Visa Chargeback Reason Code 57: Fraudulent Multiple Transactions Understanding

Posted by Apoorv Joshi on December 6th, 2017

Visa uses Reason Code 57: Fraudulent Multiple Transactions to mark chargeback caused by multiple transactions by a particular merchant on a single Credit Card account within in short period of time.
The issuing bank received a claim from the cardholder, acknowledging that he or she participated in at least one transaction at the merchant side but disputing participation in the remaining transactions which was held in short period of time. The Customer also states the card was in his or her possession at the time of the disputed transactions.

What are the Causes of Reason Code 57?
Causes for Reason Code 57 are:

• Merchant fails to void multiple transactions of a single Credit Card account.
• Merchant tried to process multiple transactions fraudulently.
• Cardholder authorized the transaction earlier but later denied.

Prevention Techniques:

• The merchant should void the transactions in that Customer not participate.
• Merchant process Credit immediately if Multiple transactions held from a single credit card account of the same product...
• The merchant should share all Policies with Customers and let them know about the Orders and offers.
• Always request to Cardholder to sign the policