

TIFF, BW, BitsPerSample 1

.pdf

Color, BW

1MB

200 X 200

1. To take advantage of this feature, you must code to the chargeback multiple document

upload specification.

2. You will receive the E-Image Upload Exception Report (ACT-0062). This report will provide

you with detailed information for exceptions that did not upload correctly to the online

chargeback management system. The report is available daily with prior day exceptions

and can be run on demand.

Merchant Services recommends the DFR version of the PDE-0017 Chargeback Activity

Report, in which data fields can be used to submit documents using the new multiple

document upload functionality.

16

CONTACT ROLES

Client’s contacts that have access to the application are assigned certain roles depending on

the person’s function in the retrieval and chargeback handling process. The chart below

defines these roles and their functions.

ROLE

DESCRIPTION & FUNCTIONS

Merchant Retrieval Queue

Administrator (MRQA)

• Typically someone in an administrative or supervisory role

who is responsible for distributing the retrieval request

workload

• A contact at the client that assigns retrieval request cases

to the MRA (Merchant Retrieval Analyst) to be worked

• Sets auto-decision rules

If the MRQA wishes to view the Work Queue of a

specific MRA when there are multiple MRAs at a

company, a Retrieval Search must be run using the

specific MRA’s Paymentech Online User ID in the

Merchant Retrieval Analyst

(MRA)

A contact at the client who works and submits the signed sales

drafts for the assigned retrieval request cases

Imaging Queue

Administrator (IQA)

• Typically someone in an administrative or supervisory role

who is responsible for distributing the chargeback

workload

• A contact at the client that assigns chargebacks to the MCA

(Merchant Chargeback Analyst) to be worked

• Sets auto-decision rules

Merchant Chargeback

Analyst

(MCA)

A contact at the client that works and decisions the chargeback

cases assigned to them

Any additions or deletions to the contact roles must be requested by the Executive or

Financial Contact from the client’s office. If you are unsure who fulfills these roles at your

company, please contact Client Services at:

• 1-866-428-4962

• or via email at CPS-Merchant_Services@chasepaymentech.com

If the situation warrants, the same person(s) may be assigned both the MRQA and MRA roles

and IQA and MCA roles

17

ACCESSING YOUR RETRIEVAL REQUESTS AND CHARGEBACKS

To view and/or work your retrievals and chargebacks, logon to Paymentech Online with your

User ID and Password

Refer to the Paymentech Online User Guide section called “Getting Started” for logon

instructions OR See the Paymentech Online Tutorial for a walk through.

Once you are on the Paymentech Online home page, select the CHARGEBACK MGMT tab on the

Paymentech Online navigation bar.

You MUST have access to the application for this tab to appear. If you do not see this tab, please

contact Client Services at CPS-Merchant_Services@chasepaymentech.com.

18

DEFAULT SCREEN

The online chargeback management system default screen is the Chargeback Queries and My CB

Work Queue Query for all contact roles.

If there are already assigned cases in the MCA’s or MRA’s work queue, the Level 1 data will display

upon log on by either contact role.

EXCEL AND CSV DOWNLOAD

Where you see this symbol on your screen is a place where you can download the

information that you see on the screen into an Excel spreadsheet or CSV file.

19

The spreadsheet that you download into Excel will have all of the information in the same

columns as the Level 1 screen but now you are able to manipulate it as you need to reconcile

your company records to the information we have provided.

This is a great way to keep track of chargebacks that you have won!

20

PRINT DOWNLOAD

Where you see this symbol on your screen is a place where you can print and download

Case List, Case Data, and Case Data and Documents in PDF format.

Once you make a selection you will receive a pop-up window for printing documents. The data

selected to print will appear in the background. You will also see a default Print screen.

21

RETRIEVAL REQUESTS

22

PROCESSING FLOW

OVERVIEW

A retrieval request asks for additional information for an item appearing on a cardholder’s

billing statement. The additional information is requested by an Issuer usually on behalf of a

cardholder. Requests are identified by specific Retrieval Reason Codes.

In all networks, Issuers have the right to initiate a chargeback if the response to a retrieval request

is not timely or the information received is not legible or valid or the cardholder disputes the

charge after viewing the retrieval fulfillment.

VISA AND MASTERCARD

®

CARD-NOT-PRESENT RETRIEVAL REQUEST PROCESSING FLOW

The processing flow for a VISA and MasterCard

®

retrieval request for a card-not-present transaction

is illustrated below:

1. Issuer transmits the retrieval request electronically to Merchant Services

2. Incoming request is matched to the original sale transaction information stored in our Transaction

History database

3. Facsimile of the stored information is created and sent electronically to the Issuer within 2-3

business days

4. Issuer contacts the cardholder with the additional description

Issuer

sends

retrieval

request

Transaction

flows

through

Interchange

Merchant Services

receives

retrieval

request

Merchant Services

receives

chargeback

if

cardholder

continues

dispute

Merchant Services

captures

information

in

the

database;

attaches

descriptive

info;

retrieval

requests

are

returned

to

the

Issuer

within

2

-

3

business

days

23

5. Cardholder either agrees to accept the charge or to continue the dispute, at which point a

chargeback is initiated

DISCOVER CNP PROCESSING FLOW

The processing flow for a Discover Retrieval Request for a card-not-present

transaction is illustrated below:

1. Discover Network transmits the retrieval request electronically to Merchant Services

2. Incoming request is matched to the original sale transaction information stored in our Transaction

History database

3. Merchant Services captures the information and notifies the client via the Retrieval Activity (PDE-

0029) Report and opens a case in the online chargeback management system

4. Client sends copy of supporting documentation electronically to their Chargeback Analyst by the

Response Due Date (21 days)

5. If no response is received at Merchant Services by day 25, a facsimile of the stored information is

created and sent electronically to the Issuer

6. Issuer contacts the cardholder with the additional information

Discover

Network

Issuer

transmits

a

retrieval

request

Merchant Services

receives

the

retrieval

request

Merchant Services

captures

information

in

the

database,

notifies

the

client

on

the

Retrievals

Received

(

PDE

-

0029)

Report

Issuer

contacts

the

Cardholder

either

agrees

to

accept

or

initiate

a

chargeback

Merchant

Services

sends

information

from

the

client

or

stored

information

from

the database

to

Issuer

Client

sends

copy

of

supporting

documentation

electronically

to

the

CB

analyst

24

7. Cardholder either agrees to accept the charge or to continue the dispute, at which point a

chargeback is initiated

RETAIL RETRIEVAL REQUEST PROCESSING FLOW

The processing flow of a retrieval request for a retail transaction is illustrated below:

1. Issuer transmits the retail retrieval request electronically to Merchant Services

2. Incoming request is matched to the original sale transaction information stored in our Transaction

History database

3. Merchant Services captures the information in the database and notifies the client via the Retrieval

Activity (PDE-0029) Report and opens a case in the online chargeback management system

4. Merchant sends copy of sales slip (or other proof of sale) electronically to their Chargeback Analyst

by the Response Due Date

5. Response is sent to Issuer

6. Issuer notifies cardholder

25

7. Cardholder either agrees to accept the charge or to continue to dispute it, at which point a

chargeback is initiated

RESPONDING TO A RETRIEVAL REQUEST

RETAIL MERCHANTS:

• Obtain proper documentation at the time of sale

• Retain copies of transaction documents:

• VISA – minimum of 13 months

• MasterCard

®

– minimum of 13 months

• Discover – minimum of 36 months

• Develop efficient document storage to maximize retrieval of sales slips

• Respond to retrieval requests within the 21-day time frame

• Card associations require imprint or CVV2 (Visa)/CVC2(MC) be sent in the authorization record if the

mag-stripe cannot be read

ALL MERCHANTS:

• Ensure your merchant descriptor contains a recognizable merchant name, location and/or

customer service telephone number.

Please respond to a retrieval request even if you have already

issued a credit. Include a note or comment that you have issued a

credit in your response.

26

QUERY RESULT SCREEN COMPONENTS

LEVEL 1 DATA – FUNCTIONAL COMPONENTS

Queries run by either the MRQA or MRA will result in Level 1 data being displayed if there is data for

the query selected.

The functional and informational components on the Level 1 data screen include:

COMPONENT

DESCRIPTION

Retrieval Queries

Main menu for Retrievals based on role

My Retrieval Work

Queue

Secondary menu of available queries to run based on role

Run Query dropdown

selection box

Use to select or de-select all cases listed in the query

results

Menu of available

queries MRQA view:

My Retrieval Work Queue

Received

Decisioned by Merchant Services

Pending Merchant Services Decision

Management Queries

To Be Assigned

Work Tracker

Auto Assign Rules

Menu of available

queries MRA view:

My Retrieval Work Queue

Received

Decisioned by Merchant Services

Pending Merchant Services Decision

Management Queries

Work Tracker

27

LEVEL 1 DATA – FUNCTIONAL COMPONENTS, CONTINUED

COMPONENT

DESCRIPTION

Print Options

Menu of available print options:

n Case List

Case Data

n Case Data & Documents

Export Options

Menu of available export options:

n XLS n

CSV

Assign Selected To

dropdown

Menu of User IDs for contacts assigned the MRA Role at your

company. For example:

aname

jdoe

gtravel

Available Actions

Option to Disregard Retrieval Request is listed

Record Count

Total number of cases returned in the query

Jump to Row (GO)

Allows user to select and move to a row within Level 1

Refresh

Resets the screen to the original default screen

28

LEVEL 1 DATA– INFORMATIONAL COMPONENTS

The column headings that appear on the query results screen are described below.

COLUMN NAME

DESCRIPTION

Sequence #

Unique identifying number assigned by Merchant Services to the

retrieval request. There may be more than one case associated with a

retrieval but only one sequence # associated with a case

Account #

Credit card number

Merchant Order #

Merchant-assigned identifier

Method of Payment Code

Code indicating what Method of Payment was used in the transaction

Reason Code

Code representing the reason for the retrieval request

Due Date

Date by which the merchant must respond to the retrieval request

Amount (Presentment)

Amount of the retrieval request

Currency

Currency type designator

Company #

Identification of the Company under which the transaction was

processed

TD/ALT ID

Transaction division number under which the transaction was

processed or the Alternate ID used by some companies

Trace # (if debit RR)

A number assigned by the debit network associated to a transaction

Case Status Code

Current status of the case (See Appendix A)

Case Status Change Date

Date the current status was applied to the case

Assigned To

Merchant Retrieval Analyst (MRA) assigned to the case (blank if

unassigned)

29

LEVEL 2 DATA – FUNCTIONAL COMPONENTS

The Level 2 level or Case Information screen contains the following:

• Print and Available Actions buttons

• Company information CO, BU and TD name and number, Issuer Message, Report ID, Alt ID #,

Assigned To Merchant (if any)

• Case details, Sequence #, Initiated Date, Due Date, Case Status Code and Case Status Date

The following functionality is available:

COLUMN NAME

DESCRIPTION

Print Option

Used by both MRQAs and MRAs - select the appropriate option

from the pull down menu to create a PDF version of the

requested information and print

Available Actions

Used by MRA - to respond to the retrieval, select the appropriate

option. This action will change the Status and update the Case

Status Change Date of the case. Only those actions allowed by

your security access and those actions appropriate to the status

code of the case will be displayed

Choose...

When you want to...

Disregard Retrieval

Request

Accept the case

Request Fulfill

Request Merchant Services to fulfill

the retrieval by forwarding the

uploaded documentation to

Merchant

Services

30

LEVEL 2 DATA– INFORMATIONAL COMPONENTS

Details relating to the case appear below the header on the Dashboard Information screen:

• Company Number

• Business Unit Number

• Transaction Division Number

• Issuer Message

• + or - Sign to See TD Report ID, Alt ID, Assigned to Merchant User

• Retrieval Info

• Original Transaction Info

• Authorization Info

• Documentation

• Event History

• Related Transactions

The Retrieval Info, Original Transaction Information and Authorization Info all have a “Load

More” link that when clicked will expand the window with additional detail. An example of the

“Load More” information screen is displayed on the next page:

31

LEVEL 2 DATA– INFORMATIONAL COMPONENTS, CONTINUED

32

WORKING RETRIEVALS - THE MRQA ROLE

MRQA OPTIONS

The MRQA has the following options in the online chargeback management system:

• Assigning Retrieval cases to MRAs to be worked

• Creating rules for auto-accepting and auto-assigning cases

• Running Retrieval Request Queries

If the MRQA also has the MRA role assigned to them, they have all the MRA options

available in addition to those listed above.

ASSIGNING CASES TO AN MRA

The MRQA assigns cases to the MRA(s) from the Management Queries, using the To Be

Assigned query. Assigned cases will be removed from the To Be Assigned list and added to the

assigned MRA’s work queue.

33

case information

If all cases on the list are to be assigned to a single MRA, use the ALL checkbox

In the Assign Cases pull down menu, click on the User ID of the MRA to whom you are

assigning the case(s)

A verification box displays allowing you to submit the case assignment or to cancel it if

necessary

MRQA ROLE- CREATING AUTO-DECISION RULES

The MRQA is able to establish automatic rules for both accepting and assigning retrieval cases.

This action will insure timely acceptance or distribution of the retrieval cases governed by the

rules. To set-up rules, follow the steps below.

1

Follow

the

steps

below

to

assign

retrieval

cases

to

an

MRA.

Run

the

Retrievals

To

Be

Assigned

Query

Select

the

case(s)

to

be

assigned

to

an

MRA

by

clicking

on

the

box

to

the

left

of

the

1

2

4

3

34

3

Select

Auto

Assign

Rules

from

the

Management

Queries

To

display

the

Auto

Assign

Rules

page,

click

on

Create

New

tab

Complete

the

appropriate

fields

to

establish

the

rule

Use

the

+

or

–

sign

to

add

or

remove Rule

criteria

1

2

3

35

MRQA ROLE -CREATING AUTO-DECISION RULES, CONTINUED

Complete the appropriate fields to establish the rule:

• Rule Name (required)

• If the rule involves retrieval reason codes, select the codes from the drop down menu on the

Reason Code line. The selected reason codes will populate the field to the left. Multiple reason

codes may be selected. If the rule involves a Method of Payment (MOP), select the MOP from the

drop down menu on the MOP line. The selected reason codes will populate the field to the left.

Multiple MOPs may be selected

• If the rule involves an amount range, enter the beginning and ending value in the Retrieval

Amount fields

• If the person to whom cases are being auto-assigned has access rights for more than one

company, select the appropriate company number(s) from the pull down menu. The field to the

left will be populated with the selected number(s)

4 Select the Active radio button to activate the rule.

5 To apply the rule to accepting chargebacks, select the Accept radio button or to apply the rule

to assigning chargebacks, select the Assign radio button and select the MCA’s User ID from the

drop down menu. The User ID will populate the field to the right. Use the right or left arrows

to add or remove users

6 Click on Save to save the rule which will be applied on the next calendar day. The saved rules

will display on the Assign Auto Rules. Enter the run priority value for each rule.

The run priority of the established rules can be reset by entering the correct order number

in the Priority fields and clicking Update. The Cancel button will return the rules to the

original priority.

6

36

MRQA ROLE- EDITING OR DELETING A RULE

FOLLOW THE STEPS BELOW TO EDIT A RULE:

To Edit an established rule, click on the Row Number to bring up the maintenance

page.

Complete the changes to the appropriate fields and Save the changes.

FOLLOW

THE

STEPS

BELOW

TO

DELETE

A

RULE:

2

To

Delete

an

established

rule,

select

the

box

associated

to

the

Rule

and

click

the

Delete

Selected

Button.

1

37

MRQA ROLE– ACCEPTING RETRIEVALS FROM LEVEL 1

If an MRQA also has the MRA role assigned to them, the MRQA can accept (Disregard RR) any or

all of the cases listed on the Retrievals To Be Assigned screen. Accepted cases will be removed

from the Retrievals To Be Assigned queue. Clients often have an internal business process that

allows them to accept certain cases without review based on such criteria as amount, reason

code or status.

FOLLOW THE STEPS BELOW TO ACCEPT A CASE FROM LEVEL 1:

A verification box displays allowing you to submit the Disregard RR action or to cancel it if necessary.

1

Select

the

case(s)

to

be

accepted

by

clicking

on

the

checkbox(es)

on

the

left

of

the

screen

Select

the

Disregard

RR(s)

option

from

the

Available

Action(s)

pull

down

menu

2

1

2

38

MRQA ROLE– ACCEPTING RETRIEVALS FROM LEVEL 2

If an MRQA also has the MRA role assigned to them, the MRQA can accept (Disregard RR) any or all

of the cases listed on the Retrievals To Be Assigned (Merchant) screen. Accepted cases will be

removed from the Retrievals To Be Assigned queue. Clients often have an internal business process

that allows them to accept certain cases without review based on such criteria as amount, reason

code or status.

FOLLOW THE STEPS BELOW TO ACCEPT A RETRIEVAL FROM LEVEL 2:

A verification box displays allowing you to submit the Disregard Case action or to cancel it if necessary

Under

Available

Actions

-

select

Disregard

RR

Once

you

select

Disregard

RR

under

Available

Actions:

1

2

1

2

39

WORKING RETRIEVALS – THE MRA ROLE

MRA OPTIONS

MRAs have the following options available in the Retrieval Management Application:

• Disregard RR

• Request Fulfill

• Run Retrieval Request Queries

ACCESSING DETAILED RETRIEVAL REQUEST INFORMATION

From the My Retrieval Work Queue query, select the case

to be worked by clicking on the sequence number.

After you have reviewed a case and then returned to the

Level 1 screen, the sequence numbers of the cases you

have looked at will have changed color to help you

distinguish between cases you have and have not yet

reviewed.

The Case Information screen will display detailed Level 2 data.

To view additional data related to the Case, click on the Load More links under Chargeback

Information or Original Transaction. Review the detailed information to aid in making a decision

either to Disregard the RR or Fulfill.

Sequence

#

Sequence

#

163

40

ACCESSING DETAILED RETRIEVAL REQUEST INFORMATION, CONTINUED

Review the detailed information to aid in making a decision either to accept (Disregard RR) or to

Request Fulfill.

To assist in the process, the Related Transactions section provides links to the Paymentech

Online Transaction History application for information on sales, refunds, and authorizations, by

the same company for the same account number.

The Event History section displays a reverse chronological record of what actions were taken on

the selected retrieval. However, the Event Date column allows you to change the sort by clicking

on the drop down arrow to change the order of the sort. You can also reorder the columns by

clicking on the Columns drop down.

The + or - sign allow you to expand the Case Status section to see additional comments..

VIEWING SUPPORTING DOCUMENTS

To view the supporting documents for the retrieval case, click on the File Name under the

Documentation section.

41

The document will open in a separate browser window for viewing. To verify that your uploaded document

is correct, click on the icon in front of the file name. If the document is incorrect and or if it cannot be viewed

or opened, check to make sure it is a format type accepted by Merchant Services.

ACCEPTING A RETRIEVAL CASE

To accept a retrieval case, select Disregard RR from the

Available Actions drop down menu.

The Disregard RR screen will be displayed. As indicated on the screen, acceptance of the case removes

it from your work queue. Liability for the transaction is yours as a result of case acceptance. The

details of the case will be retained and can be viewed by doing a search query on the account number,

case ID or sequence number, among other parameters.

Comments, if any, may be entered in the Comments field prior to selecting the Submit Case button. The

Clear button will remove any comments entered. A Cancel button is available in the event it is needed.

Comments entered in the Comment Section of the Decision Screen will not go to the

Issuers. Comments are limited to 512 characters. If over the limit, a message will display.

This indicates the comment must be shortened. Only Merchant Services will be able to view

these comments. All uploaded documents will go to the Issuer. Cut and pasted comments

will be truncated and a message will be displayed.

42

REQUEST FULFILLMENT OF A CASE

To request fulfillment of a retrieval case,

you must be viewing the Level 2 data

Retrieval Information Screen. Follow the

steps below.

1 Scan the documentation, if necessary,

that supports the challenge decision

Select Request Fulfill from the

Available Actions drop down menu to

access the Request Fulfill Case screen

Add any comment(s) to support the

challenge

Use the Browse button to locate the

document to be uploaded:

issuing bank6

Do not upload any password

protected documents as they

cannot be opened or sent to the

issuing bank

File names may only contain:

- Letters A through Z (uppercase and

lowercase permitted)

- Numbers 0-9

- Dash (-)

- Underscore (_)

- Period (.)

- File name length of 220

Characters or less

- We recommend no space or special characters

The ending of the file, which indicates the type of file format, should not be changed. It should

remain as system generated, if you change this you run the risk that your document will not be sent

back to the card holder special characters

REQUEST FULFILLMENT OF A CASE, CONTINUED

4

3

4

5

6

2

43

This action removes the case from the MRA’s Work Queue and notifies the Merchant Services analyst

of the request to fulfill the retrieval.

The Request Fulfill action and merchant comments, if any, are added to the Event History for the case.

WORKING A FULFILL REQUEST THAT HAS BEEN DECLINED BY MERCHANT SERVICES

Once you have requested fulfillment (FFR) of a retrieval request case, Merchant Services reviews the

uploaded documentation. If something is missing or invalid, the fulfill request will be declined and the

case status code changed to RR_DEC.

All declined cases will be listed in the Work Queue with the reason for the decline apparent in the Event

History section on the Case Information screen.

If you can correct the problem and upload the complete and valid documentation, you can

resubmit the request for fulfillment. If you cannot correct the problem, a chargeback may occur

due to non-fulfillment of the Retrieval Request.

44

FULFILLING A RETRIEVAL

See System Requirements and Supporting Documentation Format section for Documentation formats

and size

Image files should be sent in black and white. Color files do not always transmit correctly, leaving

images blurred and illegible. Illegible files can be declined by the card brands

MasterCard

®

HAS A MAXIMUM PAGE LIMITATION OF 3 PAGES FOR RETRIEVAL REQUESTS. IF YOU

UPLOAD MORE THAN 3 PAGES, ONLY THE FIRST 3 WILL BE SENT TO THE ISSUER

1 Select Browse to upload the document into the Chargeback Management application

2 Continue to upload any additional documents. A maximum of 3 documents can be uploaded

3 Click on Submit

ONCE THE FULFILLMENT IS SUBMITTED, A SUCCESS BUTTON WILL APPEAR AND WILL

MOVE THE USER BACK TO THE LEVEL 1 SCREEN.

Verify the uploaded document(s) can be viewed and opened and the information is appropriate.

RETRIEVAL QUERIES

QUERY MENU

The chargeback management system provides you with a number of query options.

Details on Retrieval and Advanced Search are found below.

QUERY

DESCRIPTION

STATUS VIEWED

STATUS

CODE

ADDITIONAL QUERY CRITERIA

My Retrieval

Work Queue

Lists retrieval cases that

have been assigned to the

user viewing the work queue

RR Received

RR_REC

Due date has not passed

RR Declined

RR_DEC

Expiration date has not passed

Retrievals

Decisioned by

Paymentech

Displays a list of cases for

which Merchant Services has

reached a decision

RR Fulfilled

RR_FFL

Expiration date has not

passed

RR Auto Fulfilled

RR_AFL

Expiration date has not passed

RR Declined

RR_DEC

Expiration date has not passed

Retrievals Pending

Paymentech

Decision

Lists all retrieval cases

currently awaiting a decision

by Merchant Services

RR Fulfill

Requested

RR_FFR

45

Retrievals

Received

o Lists all retrieval cases

received from Issuers

o No action has been taken

on these cases by

Merchant Services

o A client may begin to

work cases on the list

before they are assigned

to their individual work

queue

RR Received

RR_REC

Due date has not passed

Management

Query

Work Tracker for

MRA Role only

RETRIEVALS SEARCH QUERIES

The Advance Chargeback Search is used to perform a search for a particular retrieval transaction by

date or amount or for a group of like transactions, such as all transactions within a date range or

within an amount range or with a particular status code.

46

SEARCH SCREEN AND FIELD DEFINITIONS

FIELD

DESCRIPTION

Sequence #

Unique number assigned by Merchant Services that identifies the transaction in

our internal system. Input one or more, separated by commas.

Merchant Order #

Order number assigned by the client and submitted to Merchant Services

with the original transaction record. Input one or more, separated by

commas.

Digital Token Method

Replaces Account Number based on Client processing.

Due Date (to/from)

Date by which challenge to an item (if any) must be received by

Merchant Services.

Case Status Change

Date (to/from)

Most recent date on which action was taken that changed the Status Code on the

chargeback case.

Account #

Credit card number. Input one or more, separated by commas.

Company #

Number assigned to Client.

Assigned to

(Merchant)

Merchant Services Online User ID of the Merchant CB Analyst. Input one or more,

separated by commas.

Case Status

Predefined status for a chargeback case representing an action taken. A drop

down menu is provided of all possible statuses. Input one or more, separated by

commas.

Selecting statuses from the drop down will enter them into the criteria box for

you.

Chargeback Amount

Amount of chargeback in Presentment currency. Enter a single amount or a

range of amounts.

Currency

Currency Code of Presentment amount. Select one or more currency codes

from the drop down menu.

Merchant Reference #

The rolling sequential identifier assigned by the Chase Merchant Services and

embedded in the ARN.

Association Case #

Case number assigned to this chargeback item by the card association.

Examples are VISA and PayPal.

Initiated Date

Date the chargeback was initiated by the Issuer. Enter a single date or date

range.

TD

Transaction Division which chargeback applies.

Method of Payment

Method in which payment was applied for the transaction. Visa, MC, Discover,

etc.

Ticket #

Unique field for the Airline Industry to search by Ticket #.

47

Reason Code

The code applied to the Retrieval as specified by the Payment Brands.

Acquirers Reference #

Case number assigned to this chargeback item by the card association.

Examples are VISA and PayPal.

RUNNING ADVANCE RETRIEVAL SEARCH QUERIES

FOLLOW THE STEPS BELOW TO RUN AN ADVANCE SEARCH QUERY:

Click on Advanced Search drop down menu to display the Search Criteria screen

The Reset button allows you to clear information entered in the fields for the search

Enter the information in one or more fields to help narrow and define your query results

Click on Search

The query results will be displayed as Level 1 data

NOTE: To perform a new search, click on the Reset button to remove data from prior search criteria.

1

2

3

4

2

3

1

2

48

RUNNING ADVANCE RETRIEVAL SEARCH QUERIES –

USING ADDITIONAL SEARCH CRITERIA

The Advanced Search option provides many more parameters to use in narrowing your search.

Click on Advanced Search drop down menu to display the Search Criteria screen and select

Additional Search Criteria

The Reset button allows you to clear information entered in the fields for the search

2 Enter the information in one or more fields to help narrow and define your query results

Click on Search

The query results will be displayed as Level 1 data

1

2

3

4

1

2

3

49

HEALTHCARE IIAS RETRIEVALS REQUESTS

50

HEALTHCARE IIAS RETRIEVALS REQUESTS OVERVIEW

Healthcare benefit cards, typically referred to as FSA (Flexible Spending Account) or HRA

(Healthcare Reimbursement Account) debit cards are payment cards that consumers use for

qualifying medical expenses like prescriptions, over the counter medications, vitamins, durable

medical equipment, or medical supplies using monies allocated to special, pre-tax funded

accounts that are generally part of their employer sponsored health benefit plan.

These transactions, like regular payment card transactions are subject to retrieval requests

however, due to HIPPA and IRS rules, the requirement for storing transaction information as well

as fulfilling the request is somewhat unique.

• First, IIAS retrieval requests may occur up to 4.5 years from the date of the original transaction.

• Second, the way in which businesses are required to fulfill the request is different from typical

bankcard retrievals such that the response must go directly to the Card-Issuer and not through

Chase Commerce Solution. As a result of the IRS requirements, Chase Merchant Services has

modified its chargeback system and procedures to accommodate merchants who may be the

recipient of an IIAS retrieval request.

IIAS TRANSACTIONS IN THE ONLINE CHARGEBACK

MANAGEMENT SYSTEM

Healthcare IIAS retrieval requests will be found in the online chargeback management system in

the same manner as all other retrieval requests. They are easily recognized as IIAS transactions in

both the Tier 1 and Tier 2 screens by reviewing the Reason Codes listed. The Reason Codes 27

(VISA) and 43 (MasterCard

®

) will identify the transaction as an IIAS retrieval request.

See the screen shots below for examples of where to find these new codes.

It is important that you respond via the fax numbers for these transactions. Due to HIPPA

laws, your Chase Merchant Services Chargeback Analyst will not be reviewing these requests.

They must be sent directly to the requesting Issuer. If any information is sent to Chase

Merchant Services it will be shredded immediately due to confidentiality.

51

IIAS TRANSACTIONS IN THE ONLINE CHARGEBACK

MANAGEMENT SYSTEM, CONTINUED

VISA LEVEL 1 SCREEN

FULFILLING IIAS RETRIEVAL REQUESTS

The Request Fulfill decision window will behave in the same manner for IIAS transactions as they

do for other transactions. There is no need to supply comments for these.

At the bottom of the Retrieval Info screen you will need to check off the “Supporting

Documentation has been faxed to the Issuer” box that will trigger the system to update the case

status. Then change the Available Actions dropdown to “Request Fulfill”. If you do not first click on

the check box you will receive the following error message “You must indicate that the Supporting

documents were faxed to the Issuer”.

If you do not check this box, the retrieval will be considered open and not fulfilled as Chase

Merchant Services has no other method of knowing if you have fulfilled the request with the

Issuer.

MASTERCARD

®

LEVEL

1

SCREEN

52

IIAS TRANSACTIONS IN THE ONLINE CHARGEBACK

MANAGEMENT SYSTEM, CONTINUED

See the following screen shots for VISA and MasterCard

®

examples of this:

VISA IIAS TRANSACTION RETRIEVAL REQUEST:

1 The Issuer Contact Information

The check box to indicate the Supporting Documentation has been faxed to the

Issuer

2 A warning message will appear if the Supporting Documents check box is left blank

• You must indicate that the Supporting Documents were faxed to the Issuer

1

Warning:

You

must

indicate

that

the

supporting

documents

were

faxed

to

the

Issuer

1

2

3

53

IIAS TRANSACTIONS IN THE ONLINE CHARGEBACK

MANAGEMENT SYSTEM, CONTINUED

MASTERCARD

®

IIAS TRANSACTION RETRIEVAL REQUEST:

1 The Issuer Contact Information

2 The check box to indicate the Supporting Documentation has been faxed to the

Issuer

3 A warning message will appear if the Supporting Documents check box is left blank

• You must indicate that the Supporting Documents were faxed to the Issuer

Warning:

You

must

indicate

that

the

supporting

documents

were

faxed

to

the

Issuer

1

2

3

RETRIEVAL WORK TRACKER

WORK TRACKER

The Work Tracker Queue allows the user to input specific data to display chargebacks that have been

worked on or responded to with a specific time period in the current day.

Input the criteria you would like applied to the query.

NOTE: For MRA Role the User ID will default under User Name field. The selection, Auto Assign Rules, only

applies to the MRQA Role

RETRIEVAL WORK TRACKER, CONTINUED

FIELD

DESCRIPTION

User Name

The name of the person who Decisioned the case, not the person

it is/was assigned to, multiple selections may be made.

This is a required field (MRA user names will auto-populate

when they utilize this query, they will not have the drop

down menu).

Decision Start

Start Date and time (if applicable) that the cases were decisioned.

If no time is provided, a time of 12:00:00 am is assumed.

This is a required field.

Decision End

Ending Date and time (if applicable) that cases were decisioned. If

no time is provided, a time of 11:59:59 pm is assumed.

This is a required field.

Reason Code

Standard list of reason codes.

Action(s)

Disregard RR and Request Fulfill.

Case Status

Write in the appropriate Case Status Code for your search.

RETRIEVAL WORK TRACKER, CONTINUED

When you have entered all of the information to narrow down your search, select the “Search” button.

When doing a query, it is possible that a retrieval worked during the specified time period

could change multiple times during the time period.

Example: When searching on “aname”, you can see that “aname” fulfilled a retrieval at 9 am

even though “mmouse” fulfilled it at 2 pm.

RETRIEVAL WORK TRACKER, CONTINUED

SEARCH RESULTS

From this query, you are able to review what was worked on and adjust as needed (as long as no

actions have been taken by Merchant Services on the case). Although you can work on cases from

this query, it is not recommended. Only cases that have been worked on by an MRA will be

selected to display in this query. The query will not track case assignment.

MRQA’s will have access to view all users when utilizing this feature. MRAs will have access to

their own user name only.

CREDIT CHARGEBACKS

CHARGEBACK OVERVIEW:

A chargeback is the reversal of a transaction that arises from a processing technicality, a customer

dispute, or fraudulent activity. It is a violation of a card association rule or regulation for which a

specific reason code has been established. Merchant Services works as your partner to help

manage and process the chargebacks you receive. A dedicated chargeback analyst is assigned to

your company when you first start sending us files. In this way, the analyst becomes familiar with

your company and you have a specific person to contact when necessary.

Associations regulate the processing of charged back transactions through their list of reason

codes and processing timeframes. They also dictate the number of times a chargeback can be

represented to the Issuer.

Detailed reporting is available on the Chargeback Activity Detail (PDE-0017) report including received,

represented, returned to merchant and successful recourse items. A financial summary provides a

snapshot of your chargeback inventory status as of the reporting date. The financial net impact of

chargeback activity is also included on your Deposit Activity Summary (FIN-0010) and any associated

charges and processing fees are found on the Service Charge Detail (FIN-0011).

There are also reports that track monthly summary data and chargebacks won and lost.

Samples and field definitions for these analysis reports are found in the Appendix B.

VISA AND MASTERCARD

®

CHARGEBACK CATEGORIES

Chargebacks received from VISA and MasterCard

®

Issuers fall into two categories

• Technical

• Customer Dispute

Technical Chargebacks are initiated by the Issuer for authorization or processing related reasons

with no cardholder participation, such as:

• Information requested in a retrieval request was not received or was illegible or invalid

• Authorization number is missing or has been declined

• Invalid account number was used

• Late presentment of the original transaction

• Duplicate transactions

Customer Dispute Chargebacks result when a cardholder refuses to accept responsibility for

a charge appearing on their card billing statement. The cardholder contacts the Issuer

indicating that they:

• Are disputing a specific charge for specific reasons (such as ordered merchandise or a service was never

received, the product or service was not what was originally described, or the purchase was not authorized

by the cardholder)

• Have attempted to resolve the situation with the client (unless fraud). Once the Card-Issuer has been

contacted and received any required documents, the Card-Issuer credits the cardholder’s account and

electronically submits the chargeback transaction bearing a specific reason code to Merchant Services.

TECHNICALCHARGEBACK WORKFLOW

Below is an illustration and discussion of the work flow for a technical chargeback/dispute:

Issuer

disputes

the

transaction;

sends

the

chargeback

electronically

Transaction

flows

through

the

Interchange

Merchant Services

receives

the

chargeback

Client

is

notified

of

the

chargeback

activity

Auto - represent

-

or

Auto – Pre- arbitration

Forwarded

to

Merchant Services

for

further

research

Auto

-

return

to

merchant

(

)

RTM

Merchant Services

matches

the

chargeback

to

Transaction

History

and

records

in

the

chargeback

system,

then

one

of

three

actions

occurs:

•

Auto

-

represent

•

Auto

-

Pre

-

arbitration

•

Forward

to

the

CB

queue

•

Auto

-

return

TECHNICAL CHARGEBACK WORKFLOW, CONTINUED

The following action steps are taken when processing a technical chargeback/dispute:

Issuer disputes transaction for processing or authorization reasons and initiates a chargeback

electronically and sends to the debit network

Chargeback flows through card association network

Merchant Services receives the chargeback electronically

Chargeback transaction is compared to the original sale transaction information stored in

our Transaction History database

If information to support representment is located, this information is attached to the

chargeback transaction which is then returned or represented to the Issuer

If information is found that the transaction is not valid, the chargeback is auto-returned to

the merchant

If insufficient information to support representment is found, the chargeback transaction is

forwarded to your assigned analyst for further analysis

Chargeback Activity (PDE-0017) report is generated showing all chargeback activity for the

reporting period, and a case is opened in the online chargeback management system for

the item

STEP

ACTION

1

2

3

4

O

R

O

R

6

CUSTOMER DISPUTE CHARGEBACK WORK FLOW

Below is an illustration and discussion of the work flow for a customer dispute chargeback:

Customer

disputes

a

charge

on

the

billing

statement

Issuer

sends

chargeback

the

e

l

e

c

tr

o

n

ica

l

y

Transaction

flows

through

the

Interchange

Commerce

Solutions

receives

the

chargeback

Auto

-

represent

or

Auto

-

pre

-

arb

Merchant

notified

of

chargeback

activity

Forwarded

to

the

chargeback

queue

Auto

-

return

to

merchant

(

RTM

)

Chase

Commerce

Solutions

matches

chargeback

to

Transaction

History

and

records

in

the

chargeback

system,

then

one

of

three

actions

occurs:

Auto

-

represent/pre

-

arb

Forward

to

the

CB

queue

Auto

-

return

CUSTOMER DISPUTE CHARGEBACK WORK FLOW, CONTINUED

The following action steps are taken when processing a customer dispute chargeback/dispute:

Issuer obtains appropriate paperwork from customer

Issuer initiates an electronic chargeback and forwards paperwork to Merchant Services

Chargeback flows through the association Network

Chase Merchant Services receives the chargeback and appropriate Issuer

documentation

Chargeback transaction is compared to the original sale transaction information stored in

our Transaction History database

If information to support representment is located, this information is attached to the

chargeback transaction which is then returned or represented to the Issuer

If insufficient information to support representment is found, the chargeback transaction is

forwarded to your assigned analyst for further analysis

Chargeback Activity (PDE-0017) report is generated showing all chargeback activity for

the reporting period, and a case is opened in the online chargeback management system

for the item

STEP

ACTION

1

Customer disputes a transaction on their billing statement

2

3

4

5

6

7

O

R

8

DISCOVER CHARGEBACK CATEGORIES

Chargebacks received from Issuers fall into three categories for Discover:

• Processing error

• Service

• Fraud

Processing Error Chargebacks are initiated by the Issuer for authorization or processing related

reasons with no cardholder participation, such as:

• Information requested in a retrieval request was not received or was illegible or invalid

• Authorization number is missing or has been declined

• Invalid account number was used

• Late presentment of the original transaction

• Duplicate transactions

Service Chargebacks result when a cardholder refuses to accept responsibility for a charge appearing

on their card billing statement. The cardholder contacts the Issuer indicating that they:

• Are disputing a specific charge for specific reasons (such as ordered merchandise or a service was never

received, or the product or service was not what was originally described)

• Have attempted to resolve the situation with the client

Once the Card-Issuer has been contacted and received any required documents, the Card-

Issuer credits the cardholder’s account and electronically submits the chargeback transaction

bearing a specific reason code to Merchant Services.

Fraud Chargebacks result when a cardholder or Issuer believes that fraudulent activity may have

been performed with the account. The cardholder contacts the Issuer indicating that they

• Are disputing a specific charge for specific reasons (such the purchase was not authorized by the

cardholder)

Fraud reason codes require the Issuer to forward documentation which might include cardholder

executed affidavits and supporting letters or secured email from the cardholder.

RETURN TO MERCHANT WORKFLOW

When Merchant Services has insufficient information to represent a chargeback, it is sent to your

Chargeback Analyst. Your analyst will research to determine if the chargeback can be

represented. If there is no support for representment, the chargeback is returned to the

merchant.

Recourse

When you decide to request recourse for (or challenge) a chargeback that has been returned to you,

Merchant Services recommends the following:

Prior to responding,

• Note the “Due Date” which is located near the top of the Chargeback Document. Merchant Services must

receive the recourse request by that date in order to be considered for possible representment

• Read the recommendations by reason code in the Chargeback Reason Code Reference Guide and the

Chargeback Analyst’s comments that appear online in the Chargeback Management application

• Make note of the reason code to determine if you have the appropriate supporting documentation to send

with the recourse request

Then,

• Upload clear and legible copies of the supporting documentation in an acceptable file format See System

Requirements and Supporting Documentation Format section for Documentation formats and size

• Add any comments that may assist the Chargeback Analyst (512 character limit). These comments are only

viewable by you and Merchant Services. They will not be sent to the issuer.

• If your comments need to be sent to the Issuer, please scan or upload

• To ensure successful uploads, all files uploaded to the chargeback system must conform to the

following standards:

• File names may only contain:

o A through Z (uppercase and lowercase permitted)

o 0 through 9

o Dash (-)

o Underscore (_)

o File name length including path of 220 characters or less

o Period (.)

Attempts to upload files that fall outside of these parameters will result in an error message.

(Refer to the Using the Chargeback Management Application section of this document for addition

information on the procedure for challenging a returned to merchant chargeback)

Recourse Denied

It is recommended that Clients query for any denied recourse requests on a daily basis because

they do not show up on the PDE-0017 report. The recourse cases may have been denied because

the supporting documentation was not valid or adequate or the Chargeback Analyst may need

more information or an explanation in order to represent the case.

To do this, the user selects “Advanced Search” then enters the following data for these fields:

Case Status Change Date: Yesterday’s date

Case Status: CB_RCD, CB_DRE, 2C_RCD

68

CHARGEBACK LIFECYCLES

The life cycles of chargebacks are illustrated below.

VISA, MasterCard

®

and Discover allow only one representment.

VISA

1 st Presentment to Issuer

Original transaction

Issuer initiates chargeback on the original transaction

Merchant Services returns the full or partial amount of the

chargeback to the client

Incoming Pre-Arbitration/

Arbitration

Merchant Services returns the full or partial amount of the

chargeback to the Issuer as invalid

Incoming Pre-Arbitration

(Collaboration disputes only)

The Issuer initiates a Pre-Arbitration or Arbitration case if

they do not accept the representment.

STEP

ACTION

DESCRIPTION

1

2

Chargeback

3

Return

to

Merchant

O

R

4

69

CHARGEBACK LIFECYCLES,CONTINUED

The life cycles of chargebacks are illustrated below.

VISA, MasterCard

®

and Discover allow only one representment.

MasterCard

®

Merchant Services returns the full or partial amount of the

chargeback to the client

Merchant Services returns the full or partial amount of the

chargeback to the Issuer as invalid

Issuer rejects the representment and sends a

Pre_Arbitration to Merchant Services

Incoming Pre-

Arbitration/Arbitration

Issue initiates a Pre-Arbitration case if they do not accept

the representment

STEP

ACTION

DESCRIPTION

1

st

Presentment

to

Issuer

Original transaction

2

1

st

Chargeback

Issuer initiates chargeback on the original transaction

3

Return

to

Merchant

O

R

Representment

4

Pre-Arbitration

O

R

70

Arbitration

Merchant Services denies the Pre-Arbitration and requires

the payment brand to make a decision

CHARGEBACK LIFECYCLES,CONTINUED

The life cycles of chargebacks are illustrated below.

VISA, MasterCard

®

and Discover allow only one representment.

Discover

Merchant Services returns the full or partial amount of the

chargeback to the client

Merchant Services returns the full or partial amount of the

chargeback to the Issuer as invalid

Issuer initiates a Pre-Arbitration or Arbitration case if they do

not accept the representment

5

STEP

ACTION

DESCRIPTION

1

st

Presentment

to

Issuer

Original

transaction

2

Chargeback

Issuer initiates chargeback on the original transaction

3

Return

to

Merchant

O

R

Representment

Request

4

Incoming

Pre

-

Arbitration/

Arbitration

71

If Merchant Services submits a representment request on

behalf of the client and Discover denies the request, an

arbitration case can be submitted

5

Outgoing

Arbitration

72

SECOND CHARGEBACK NOTES

If cardholder continues to dispute a transaction by not accepting the representment for –

MasterCard

®

:

• Item is returned to Merchant Services

• Chargeback Analyst reviews item and either

o Submits an outgoing Pre-Arbitration to Issuer if warranted

o Returns it to Merchant to be accepted

VISA and Discover:

• No second chargeback right exists

• In-coming Pre-Arbitration or Arbitration takes the place of a second chargeback

o

(See Exception Processing section for further detail)

Partial Representment / Partial Return To Merchant

VISA, MasterCard

®

and Discover support partial representment of chargebacks when only a

portion of the charged back amount qualifies for representment. The balance of the amount will

be returned to the merchant. The amount split is indicated on the standard chargeback reporting

and in the online chargeback management system.

VISA, MasterCard

®

, and Discover allow the Acquirer only one representment.

Issuer

by

Merchant Services

73

QUERY RESULT SCREEN COMPONENTS

LEVEL 1 DATA – FUNCTIONAL COMPONENTS

Queries run by either the IQA or MCA will result in Level 1 data being displayed if there is data

for the query selected.

The functional and informational components on the Level 1 data include the following:

COMPONENT

DESCRIPTION

Chargeback Queries

Primary menu for Chargeback Queries based on Role

My CB Work Queue

Secondary menu of available queries to run by Role

Check all box

Use to select or de-select all cases listed in the query results

Run Query Drop Down

Menu of available

queries

(IQA view)

My CB Work Queue

Received

Decisioned by Paymentech

Pending Paymentech Decision

Expired Returned to Merchant (RTM)

Aging Detail

Management Queries

-To Be Assigned

-Work Tracker

-Auto Assign Rules

Run Query Drop Down

Menu of available

queries

(MCA view)

My CB Work Queue

Received

Decisioned by Paymentech

Pending Paymentech Decision

Expired Returned to Merchant (RTM)

Aging Detail

Management

Queries Work

Tracker

Accept CB(s) button

Used to accept selected Chargeback cases from the Level 1 data level

button

74

All case information is available for two years and Document Information is available for

six months from the last case status change date

LEVEL 1 DATA - FUNCTIONAL COMPONENTS, CONTINUED

COMPONENT

DESCRIPTION

Print

Options

Menu

of

available

print

options:

Case

List

Case

Data

Case

Data

&

Documents

Export

Options

Menu

of

available

print

options:

XLS

CSV

Assign

Selected

To

Drop

Down

Menu

of

User

IDs

for

contacts

assigned

the

MCA

Role

at your

company.

For

example:

Assign

Selected

to:

aname

jdoe

gtravel

Available

Actions

Option

to

Accept

CB’s

is

listed

Record

Count

Total

number

of

cases

returned

in

the

query

Jump

to

Row

(

GO

)

Allows

user

to

select

and

move

to

a

row

within

Level

1

Refresh

Resets

the

screen

to

the

original

default

75

LEVEL DATA 1 – INFORMATIONAL COMPONENTS

The column headings that appear on the query results screen are described below.

COLUMN NAME

DESCRIPTION

Sequence #

Unique identifying number assigned by Chase Merchant Services to

the chargeback. There may be more than one case associated with

a chargeback but only one sequence # associated with a case

Account #

Credit card number

Merchant Order #

Merchant-assigned identifier

Method of Payment Code

Shows the Method of Payment code for the original transaction

Reason Code

Code representing the reason for the chargeback

Due Date

Date by which the merchant must respond to the

retrieval request

CB Amount

Amount of the chargeback

Currency

Currency type designator

Company #

Identification of the Company under which the transaction was

processed

TD/ALT ID

Transaction division number under which the transaction was processed

or the Alternate ID used by some companies

Case Status Code

Current status of the case (See Appendix A)

Case Status Change Date

Date the current status was applied to the CB case

Assigned To

Merchant Chargeback Analyst (MCA) assigned to the CB case (may be

blank). This column will show the MCA’s Merchant Services Online Login

76

LEVEL 2 DATA – FUNCTIONAL COMPONENTS

The Level 2 level or Case Information screen contains the following:

• Assign to, Print and Available Actions buttons

• Company information (CO, BU and TD name/ID number, Alternate ID #)

• Case details (Sequence #, Case #, Issuer Message, if any, Due Date, Case Status Change

Date and Case Status)

77

LEVEL 2 DATA – INFORMATIONAL COMPONENTS

The following functionality is available:

COLUMN

NAME

DESCRIPTION

Print

Options

Used by both IQAs and MCAs - select the appropriate option from the drop down menu to

create a PDF version of the requested information and print using the PDF menu icon.

Available

Actions

Used by MCA - if you wish to respond to the CB from this screen, select the appropriate

action from the pull down menu. This action will change the Status and update the Case

Status Change Date. Only those actions allowed by your security access and those actions

appropriate to the status code of the case will be displayed.

Choose

When you want to

Accept

Used by the MCA to accept cases from the Case Information screen

Challenge

Used by MCA to challenge cases from the Case Information screen.

Requires user to upload and submit documentation in support of the

challenge.

Assign To

Used by the IQA to assign cases to an MCA from the Case Information

screen

Submit

Information

Used by MCA - if you wish to respond to the CB from this screen, select the

appropriate action from the pull down menu. This action will change the

Status and update the Case Status Change Date. Only those actions

allowed by your security access and those actions appropriate to the status

code of the case will be displayed.

LEVEL 2 DATA – INFORMATIONAL COMPONENTS

Details relating to the case appear below the header on the Dashboard Information screen:

• Company Number

• Business Unit Number

• Transaction Division Number

• Issuer Message

• + or - Sign to See TD Report ID, Alt ID, Assigned to Merchant User

• Chargeback Info

• Original Transaction Info

• Authorization Info

• Documentation

• Event History

• Related Transactions

The Chargeback Info, Original Transaction Info and Authorization Info all have a “Load More” link that

when clicked will expand the window with additional detail. An example of the “Load More” information

screen is displayed below:

78

LEVEL 2 DATA - INFORMATIONAL COMPONENTS,

CONTINUED

79

CHARGEBACKFUNCTIONS

Print Function

By clicking on the button you will receive a pop-up window where you will select Case

List, Case Data or Case Data and Documents to print.

Once you make a selection you will receive a pop-up window which the data selected to print

will appear in the background. You will also see a default Print screen.

80

WORKING CHARGEBACKS – THE IQA ROLE

IQA OPTIONS

The IQA has the following options in the chargeback management application:

• Assigning cases to MCAs to be worked

• Creating rules for auto-accepting and auto-assigning cases

• Running Queries

NOTE: If the IQA also has the MCA role assigned to them, they have all the MCA options in addition

to those listed above.

81

IQA ROLE - ASSIGN CASES TO AN MCA

The IQA assigns cases to the MCA(s) using the Chargebacks To Be Assigned query. Assigned

cases will be removed from the Chargebacks To Be Assigned list and will show in the appropriate

MCA’s work queue.

Note: If the chargeback is not already assigned, you can assign cases using the Assign

Selected To drop down box.

FOLLOW THE STEPS BELOW TO ASSIGN CB CASES TO AN MCA.

1

Run the Chargebacks To Be Assigned query (Chargebacks To Be Assigned query is now located

under Management Query)

Select the case(s) to be assigned to an MCA by clicking on the box to the left of the case information

IF

ALL

CASES

ON

THE

LIST

ARE

TO

BE

ASSIGNED

TO

A

SINGLE

MCA,

USE

THE

ALL

CHECKBOX.

In

the

Assign

Selected

To

pull

down

menu,

click

on

the User

ID

of

the

MCA

to

whom

you

are

assigning

the

case(s)

A verification box displays allowing you to submit the case assignment or to cancel it if necessary

1

2

3

4

82

IQA ROLE – CREATING AUTO–DECISION RULES

The IQA is able to establish automatic rules for both accepting and assigning chargeback cases.

This action will insure timely acceptance or distribution of the chargeback cases governed by the

rules. To set-up rules, follow the steps below.

1

Select

Auto

Assign

Rules

from

the

Management

Queries

NOTE:

The Rules maintenance page will appear if there are existing Rules created.

2

To display the Auto Assign Rules maintenance page, click on Create New tab

1

83

IQA ROLE – CREATING AUTO–DECISION

• Rule Name (required)

• If the rule involves a Method of Payment (MOP), select the MOP from the drop down menu on

the MOP line. The selected reason codes will populate the field to the left. Multiple MOPs may be

selected

• If the rule involves chargeback reason codes, select the codes from the drop down menu on the

Reason Code line. The selected MOPs will populate the field to the left. Multiple reason codes

may be selected

• If the rule involves an amount range, enter the beginning and ending value in the CB Amount

fields

• If the person to whom cases are being auto-assigned has access rights for more than one

company, select the appropriate company number(s) from the pull down menu. The field to the

left will be populated with the selected number(s)

4 Select the Active radio button to activate the rule

5 To apply the rule to accepting chargebacks, select the Accept radio button or to apply the

rule to assigning chargebacks, select the Assign radio button and select the MCA’s User ID

from the drop down menu. The User ID will populate the field to the right. Use the right or left

arrows to add or remove users

3

Complete

the

appropriate

fields

to

establish

the

rule

Use

the

+

or

–

sign

to

add

or

remove Rule

criteria

4

5

6

84

IQA ROLE – CREATING AUTO–DECISION RULES, CONTINUED

6 Click on Save to save the rule which will be applied on the next calendar day. The saved rules

will display on the Rules Wizard Page. Enter the run priority value for each rule

The run priority of the established rules can be reset by entering the correct order number

in the Priority fields and clicking Update. The Cancel button will return the rules to the

original priority.

85

IQA ROLE – EDITING OR DELETING A RULE

FOLLOW THE STEPS BELOW TO EDIT A RULE:

1 To Edit an established rule, click on the Rule Name to bring up the maintenance page.

Complete the changes to the appropriate fields and Save the changes

FOLLOW THE STEPS BELOW TO DELETE A RULE:

2 To Delete an established rule, select the box associated to the Rule and click the Delete

Sample Rules

FOR AUTO-ASSIGNING:

• All chargebacks between 0.00 and 99.99 to a specific MCA

• All chargebacks for division 99999 to a specific MCA

FOR AUTO-ACCEPTING:

• All chargebacks with reason code XX

• All chargebacks between 0.00 and 25.00

WHEN ENTERING AMOUNTS, DO NOT USE ANY CURRENCY SIGNS

86

IQA ROLE -ACCEPTING CHARGEBACKS FROM LEVEL 1

If an IQA also has the MCA role assigned to them, the IQA can accept any or all of the cases listed

on the Chargebacks To Be Assigned screen. Accepted chargeback cases will be removed from the

Chargebacks To Be Assigned queue. A business often has an internal business process that allows

them to accept certain cases without review based on such criteria as amount, reason code or

status. Follow the steps below to accept a chargeback.

FOLLOW THE STEPS BELOW TO ACCEPT A CASE FROM LEVEL 1:

Select the case(s) to be accepted by clicking on the checkbox(es) on the left of the screen:

1

2

Click

on

the

Accept

Button

CB(s)

button

3

A

verification

box

displays

allowing

you

to

submit

the

Accept

CB(s)

action

or

to

cancel

it

if

necessary

2

1

87

IQA ROLE - ACCEPTING CHARGEBACKS FROM LEVEL 2

If an IQA also has the MCA role assigned to them, the IQA can accept any or all of the cases

listed on the Chargebacks To Be Assigned screen. Accepted chargeback cases will be removed

from the Chargebacks To Be Assigned queue. The business often has an internal business

process that allows them to accept certain cases without review based on such criteria as

amount, reason code or status.

FOLLOW THE STEPS BELOW TO ACCEPT A CASE FROM LEVEL 2:

1

Under Available Actions – select Accept Item

2

1

Click

on

the

Accept

Button

-

A

verification

box

displays

allowing

you

to

submit

the

Accept

CB(s)

action

or

to

cancel

it

if

necessary

1

88

WORKING CHARGEBACKS – THE MCA ROLE

MCA OPTIONS

MCAs have the following options available in the chargeback management application:

• Accepting cases

• Challenging cases

• Submitting information upon request

• Running queries

89

MCA ROLE – ACCESSING DETAILED CHARGEBACK INFORMATION

The Chargeback Work Queue Query is the default screen for an MCA. If there are assigned cases

in the work queue, the Level 1 data will be displayed upon logon. Select the case to be worked by

clicking on the Sequence Number.

After you have reviewed a case and then returned to the Level 1 screen, the sequence numbers of

the cases you have looked at will have changed color to help you distinguish between cases you have

and have not yet reviewed.

The Dashboard Information screen will display detailed Level 2 data associated to the Case.

To view additional data related to the Case, click on the Load More links under Chargeback

Information or Original Transaction.

Review the detailed information to aid in making a decision either to accept the chargeback or to

challenge it.

90

MCA ROLE –ACCESSING DETAILED CHARGEBACK INFORMATION,

CONTINUED

To assist in the process, the Find Related section provides links to the Paymentech Online

Transaction History application for information on sales, refunds, authorizations, chargebacks

and/or retrievals processed by the same company for the same account number. You can also

search with the online chargeback management system for additional cases related to the

transaction.

The Event History section displays a reverse chronological record of what actions were taken

on the selected chargeback. However, the Event Date column allows you to change the sort by

clicking on the drop down arrow to change the order of the sort. You can also reorder the columns

by clicking on the Columns drop down.

The + or - sign allow you to expand the Case Status section to see additional comments.

A

B

91

MCA ROLE -VIEWING SUPPORTING DOCUMENTS

To view the supporting documents for the chargeback case, click on the File Name under the

Documentation section.

The Documentation section A of the screen is displayed with links to any Issuer documents

associated with the chargeback case as well as any documents uploaded by you during a

Challenge or Submit Info action. The Uploaded By column will display either the business or the

Issuer to denote who uploaded any supporting documentation.

The document will open in a separate browser window for viewing. To verify that your uploaded

document is correct, click on the icon in front of the file name. If the document is incorrect and

or if it cannot be viewed or opened, check to make sure it is a format type accepted by Merchant

Services.

A

92

MCA ROLE -ACCEPTING A CHARGEBACK

To accept a chargeback, select Accept Item from the Available Actions drop down menu.

The Accept Case screen will be displayed. As indicated on the screen, acceptance of the case removes

it from your work queue. The liability of a transaction is yours as a result of case acceptance. The

details of the case will be retained and can be viewed by doing a search query on the account number,

case ID or sequence number, among other parameters.

Comments, if any, may be entered in the Comments field prior to selecting the Accept Case

button. A Cancel button is available in the event it is needed.

Comments entered in the Comment Section of the Decision Screen will not go to the Issuers.

Comments are limited to 512 characters. If over the limit, a message will display. This indicates the

comment must be shortened. Only Merchant Services will be able to view these comments. All uploaded

documents will go to the Issuer.

Cut and pasted comments will be truncated and a message will be displayed.

A

Once

you

have

Accepted

the

case,

a

Success

Button

will

appear

at

the

top

of

the

Level

1

screen.

The

Level

2

screen

will

remain

open

on

the

case

you

Accepted.

93

MCA ROLE - CHALLENGING A CHARGEBACK

To challenge a chargeback, you must be viewing

the Level 2 data Chargeback Information screen.

Follow the steps below:

1 Scan the documentation, if necessary, that supports the challenge decision

2 Select Challenge Item from the

Available Actions drop down menu to

access the Challenge Case screen

3 Add any comment(s) to support the

challenge

4 Use the Browse button to locate the

document to be uploaded:

• Do not upload any password

protected documents as they cannot

be opened or sent to the issuing

bank

• File names may only contain:

- Letters A through Z (uppercase and

lowercase permitted)

- Numbers 0-9

- Dash (-)

- Underscore (_)

- Period (.)

- File name length of 220

Characters or less

- We recommend no space or special characters

• The ending of the file, which indicates the type of file format, should not be changed. It should

remain as system generated, if you change this you run the risk that your document will not be

sent back to the card holder

94

MCA ROLE - CHALLENGING A CHARGEBACK, CONTINUED

See System Requirements and Supporting Documentation Format section for Documentation

formats and size

• Image files should be sent in black and white. Color files do not always transmit correctly, leaving

images blurred and illegible. Illegible files can be declined by the card brands

MASTERCARD

®

HAS A MAXIMUM PAGE LIMITATION OF 18 PAGES FOR CHARGEBACKS AND 4 PAGES FOR

RETRIEVAL REQUESTS.

Select Open to upload the document into the Chargeback Management

application

Continue to upload any additional documents. A maximum of 10 documents can be uploaded

Click on Submit

A verification box displays allowing you to submit the challenged case or to cancel the action, if

necessary

ONCE THE CHALLENGE IS SUBMITTED, A SUCCESS BUTTON WILL APPEAR AND WILL MOVE THE USER

BACK TO THE LEVEL 1 SCREEN.

9 Verify the uploaded document(s) can be viewed and opened and the information is appropriate

Once the screen is refreshed, this action removes the case from the MCA’s Work Queue and

notifies the chargeback analyst of the challenge. The challenge action and any merchant

comments are added to the Event History for the case.

5

7

6

8

95

MCA ROLE -SUBMIT INFO

On occasion, your Merchant Services Chargeback Analyst requires additional information before they

can decision a chargeback case. These requests will appear in your work queue.

Follow the steps below to respond to a Submit Info request:

Select Open to upload the document into the Chargeback Management application

Verify the uploaded document can be opened and viewed and that it contains the correct

information

S

TE

P

ACTION

1

Gather

the

requested

information

2

Scan

any

documents,

if

needed,

for

the

response

3

On

the

Level

2

Data

screen,

select

Submit

Info

from

the

Available

Actions

pull

down

menu

to

display

the

Submit

Requested

Info

screen

Available

Actions...

Accept

Item

Submit

CB

Info

4

Add

response

comments

5

Use

the

Browse

button

to

locate

the

document(s)

to

be

uploaded,

if

applicable

6

7

Click

on

Submit

Case

8

96

MCA ROLE - SUBMIT INFO, CONTINUED

Once the requested information is submitted, the user is returned to the Level 1 level screen,

however Level 2 Case information will remain open.

Uploaded documents, comments and the status code change will be indicated in the Event History

section on the Level 2 data screen.

97

CHARGEBACK QUERIES

QUERY MENU

The chargeback management application provides you with a number of query options. Details on

Chargeback and Advanced search are found below:

QUERY

DESCRIPTION

My CB Work Queue

Log on default query. For MCAs: List of all chargeback

cases that have been assigned to the MCA

Received

List of all chargeback cases received

CBs Decisioned by Paymentech

List of all chargeback cases on which Chase Merchant

Services has reached a decision

Pending Paymentech Decision

List of all chargebacks currently awaiting a decision by

Chase Merchant Services

Expired Returned to Merchant

(RTM)

List of all returned to merchant chargeback cases with

expired timeframes

Aging Detail

Listing of cases by due date including the number of

days remaining to challenge

Management Queries

Contains sub-queries FOR IQAs: To Be Assigned and

Auto Assign Rules. Work Tracker available for all roles.

98

CHARGEBACK SEARCH QUERIES

The Advance Chargeback Search is used to perform a search for a particular chargeback transaction

by date or amount or for a group of like transactions, such as all transactions within a date range or

within an amount range or with a particular status code.

For Debit Queries - the Trace Number and PNS # field has been added under Advanced Search

99

CHARGEBACK SEARCH SCREEN AND FIELD DEFINITIONS

FIELD

DESCRIPTION

Sequence #

Sequence Number – unique number assigned by Merchant

Services that identifies the transaction in Commerce Solution’s

internal system. Input one or more, separated by commas

Merchant Order #

Order number assigned by the merchant and submitted to

Merchant Services with the original transaction record. Input

one or more, separated by commas

Digital Token Method

Replaces Account Number based on Merchant processing

Due Date (to/from)

Date by which challenge to an item (if any) must be received

by

Merchant Services

Case Status Change

Date (to/from)

Most recent date on which an action was taken that changed

the

Status Code on the chargeback case

100

CHARGEBACK SEARCH SCREEN AND FIELD DEFINITIONS, CONTINUED

FIELD

DESCRIPTION

Account #

Credit card number. Input one or more, separated by commas

Company #

Number assigned to Merchant

Assigned To (Merchant)

Paymentech Online User ID of the Merchant CB Analyst. Input one

or more, separated by commas. Selecting users from the dropdown

will enter them into the criteria box for you

Case Status

Predefined status for a chargeback case representing an action

taken. A drop down menu is provided of all possible statuses.

Input one or more, separated by commas. Selecting statuses from

the dropdown will enter them into the criteria box for you

Chargeback Amount

Amount of chargeback in Presentment currency. Enter a single

amount or a range of amounts

Currency

Currency Code of Presentment amount. Select one or more currency

codes from the drop down menu

Merchant Refer #

The rolling sequential identifier assigned by Chase Merchant

Services and embedded in the ARN

Association Case #

Case number assigned to this chargeback item by the card

association. Examples are VISA and PayPal

101

CHARGEBACK SEARCH SCREEN AND FIEL DEFINITIONS, CONTINUED

FIELD

DESCRIPTION

Initiated Date

Date the chargeback was initiated by the Issuer. Enter a single

date or date range

TD

Transaction Division which chargeback applies

Chargeback Cycle

Denotes first or second chargeback

Method of Payment

Method in which the payment was applied for the transaction.

Visa, MC, DI, etc.

Ticket #

Unique field for the Airline Industry to search by Ticket #

Reason Code

The code applied to the Chargeback as specified by the

Payment Brands

Acquirers Reference #

The rolling sequential identifier assigned by Merchant Services

and embedded in the ARN

Association Case #

23-digit reference number assigned to the transaction

by Merchant Services for Issuers and Acquirers to use

in identifying the transaction

Trace #

A number assigned by the debit network associated to a

transaction

PNS Merchant #

A payment processing number assigned to a merchant

during boarding

102

RUNNING ADVANCE CHARGEBACK SEARCH QUERIES

FOLLOW THE STEPS BELOW TO RUN AN ADVANCE SEARCH QUERY:

1 Click on Advanced Search dropdown menu to display the Chargeback Search screen

Reset button allows you to clear information entered in the fields for the search

2 Enter the information in one or more fields to help narrow and define your query results

3 Click on Search

4 The query results will be displayed as Level 1 data

NOTE: To perform a new search, click on the Reset button to remove data from prior search criteria.

2

3

103

RUNNING ADVANCE CHARGEBACK SEARCH QUERIES –

USING ADDITIONAL SEARCH CRITERIA

The Advanced Search option provides many more parameters to use in narrowing your search.

1 Click on Advanced Search dropdown menu to display the Chargeback Search

screen and select Additional Search Criteria

The Reset button allows you to clear information entered in the fields for the

search

2 Enter the information in one or more fields to help narrow and define your query

results

3 Click on Search

4 The query results will be displayed as Level 1 data

104

CHARGEBACK WORK TRACKER

WORK TRACKER

The Work Tracker Queue allows the user to input specific data to display chargebacks that have

been worked on or responded to with a specific time period in the current day.

Input the criteria you would like applied to the query.

CHARGEBACK WORK TRACKER, CONTINUED

105

FIELD

DESCRIPTION

User Name

The name of the person who Decisioned the case, not the person

it is/was assigned to, multiple selections may be made.

This is a required field (MCA user names will auto-

populate when they utilize this query, they will not have

the drop down menu)

Decision Start

Start Date and time (if applicable) that the cases were decisioned.

If no time is provided, a time of 12:00:00 am is assumed.

This is a required field

Decision End

Ending Date and time (if applicable) that cases were decisioned. If

no time is provided, a time of 11:59:59 pm is assumed.

This is a required field

Reason Code

Standard list of reason codes

Action(s)

Either Accepted or Challenged

Case Status

Write in the appropriate Case Status Code that you are searching

for

106

CHARGEBACK WORK TRACKER, CONTINUED

When you have entered all of the information to narrow down your search, select the “Search” button.

When doing a query, it is possible that a chargeback worked during the specified time period

could change multiple times during the time period.

Example: When searching on “aname”, you can see that “aname” accepted a chargeback at 9

am even though “mmouse” challenged it at 2 pm.

CHARGEBACK WORK TRACKER, CONTINUED

107

SEARCH RESULTS

From this query, you are able to review what was worked on and adjust as needed (as long as no

actions have been taken by Merchant Services on the case), though you can work on cases from

this query, it is not recommended. Only cases that have been worked on by an MCA will be

selected to display in this query. The query will not track case assignment.

IQAs will have access to view all users when utilizing this feature. MCAs will have access to

their own user name only.

108

DEBIT CHARGEBACKS

109

OVERVIEW

Similar to a credit chargeback, a debit chargeback is the reversal of a transaction that arises from a

processing technicality, a customer dispute, fraudulent activity, or is a violation of a debit network

rule or regulation for which a specific reason code has been established. Commerce Solution

works as your partner to help manage and process the debit chargebacks you receive. A dedicated

chargeback analyst is assigned to your company when you first start sending us files. In this way,

the analyst becomes familiar with your company and you have a specific person to contact when

necessary.

The debit networks regulate the processing of charged back transactions through their list of

reason codes and processing timeframes. They also dictate the number of times a chargeback

can be represented to the Issuer. It is important to note, that any debit chargeback initiated by

the Client cannot be represented. Only Issuer initiated debit chargebacks can be challenged

and represented.

Detailed reporting is available on the Debit Adjustment Detail (PDE-0036) report. The financial net

impact of debit chargeback activity is also included on your Deposit Activity Summary (FIN-0010)

and any associated charges and processing fees are found on the Service Charge Detail (FIN-0011).

A sample and field definitions for this report can be found in Appendix B.

110

Chargebacks received from the debit networks fall into two categories:

• Technical

• Customer Dispute

Technical Chargebacks are initiated by the Issuer for authorization or processing related reasons

with no cardholder participation, such as:

• Information requested in a retrieval request was not received or was illegible or invalid

• Authorization number is missing or has been declined

• Invalid account number was used

• Late presentment of the original transaction

• Duplicate transactions

Customer Dispute Chargebacks result when a cardholder refuses to accept responsibility for a

charge appearing on their card billing statement. The cardholder contacts the Issuer indicating that

they:

• Are disputing a specific charge for specific reasons (such as ordered merchandise or a service

was never received, the product or service was not what was originally described, or the

purchase was not authorized by the cardholder), and

• Have attempted to resolve the situation with the client (unless fraud). Once the debit network

has been contacted and received any required documents, the debit network credits the

cardholder’s account and electronically submits the chargeback transaction bearing a specific

reason code to Merchant Services.

111

TECHNICAL DEBIT CHARGEBACK WORKFLOW

Below is an illustration of the work flow for a technical debit chargeback:

Represent

&

Auto

-

represent

Forwarded

to

the

chargeback

queue

Issuer

disputes

transaction;

sends

chargeback

to

the

Debit

Network

Transaction

flows

through

the

Debit

Network

Merchant Services

receives

debit

chargebacks,

captures

and/or

returns

info

in

d

a

t

a

b

a

s

e

,

no

t

i

f

ie

s

the

client

in

online

system

and

reporting

The

client

is

notified

of

the

chargeback

activity

Auto

-

return

to

merchant

(

RTM

)

Merchant Services

matches

chargeback

to

Transaction

History

and

records

in

the

Chargeback

System,

then

one

of

three

actions

occur:

Auto

-

represent

Forward

to

the

CB

queue

Auto

-

return

112

TECHNICAL DEBIT CHARGEBACK WORK FLOW (CONTINUED)

Below is a discussion of the work flow for a technical debit chargeback:

Issuer disputes transaction for processing or authorization reasons and initiates a chargeback

electronically and sends to the debit network

Chargeback flows through the debit network

Merchant Services receives the chargeback electronically

Chargeback transaction is compared to the original sale transaction information stored in

our Transaction History database

If information to support representment is located, this information is attached to the

chargeback transaction which is then returned or represented to the Issuer

If insufficient information to support representment is found, the chargeback transaction is

forwarded to your assigned analyst for further analysis

Debit Adjustment Activity (PDE-0036) report is generated showing all chargeback activity for

the reporting period, and a case is opened in the online chargeback management system

for the item

STEP

ACTION

1

2

3

4

O

R

If

information

is

found

that

the

transaction

is

not

valid,

the

chargeback

is

auto

-

returned

to

the

merchant

O

R

6

113

CUSTOMER DISPUTE DEBIT CHARGEBACK WORK FLOW

Below is an illustration of the work flow for a customer dispute chargeback:

114

CUSTOMER DISPUTE DEBIT CHARGEBACK WORK FLOW, CONTINUED

Below is a discussion of the workflow for a customer dispute chargeback:

Issuer obtains appropriate paperwork from customer

Issuer initiates an electronic chargeback and forwards paperwork to Debit Network

Chargeback flows through the Debit Network

Chase Merchant Services receives the chargeback and appropriate Issuer documentation

Chargeback transaction is compared to the original sale transaction information stored in

our Transaction History database

If information to support representment is located, this information is attached to the

chargeback transaction which is then returned or represented to the Issuer

If insufficient information to support representment is found, the chargeback transaction is

forwarded to your assigned analyst for further analysis

Debit Adjustment Detail (PDE-0036) Report is generated showing all chargeback activity for

the reporting period, and a case is opened in the online chargeback management system

for the item

STEP

ACTION

1

Customer disputes a transaction on their billing statement

2

3

4

5

6

7

O

R

8

115

RETURN TO MERCHANT WORK FLOW

When Merchant Services has insufficient information to represent a chargeback, it is sent to your

chargeback analyst. Your analyst will research to determine if the chargeback can be represented.

If there is no support for representment, the chargeback is returned to the merchant.

Recourse

When you decide to request recourse for (or challenge) a chargeback that has been returned to you,

Merchant Services recommends the following

Prior to responding …

• Note the “Due Date” which is located near the top of the Chargeback Document. Merchant Services must

receive the recourse request by that date in order to be considered for possible representment

• Read the recommendations by reason code in the Chargeback Reason Code Reference Guide and the

Chargeback Analyst’s comments that appear online in the Chargeback Management application

• Make note of the reason code to determine if you have the appropriate supporting documentation to

send with the recourse request

Then…

• Upload clear and legible copies of the supporting documentation in an acceptable file format See System

Requirements and Supporting Documentation Format section for Documentation formats and size

Add any comments that may assist the Chargeback Analyst (512 character limit).

These comments are only viewable by you and Merchant Services. They will not go out to

the Issuer or debit network. If your comments need to be sent to the Issuer or debit

network, please scan or upload them.

To ensure successful uploads, all files uploaded to the chargeback system must conform to the

following standards:

• File names may only contain:

o A through Z (uppercase and lowercase permitted)

o 0 through 9 o Dash (-) o Underscore (_)

o File name length including path of 220 characters or less

Attempts to upload files that fall outside of these parameters will result in an error message.

(Refer to the Using the Chargeback Management Application section of this document for addition

information on the procedure for challenging a returned to merchant chargeback)

116

Recourse Denied (Issuer Initiated Chargebacks Only)

It is recommended that Clients query for any denied recourse requests on a daily basis because

they do not show up on the PDE-0036 report. The recourse cases may have been denied

because the supporting documentation was not valid or adequate or the Merchant Services

Chargeback Analyst may need more information or an explanation in order to represent the

case.

To do this, the user selects “Advanced Search” then enters the following data for these fields:

Case Status Change Date: Yesterday’s date

Case Status: CB_RCD, CB_DRE, 2C_RCD

Second Chargeback Notes

All debit networks do not allow for a 2nd chargeback. There are no second chargeback rights for

debit chargebacks.

If cardholder continues to dispute a transaction by not accepting the representment for a

debit chargeback....

• An incoming pre-arbitration from the debit network replaces a second chargeback

• A form is sent to the client for further information

• We accept or decline the chargeback based on validity of the client’s documentation

NOTE: If no response is received by the due date the pre-arbitration will be accepted and no further

recourse will be allowed. This is to avoid arbitration fees being assessed.

(See Exception Processing section for further detail)

Merchant Initiated Debit Adjustments within CBIS

Purpose of the Report:

Merchants can now input debit adjustments themselves instead of either calling the help desk or

contacting their Relationship manager. This report aims to instruct merchants why they would issue a

debit adjustment and how to navigate the user interface (UI), issue these adjustments, and define

common terms used when referencing debit adjustments.

Common Reasons Why Merchants Issue Debit Adjustments

• Accidently processed a transaction twice

• Initiate a return adjustment

• Recover funds for a valid sale that did not settle (a.k.a. Rekeys)

• Terminal issues

117

How to Navigate the Merchant Initiated Adjustments UI

1 Log into CBIS

2 Navigate to Chargeback Management

3 Select drop-down tab directly underneath the Chargeback Management header and select

Debit from submenu refer to Figure 1

4 Dropdown to the right of the Debit tab will update to reflect debit functions. Select Merchant

Initiated Adjustment from dropdown menu refer to Figure 1

Figure 1:

118

Definition of Columns and Their Functions

The following section describes the various data elements required to process an adjustment within the

Merchant Initiated Adjustments UI. Refer to Figure 2 for the columns and their definitions:

Add

This button enables the fields in the application to add the information required to process

an adjustment.

Upload

This button utilizes the Downloadable Debit Adjustment Template that is available on the

right-hand side of the menu to populate adjustments into the application.

Submit

This button takes all the data input into the application and processes each row as an

adjustment. It will also alert merchants of the number of successful adjustments issued and

the rows that had exceptions.

Clear

This button removes all data within the application.

Export

This button allows merchants the option to export a copy of the adjustments submitted for

their records. It only appears after the Submit button is clicked.

Figure 2

119

Definition of Information Fields

The following section describes the various data elements required to process an adjustment within the

Merchant Initiated Adjustments User Interface (UI). Refer to Figure 3 for the columns and their

definitions:

Figure 3

Adjustment Type

There are two options available:

• Adjustment – A correction of either a sale or refund

• Adjustment Reversal – An adjustment to correct a previously submitted and

processed adjustment (this action can only be taken within 10 business days

of the original Adjustment request)

PNS Merchant

A unique numerical identifier for an individual merchant location. This number is different

than the transaction division number (a.k.a. TD#) and is only applicable for debit card

transactions

Trace #

Also known as the Authorization Reference Number in the transaction detail page in the

Customer Service Tool. In Transaction History, it is the trace number located in the Auth

Info section of the Authorization or Deposit record. This number is crucial in identifying a

specific debit transaction.

Gateway

Adjustment Amt

This is the dollar amount that the merchants are requesting to either debit or credit the

cardholder. This should be input as numeric with two decimal places.

Cardholder #

This is the debit card account number (Primary Account Number – PAN). The entry can be

either the full, untokenized debit card account number or the first six digits and the last

four digits- example: 1234567890123456; 1234563456

Debit/Credit Flag

There are two options available:

• Debit the Cardholder – This option debits funds from the cardholder

• Credit the Cardholder – This option credits funds to the cardholder

Transaction Date

This field is optional. It is the original date of when the transaction took place, if available.

These are the debit payment network that

the transaction was processed under. These

can be selected from the drop down

selections for this column

120

How to Process An Adjustment Using the Merchant Initiated Adjustment UI

1 Select Add icon to enable the fields required to process an adjustment.

2 Input data requirement with the appropriate information previously defined above. All fields

with red asterisks are required.

3 Select the Save icon that appears below the row to lock data. If saved fields need to be edited

double-click the desired field, modify the data and select save.

4 If only one adjustment is needed, move onto to step 5. If more adjustments are needed

repeats steps 1-3.

5 Once all desired rows have been completed select Submit icon. Adjustments that were

successfully processed will appear as well as any exceptions that occurred.

6 After selecting the Submit, an Export icon will appear. Select Export to download all

adjustments processed (optional)

How to Process An Adjustment Using the Downloadable Debit Adjustment

Template

1 Select Download Debit Adjustment Template hyperlink on the right-side of the table.

2 Downloaded Excel file.

3 Input data starting from row 2. The data required is identical to the information provided above.

4 All information in this table is required with the exception of the transaction date.

5 Once all the desired rows have been inputted, save file. The file can follow any naming convention

desired but each file must be unique

6 Navigate back to the Merchant Initiated Adjustments in CBIS UI

7 Select Upload icon. A pop window will appear select saved file and select Open.

8 Adjustments will populate in CBIS UI.

9 Select Submit icon. Adjustments that were successfully processed will appear as well as any

exceptions that occurred

10 After selecting the Submit, an Export icon will appear. Select Export to download all adjustments

processed (optional)

121

Common Terms Used with association of Debit Adjustments

MOP/Gateway/Network

MOP is the debit Method of Payment

• Examples: IL, SP, MT etc…

Network is an electronic system that permits several types of

financial transactions

• Examples: Accel, ChaseNet, Interlink, Maestro, NYCE, Pulse, Star

etc…

Gateway is the debit payment network that the transaction are

processed under

• Examples: SAUPUL, SAUMDS, SAUEBT.

These terms are interchangeable as they are means to identify how

the transaction was originally processed.

Rekey

A merchant requested adjustment to settle a transaction for the

intended amount. This occurs to recover funds for a transaction that

did not settle properly at the time of sale

QUERY RESULT SCREEN COMPONENTS

LEVEL 1 DATA - FUNCTIONAL COMPONENTS

Similar to Credit queries, Debit queries run by either the IQA or MCA will result in Level 1 data being

displayed if there is data for the query selected.

The functional and informational components on the Level 1 data include the following and are

specific to debit queries:

122

COMPONENT

DESCRIPTION

Debit Queries

Primary menu for Chargeback Queries based on Role

My Debit Work Queue

Secondary menu of available queries to run by Role

Check All Box

Use to select or de-select all cases listed in the query results

Run Query Drop Down Menu

of available queries (IQA

view)

My Debit Work Queue

Received

Decisioned by Merchant Services

Pending Merchant Services Decision

Expired Returned to Merchant (RTM)

Aging Detail

Management Queries

To Be Assigned

Work Tracker

Auto Assign Rules

Run Query Drop Down Menu

of available queries (MCA

view)

My Debit Work Queue

Received

Decisioned by Merchant Services

Pending Merchant Services Decision

Expired Returned to Merchant (RTM)

Aging Detail

Management Queries

Work Tracker

Accept CB(s) button

Used to accept selected Chargeback cases from the Level 1 screen

QUERY RESULT SCREEN COMPONENTS

LEVEL 1 DATA - FUNCTIONAL COMPONENTS (CONTINUED)

All case information is available for two years and Document Information is available for six

months from the last case status change date.

Detail on all other functional components such as Print, Export and Assign can be found under

the Credit section.

LEVEL 1 DATA - INFORMATIONAL COMPONENTS

The column headings that appear on the debit query results screen are described below. For debit

the Trace Number has been added to the column headings, otherwise all other columns remain

the same as credit.

123

COLUMN NAME

DESCRIPTION

Sequence #

Unique identifying number assigned by Merchant Services to

the chargeback. There may be more than one case associated

with a chargeback but only one sequence # associated with a

case

Account #

Credit card number

Initiated by

Date the chargeback was initiated by the Issuer

Merchant Order #

Merchant-assigned identifier

Method of Payment Code

Shows the Method of Payment code for the original transaction

Reason Code

Code representing the reason for the chargeback

Due Date

Date by which the merchant must respond to the

retrieval request

CB Amount

Amount of the chargeback

Currency

Currency type designator

TD/ALT ID

Transaction division number under which the transaction was processed

or the Alternate ID used by some companies

Trace #

A number assigned to the transaction by the debit network

Case Status Code

Current status of the case (See Appendix A)

Case Status Change Date

Date the current status was applied to the CB case

Assigned To

Merchant Chargeback Analyst (MCA) assigned to the CB case (may be

blank). This column will show the MCA’s Merchant Services Online Login

Company #

Identification of the Company under which the transaction was

processed

LEVEL 2 DATA - FUNCTIONAL COMPONENTS

Detail on all Level 2 data functional components such as, Company information, Case details

(Sequence #, Case #, Issuer Message, Due Date, Case Status Change Date and Case Status) can be

found under the credit chargeback section.

Print and Available actions can be found on the debit Level 2 screen.

124

LEVEL 2 DATA - INFORMATIONAL COMPONENTS

All Level 2 data informational components related to debit chargebacks are as follows:

Addition of the following fields:

o PNS Merchant #

o Trace Number

All details related to the case appear below the header on the Dashboard Information screen -

see credit chargeback section for further details.

All chargeback processing functions related to Credit such as Accept or

Challenge a chargeback including upload of documentation and print, export

apply to debit chargebacks. Information on how to manage and respond to

debit chargebacks can be found under the Credit section of this manual.

See

sample

screen

shot

below:

125

EXCEPTION PROCESSING

INTRODUCTION

Alternate processes are available for recovering funds for the consumer, the Issuer or the

Client outside of the normal chargeback processing arena.

These alternatives may be used for valid situations when:

o The time frames for chargeback initiation have expired

o The time frames for representment have expired

o A previous chargeback was represented and the Issuer or cardholder continues to dispute the

charge

o There is a violation of a MasterCard

®

or VISA regulation for which no chargeback reason code

exists

These alternate processes are grouped for purposes of discussion into the Exception Processing

category. All exception processing is handled by senior level Chargeback Analysts at Merchant

Services. Exception processing has no financial impact for the merchant until resolution is

completed.

The exception processing discussed in this section includes:

o Pre-Arbitration/Arbitration

o Collection

o Pre-Compliance

Settlements for all exception processes are designated by Reason Code 98 on Merchant Services

reporting and in the Paymentech Online Chargeback Management application.

These types of exceptions are handled outside of the online chargeback management system,

however are viewable for informational purposes only (Reason Code 98). If you come across this

situation you should contact your Chargeback Analyst to discuss it further.

EXCEPTION PROCESSING, CONTINUED

126

INCOMING PRE-ARBITRATION/ ARBITRATION – VISA, DISCOVER &

MASTERCARD

Since VISA, MasterCard and Discover do not allow second chargebacks, any representment

that is refused by the Issuer is returned to Merchant Services as an incoming Pre-

Arbitration or Arbitration (Pre-Arb/Arb) item.

A Senior Level Chargeback Analyst reviews the incoming Pre-Arb/Arb and determines if it must be

accepted and returned to merchant. If returned, you are notified via a reason code 98 on the

Chargeback Activity Detail (PDE-0017) Report or through the online chargeback management

system.

If the item can be challenged, the analyst may request additional supporting documentation

from you. Once this is received, the Senior Level analyst will review the documentation and, if it

will resolve the dispute, submit it to the Issuer.

If the Issuer refuses the Pre-Arbitration response, they will initiate an Arbitration case. This avenue

to funds recovery is used only when the Issuer and Merchant Services, as an Acquirer, cannot

mutually agree on resolution of a chargeback case. It is a final attempt to successfully dispute a

chargeback. The card associations determine final liability – Issuer or business. If the business is

deemed liable, a 2nd chargeback with reason code 98 is sent to the business.

OUTGOING ARBITRATION - DISCOVER

Arbitration may be requested when representment documentation or information that was

previously unavailable can now be provided.

Timeframes: An arbitration case must be submitted and received by Discover Network within 45

calendar days from the close date of the dispute.

Discover Network will make a ruling based upon the regulations and all documentation received

from both the business and the Issuer. If the case is ruled in favor of the business, you will see a

credit with a Reason Code 98 on the Chargeback Activity Detail (PDE-0017) Report and in the online

chargeback management system. If the response is unfavorable, the chargeback will remain.

Outgoing Arbitration is only used if one or more of the following are true:

o Credit has been issued to the cardholder

EXCEPTION PROCESSING, CONTINUED

127

o The necessary documentation and history records are available to support the claim

o The monetary amount of the original sales transaction warrants the cost of arbitration, and

o In the estimation of Merchant Services, the case will be ruled in favor of the merchant

In an arbitration case, whoever is deemed responsible for the chargeback is also responsible for

paying all the fees associated with the case.

INCOMING COLLECTION

An incoming collection item in the form of a Good Faith case is generated by an Issuer when they

have failed to meet the timeframes for initiating a chargeback. The Issuer is asking for the business’s

review and response.

For VISA and MasterCard

®

to qualify for incoming collection, the chargeback must be over the US$50

minimum and be less than 1 year old.

Discover has no limits on amount or age of transaction.

OUTGOING COLLECTION – VISA & MASTERCARD

®

In the outgoing collection process, Merchant Services sends a Good Faith case to the Issuer when

time frames for representment have been exceeded.

The Issuer is asked to review and respond. The chargeback must be over the US$50 minimum and

be less than 1 year old.

A favorable response from the Issuer will be indicated by a credit with a Reason Code 98 on

the Chargeback Activity Detail (PDE-0017) Report or in the online chargeback management

system. If the response is unfavorable, the chargeback will remain.

Each Issuer sets its own minimum amounts and time frames. Some Issuers will not review

any collection case that is under $100 or are older than 6 months.

EXCEPTION PROCESSING, CONTINUED

128

PRE-COMPLIANCE – INCOMING AND OUTGOING – VISA &

MASTERCARD

®

A pre-compliance case is generated when there has been a violation of a card association rule or

regulation for which there is no established reason code. The cases can be initiated by either the

Issuer or Merchant Services and are usually for technical reasons.

When an incoming pre-compliance case is received, Merchant Services may notify the business

and fax a form with details about the case. The merchant has 14 days from the initiated date to

provide a rebuttal (if they wish to dispute the pre-compliance case) or to issue a credit (thus

avoiding a chargeback). Not all pre-compliance cases require a notification to the business. If the

case is due to a technical reason such as no valid authorization, the analyst at Merchant Services

will make the decision to accept or deny it.

If an incoming pre-compliance case is accepted, the business will receive a debit for a Reason Code

98 on the Chargeback Activity Detail (PDE-0017) Report or in the online chargeback management

system.

Outgoing pre-compliance is used when a business requests recourse due to a credit being issued

AND the chargeback is beyond the time frames allowed for representment. If an outgoing pre-

compliance case is accepted by the Issuer, the business will receive a credit for a reason code 98.

129

CHARGEBACK ANALYSIS REPORTING

INTRODUCTION

Merchant Services provides the following analysis reports to assist you in managing your

chargebacks:

PDE-0017 – CHARGEBACK ACTIVITY – MONTHLY VERSION

This report summarizes the count and amount of chargebacks in the following categories Received,

Represented, Returned to Merchant, Recourse and Ending Inventory for the month sorted by

Card Type and Reason Code. When viewed monthly, this report may indicate trends in your

chargeback activity that should be investigated. For example, a sharp rise in Credit Not Processed

chargeback reason codes should alert you to review your refund procedures to insure employees

are adhering to your polices.

PDE-0039 – CHARGEBACKS WON/LOST SUMMARY

This report displays the Win/Lost Success % by comparing the numbers of Chargebacks Auto-

Represented, Represented by PTI, and those Represented due to recourse to the total number of

Chargebacks received during the report period. The total represented success percentages are

adjusted for 2nd chargebacks and incoming Pre-Arbs to determine the total success percentage.

The data is sorted by reason code for each Method of Payment (MOP) and totaled for all reason

codes for all MOPs to give a Grand total for the chargebacks initiated during the date range

indicated in the Initiated CB Date Range field in the report header. The report analyzes data from

three months before the current date.

JCB RETRIEVAL AND CHARGEBACK PROCESSING

The processing of JCB chargebacks is handled the same as Discover chargebacks. Refer to the pages

that describe Discover Chargeback Processing.

130

APPENDIX A

CASE STATUS

RETRIEVAL REQUESTS

CASE STATUS CODE

DESCRIPTION

RR_REC

Retrieval Received

RR_DIS

Retrieval Disregarded

RR_FFR

Retrieval Fulfill Requested

RR_FFL

Retrieval Fulfilled

RR_AFL

Retrieval Auto-Fulfilled

RR_EXP

Retrieval Expired

RR_DEC

Retrieval Decline

1

ST

CHARGEBACKS

CASE STATUS CODE

DESCRIPTION

CB_ACC

CB Accepted

CB_ADR

CB Accepted Docs Received

APPENDIX A

CASE STATUS CODES, CONTINUED

131

CB_ARP

CB Auto Represent

CB_ART

CB Auto RTM

CB_CDR

CB Challenged Issuer Docs Received

CB_CLG

CB Challenged

CB_DOC

CB Doc Received Awaiting CB

CB_DRE

CB Recourse Denied RTM Expired

CB_EIN

CB RTM Expired Info Needed

CB_EIS

CB RTM Expired Info Submitted

CB_ERR

CB RTM Expired Recourse Requested

CB_ESC

CB Escalated for Exception Processing

CB_EXP

CB Expired

CB_IDR

CB Issuer Docs Received

CB_INF

CB Received Info Needed

CB_INS

CB Received Info Submitted

CB_IRD

CB Info Request – Issuer Docs Received

APPENDIX A

CASE STATUS CODES, CONTINUED

132

CB_IRS

CB Info Submitted – Issuer Docs Received

CB_RAC

CB RTM Accepted

1

ST

CHARGEBACKS (CONTINUED)

CASE STATUS CODE

DESCRIPTION

CB_RAD

CB Received Awaiting Docs

CB_RCD

CB Recourse Denied

CB_RCR

CB RTM Recourse Requested

CB_REC

CB Received

CB_REP

CB Represented

CB_REPREQ

CB Representment Requested

CB_RPR

CB Represented Result of Recourse

CB_RPRREQ

CB Representment Result of Recourse Requested

CB_RRN

CB RTM Recourse Info Needed

CB_RRS

CB RTM Recourse Info Submitted

CB_RTM

CB Return to Merchant

APPENDIX A

CASE STATUS CODES, CONTINUED

133

OPA_REQACC

Outgoing Pre-Arbitration Accepted (Visa only)

OPA_DEN

Outgoing Pre-Arbitration Denied (Visa only)

OPA_REQPND

Outgoing Pre-Arbitration Request Pending(Visa only)

PD_QAD

Pre-Dispute Queued for Automatic Decision

PD_REC

Pre-Dispute Received

PD_RTM

Pre-Dispute Return To Merchant

PD_RDR

Pre-Dispute Rapid Dispute Resolve

PD_ESC

Pre-Dispute Escalated for exception Processing

2

ND

CHARGEBACKS

CASE STATUS CODE

DESCRIPTION

2C_ACC

2

nd

CB Accepted

2C_CDR

2

nd

CB Challenged Issuer Docs Received

2C_CLG

2

nd

CB Challenged

2C_DOC

2

nd

CB Docs Received Awaiting CB

2C_DRE

2

nd

CB Recourse Denied Expired

2C_EIN

2

nd

CB Recourse Info Needed Expired

APPENDIX A

CASE STATUS CODES, CONTINUED

134

2C_EIS

2

nd

CB Recourse Info Submitted Expired

2C_ERR

2

nd

CB Expired Recourse Requested

2C_ESC

2

nd

CB Escalated for Exception Processing

2C_EXP

2

nd

CB Expired

2C_IDR

2

nd

CB Issuer Docs Received

2C_INF

2

nd

CB Docs Received Info Needed

2C_INS

2

nd

CB Docs Received Info Submitted

2C_RAC

2

nd

CB RTM Accepted

2C_RCD

2

nd

CB Recourse Denied

2C_REC

2

nd

CB Received

2C_REP

2

nd

CB Represented (only allowed for Diner’s MOP)

2C_RRI

2

nd

CB RTM Recourse Info Needed

2C_RRN

2

nd

CB Recourse Received Notification

2C_RRR

2

nd

CB RTM Recourse Requested

2C_RRS

2

nd

CB RTM Recourse Info Submitted

2C_RTM

2

nd

CB Return to Merchant

135

APPENDIX B

REPORTING OVERVIEW

Merchant Services provides a number of reports to help you manage your chargebacks.

Samples, descriptions of use and field definitions of the following reports are included in this

Appendix:

o Retrievals Received (PDE-0021)

o Retrieval Activity (PDE-0029)

o Chargeback Activity Report (PDE-0017)

o Chargeback Won/Lost Summary (PDE-0039)

o Chargeback User Efficiency (PDE-0040)

o Chargeback Management Aging (PDE-0041)

o Chargeback Work Queue Summary (PDE-0042)

o Pre-Dispute Detail Report (PDE-0065)

o Chargeback Won/Lost Summary by User (PDE-0043)

o Debit Activity (PDE-0036)

Retrievals Received (PDE-0021) – Description & Use

This report can be generated for Clients who wish to be notified of all retrieval activity. Clients

can use the information on this report to proactively contact the cardholder to answer questions

on the sale transaction. Some merchants use the information to flag accounts for potential

chargeback activity.

Retrievals Received (PDE-0021) – Report Sample

136

RETRIEVALS RECEIVED (PDE-0021) – FIELD DEFINITIONS

FIELD

DEFINITION

Sequence #

Number assigned by Merchant Services to the retrieval request

TD #

Transaction Division number

Merchant Order #

Order number assigned by the merchant and submitted to

Merchant Services with the original sale transaction

Account #

Credit card number associated with the retrieval request

Original Sale Date

The date that the original sale transaction occurred

Retrieval Reason Code

3-digit code indicating the reason for the retrieval request. A

hyperlink to HELP guide defining all Reason Codes

Retrieval Received Date

Date that the Retrieval Request was received by Merchant Services

Retrieval Amount

Amount of the transaction

RETRIEVAL ACTIVITY (PDE-0029) – DESCRIPTION & USE

This report is available for all Clients processing retail or Discover transactions. It gives prompt

notification of retrievals that require a response to Merchant Services. Non- or late fulfillment of

the retrieval request may result in a chargeback that cannot be represented. The report provides

a list of outstanding requests that have yet to be worked. These remain on the report for 21 days.

137

RETRIEVALS ACTIVITY (PDE-0029) – FIELD DEFINITIONS

FIELD

DEFINITION

Retrieval Requests

Received

This section lists all retrieval requests that were received in the

reporting period

Retrieval Requests

Outstanding

This section lists all retrieval requests that have not yet been

decisioned that are not yet 21 days old. Items will come off of

report once a response has been received or 21 days have passed

Sequence #

Number assigned by Merchant Services to the retrieval request

TD #

Transaction Division number

Merchant Order #

Order number assigned by the merchant and submitted to

Merchant Services with the original sale transaction

MOP

Method of Payment

Account #

Credit card number associated with the retrieval request

Auth Date

Date the original auth was issued

Original Transaction Date

The date that the original sale transaction occurred

Retrieval Reason Code

3-digit code indicating the reason for the retrieval request. A

hyperlink to HELP guide defining all Reason Codes

138

Retrieval RCV Date

Date that the Retrieval Request was received by Merchant Services

Response Due Date

Date that a response is due by in order to respond to the issuing

bank

Retrieval Amount

Amount of the transaction

Terminal #

If Retail, this field will show the terminal # that the original

transaction occurred at

Batch #

If Retail, this field will show the batch number that the transaction

was submitted under

CHARGEBACKSWON/LOSTSUMMARY(PDE-0039)– DESCRIPTION& USE

This monthly report displays the Win/Loss Success % by comparing the numbers of Chargebacks

Auto-Represented, Represented by PTI, and those Represented due to Recourse to the total

number of Chargebacks received during the report period. The total represented success

percentages are adjusted for 2nd chargebacks and incoming Pre-Arbs to determine the total

success percentage. The data is sorted by reason code for each MOP and totaled for all reason

codes for all MOPs to give a Grand Total for the chargebacks initiated during the date range

indicated in the Initiated CB Date Range field in the report header. The report uses data from 3

months prior to the report generation date allowing ample time for 2nd chargebacks and Pre-Arbs

to be received.

139

CHARGEBACKS WON/LOST SUMMARY (PDE-0039) – REPORT SAMPLE

CHARGEBACKS WON/LOST SUMMARY (PDE-0039) – FIELD DEFINITIONS

FIELD

DEFINITION

MOP

Method of Payment (VISA, MasterCard

®

, JCB, Diner’s and other Settled

MOPs)

Reason Code

Listing by MOP of the reason codes and their descriptions associated

with the chargebacks received during the reporting date range

Received – Count

and Amount

Count and amount of chargebacks received during the reporting period

Auto-Represented

Count and Amount

Count and amount of chargebacks auto-represented by Merchant

Services during the reporting period

Represented by PTI

Count and Amount

Count and amount of chargebacks represented by Merchant Services

chargeback analysts during the reporting period

Represented due

to Recourse

Count and amount of chargebacks represented as a result of merchant

challenge or recourse during the reporting period

Auto-Rep/Total

CBs Success %

Success rate for auto-represented chargebacks compared to the total

chargebacks received during the reporting period

PTI-Rep/Total

CBs Success %

Success rate to PTI-represented chargebacks compared to the total

chargebacks received during the reporting period

140

Recourse/Total

CBs Success %

Success rate for chargebacks represented due to recourse compared to

the total chargebacks received during the reporting period

Incoming 2

nd

CBs/ Pre-Arbs

Count and

Amount

Count and amount of 2

nd

chargebacks and incoming Pre-Arbs

(Reason Code 98) that are matched to the same sale (Acquirer’s

Reference Number – ARN) regardless of status

Total success %

Total success % is calculated as follows:

Total representments (auto-PTI, Recourse) minus Incoming 2

nd

Chargebacks and Pre-Arbs divided by the total number of

chargebacks received during the reporting period

MOP - Total

Column totals for each MOP

MOP - ALL

Grand Total for all reason codes for all MOPs. Total success % in this

section represents the overall success rate for the reporting period

141

CHARGEBACK MANAGEMENT USER EFFICIENCY

(PDE-0040) - DESCRIPTION & USE

This report tracks the chargeback cases assigned to Merchant Chargeback Analysts (MCAs), the

number of the assigned cases accepted or challenged, and the total number of items worked

during the date range of the report. The last column indicates the efficiency of the MCA during

the reporting period expressed as a percentage.

CHARGEBACK MANAGEMENT USER EFFICIENCY

(PDE-0040) – REPORT SAMPLE

CHARGEBACK MANAGEMENT USER EFFICIENCY

(PDE-0040) – FIELD DEFINITIONS

FIELD

DEFINITION

User

MCA User ID

Assigned

Count and amount of chargeback cases assigned to the MCA during the

reporting period

Accepted

Count and amount of assigned chargeback cases accepted by the MCA

during the reporting period

Accepted %

Percentage of assigned chargeback cases that were accepted by the MCA during

the reporting period

Challenged

Count and amount of assigned chargeback cases challenged by the MCA

during the reporting period

142

Challenged

%

Percentage of assigned chargeback cases that were challenged by the MCA

during the reporting period

Total Worked

Total count and amount = of chargeback cases worked by the MCA during the

reporting period

Work Rate

Percentage of Total Worked compared to the number of chargeback cases

assigned to the MCA during the reporting period. NOTE: A work rate of above 100%

indicates the MCA decisioned cases that had been assigned in the previous month.

CHARGEBACK MANAGEMENT AGING

(PDE-0041) – DESCRIPTION & USE

This report tracks the number of chargeback cases assigned to MCAs by the number of days since

the chargeback initiation date. This gives management an indication of how many assigned

chargeback cases remain to be worked by the specific MCA. Case Status Codes included in this

report are: CB_REC, CB_IDR, CB_INF, CB_RTM, CB_RRN, 2C_REC, 2C_IDR, 2C_INF, 2C_RTM, 2C_RIN

and CB_EIN. Descriptions of these codes can be found in Appendix A..

CHARGEBACK MANAGEMENT AGING

(PDE-0041) – REPORT SAMPLE

143

CHARGEBACK MANAGEMENT AGING

(PDE-0041) – FIELD DEFINITIONS

FIELD

DEFINITION

User

MCA User ID

Days since

initiated date

Count of assigned chargeback cases outstanding per number of days

in 5-day groupings (1-5, 6-10, etc.) through day 46

Total

Total count of outstanding assigned chargeback cases per number of

days

CHARGEBACK MANAGEMENT WORK QUEUE SUMMARY

(PDE-0042) – DESCRIPTION & USE

This report provides a summary of the count and amount of assigned chargeback cases

assigned to each User during the reporting period. The chargebacks are sorted by their Status

Code and a description of the codes is included. The count and amount of all Status codes are

totaled for each User. There is also a grand total sorted by Status Code for all Users.

144

CHARGEBACK MANAGEMENT WORK QUEUE SUMMARY

(PDE-0042) – REPORT SAMPLE

145

CHARGEBACK MANAGEMENT WORK QUEUE SUMMARY

(PDE-0042) – FIELD DEFINITIONs

FIELD

DEFINITION

User

MCA User ID

Status

Status code category for the assigned chargeback cases

Status

Description

Description of the status code category for the assigned chargeback

cases

Count

Count of the chargeback cases listed by status code for the MCA

Amount

Amount of the chargeback cases listed by the status code for the MCS

Total

Total count and amount of all chargebacks assigned to the MCA during

the reporting period

ALL (Grand Total)

Count and amount of chargeback cases assigned to all MCAs included on

the report sorted by Status Code for the reporting period

146

PRE-DISPUTE DETAIL REPORT (PDE-0065) DESCRIPTION & USE

This report is used to verify and identify pre-disputes in their reconciliation process. This pre-

dispute detail will not be seen in other chargeback reporting. Specific usage varies by

merchant, but may be used for reconciliation or research of deposit activity.

CHARGEBACKS WON/LOST SUMMARY BY USER

(PDE-0043) – DESCRIPTION & USE

This report is similar to the PDE-0039 but contains the information on Chargebacks won or lost

during the reporting period for a specific user or MCA.

CHARGEBACKS WON/LOST SUMMARY BY USER

(PDE-0043) – REPORT SAMPLE

CHARGEBACKS WON/LOST SUMMARY BY USER

(PDE-0043) – FIELD DEFINITIONS

FIELD

DEFINITION

User ID

User ID for the specific MCA for which the report was generated

147

MOP

Method of Payment (VISA, MasterCard

®

, JCB, Diner’s and other Settled

MOPs)

Reason Code

Listing by MOP of the reason codes and their descriptions associated

with the chargebacks received during the reporting date range

Received – Count

and Amount

Count and amount of chargebacks received during the reporting period

Auto-Represented

Count and Amount

Count and amount of chargebacks auto-represented by Merchant

Services during the reporting period

Represented by PTI

Count and Amount

Count and amount of chargebacks represented by Merchant Services

chargeback analysts during the reporting period

Represented due

to Recourse

Count and amount of chargebacks represented as a result of merchant

challenge or recourse during the reporting period

Auto-Rep/Total

CBs Success %

Success rate for auto-represented chargebacks compared to the total

chargebacks received during the reporting period

PTI-Rep/Total

CBs Success %

Success rate to PTI-represented chargebacks compared to the total

chargebacks received during the reporting period

Recourse/Total

CBs Success %

Success rate for chargebacks represented due to recourse compared to

the total chargebacks received during the reporting period

Incoming 2

nd

CBs/ Pre-Arbs

Count and

Amount

Count and amount of 2

nd

chargebacks and incoming Pre-Arbs

(Reason Code 98) that are matched to the same sale

(Acquierer’s Reference Number – ARN) regardless of status

Total success %

Total success % is calculated as follows:

Total representments (auto-PTI, Recourse) minus Incoming 2

nd

Chargebacks and Pre-Arbs divided by the total number of

chargebacks received during the reporting period

User Total

Totals for all MOPS for the specific User named on the report

MOP - Total

Column totals for each MOP

MOP - ALL

Grand Total for all reason codes for all MOPs. Total success % in this

section represents the overall success rate for the reporting period

148

DEBIT ADJUSTMENT DETAIL (PDE-0036) – DESCRIPTION & USE

Debit adjustments are transactions that were originally presented to the debit networks for

settlement and have been disputed by the cardholder or refused by the bank. This report will

provide transaction level details about each Debit Adjustment (Business Initiated) and Debit

Chargeback (Issuer Initiated) transaction.

The PDE-0036, Debit Adjustment Summary Report provides a detailed listing of Debit

Adjustment transactions.

DEBIT ADJUSTMENT DETAIL (PDE-0036) – REPORT SAMPLE

DEBIT ADJUSTMENT DETAIL (PDE-0036) – FIELD DEFINITIONS

FIELD

DEFINITION

Sequence #

Number assigned by Merchant Services to the debit adjustment

transaction

TD #

Transaction Division number

Merchant Order #

Order number assigned by the merchant and submitted to Merchant

Services with the original sale transaction

Account #

Debit card account number

MOP Code

Method of Payment used for the transaction

149

Action Code

Identifies the requested action for the transaction, i.e.,

A=Authorize, B=Conditional Deposit, D=Deposit, R=Refund,

H=Validate and Deposit (ECP), etc.

Debit or Credit

Cardholder

Single Digit Code indicating if the cardholder used a Debit Cardholder (D)

or a Credit Cardholder (C)

Reason Code

Three-digit code representing the reason the transaction was being

adjusted. A hyperlink to the Debit adjustment Codes Help guide that

lists the reason codes and their descriptions

Auth Date

Date the original authorization for the transaction was received

Original Transaction

Date

Date the original sale transaction was deposited with Merchant Services

Activity Date

Date that action was taken on the item

Adjustment

Number

A reference number assigned by the Debit Network for the debit

adjustment. It is used to research the adjustment transaction

Amount

Amount of the original transaction

GLOSSARY

150

A-CH

TERM

DEFINITION

Acquirer

Card Association member who enters into Merchant Agreements and who,

directly or indirectly, passes the initial sales transaction through

Interchange. The acquirer represents the merchant in the chargeback

process

Arbitration

Process used as a last resort to resolve a complaint outside of the normal

chargeback processing cycles

Bank Initiated

Chargeback

Also referred to as a technical chargeback initiated by the Issuer for technical

or authorization-related reasons

Card-not-present

Transaction

Non face-to-face sales transaction (mail, phone, online) charged to a

cardholder’s credit card

Cardholder

Person to whom the credit card was issued or one authorized by such a

person to use the credit card

Cardholder Initiated

Chargeback

Also referred to as a customer dispute chargeback results when a

customer refuses to accept a charge appearing on a monthly billing

statement

Cardholder Letter

Letter addressed to the Issuer detailing the reason for the dispute of a

charge and the attempt to resolve the problem with the merchant

Chargeback

Reversal of a sales transaction initiated by the Issuer arising from a

processing technicality or customer dispute

Chargeback

Activity – Financial

Summary

and Detail

Report providing a Financial Summary and Detail of CB activity. The

detail section provides information in five categories: Chargebacks

Received, Recourse, Represented, Returned to Merchant and Ending

Inventory

Chargeback

Activity – Summary

Monthly report which summarizes CB activity by card type and

reason code for the following five categories: Chargebacks Received,

Recourse, Represented, Returned to Merchant and Ending Inventory

Chargeback

Document

Document sent by Merchant Services with the Issuer support

documentation (if any) when a chargeback is returned to a merchant. This

document incorporates the form for Representment/Collection Requests

151

Chargeback

Information

Request

Form sent to you when your Chargeback Analyst needs additional

information prior to determining if the chargeback can be represented or if

it must be returned to you

Chargeback

Inventory

Suspense account used by Merchant Services to record any changes in

status to the number and/or monetary amount of chargeback items

Chargeback

Processing Cycle

Set of VISA/MasterCard

®

guidelines used in negotiating a chargeback item

CO-RE

TERM

DEFINITION

Collection

Process used to obtain funds after all chargeback time frames have

expired. Incoming Collections are initiated by the user. Outgoing

Collections are initiated by Merchant Services on a merchant’s behalf

Collection

Letter Form

Form attached to a collection letter when it is forwarded to the merchant

for action. The form is returned when a decision has been made to accept

or refuse the collection request

Documentation

Information required by VISA and MasterCard

®

to support a chargeback or

representment of a chargeback item

Expedited Billing

Dispute Form

Document prepared by the Issuer detailing a MasterCard

®

chargeback

dispute

Facsimile

Replica of a sales draft or replica of a transaction stored in Merchant

Services transaction database

Interchange

VISA/MasterCard

®

network through which transaction information is

passed from acquirer to Issuer

Issuer

Bank or financial institution that issues a VISA, MasterCard

®

, JCB card or

other card types. The Issuer represents the cardholder in the chargeback

process

152

Partial

Representment

When only a portion of the charged back amount qualifies for

representment.

The balance of the amount will be returned to the merchant. Supported by

Visa and MasterCard

®

Pre-Arbitration

(Pre-Arb)

Process used in an attempt to resolve a complaint outside of the normal

chargeback processing cycle; preliminary to possible Arbitration

Pre-Compliance

Notification

The form faxed to the merchant to give notice of a potential

compliance chargeback

Presentment

Deposit of an original transaction to Interchange

Questionnaire

Document prepared by the Issuer detailing a VISA chargeback dispute

Recourse

Chargeback items which have been returned to Merchant Services with

sufficient applicable documentation to support representment

Reason Code

Two-digit (VISA and MasterCard

®

) or alpha ( JCB) code indicating the

reason for initiating a chargeback. Merchant Services also defines a

limited number of reason codes

Refund

Voluntary credit given by the merchant when requested by the customer

to resolve a problem. Giving refunds appropriately and quickly may

eliminate a potential chargeback

RE-W

TERM

DEFINITION

Representment

Return of a chargeback item to the Issuer with documented evidence to

support the return

Request for

Information

Form sent to you when your Chargeback Analyst needs additional

information prior to determining if the chargeback can be

represented or if it must be returned to you

Retail Order

Face-to-face transaction where the cardholder presents a credit card to the

salesperson for use in charging the sale

Retrieval

Activity Report

Report detailing all retail retrieval requests and Discover card-not-

present requests received and those outstanding for the specified date

range; terminal ID and Batch number information is included

153

Retrievals

Received Report

Report detailing all retrieval requests received during the specified

date range

Retrieval Request

Request for additional information on a charge appearing on a

cardholder’s billing statement initiated by the Issuer at the cardholder’s

request. A successful response to a retrieval request may eliminate a

potential chargeback

Time Frame

Amount of time set by VISA/MasterCard

®

regulation when a chargeback or

representment may be initiated

Transaction

Charge or refund to a customer

Transaction Date

Date the charge or refund to a customer was processed through

Interchange

Transaction

History

Database

Abbreviated TH, Commerce Solution’s database that stores transaction

history i.e., authorizations, deposits, retrieval requests, and chargebacks

Warning Bulletin

List of all credit cards the Issuers will not honor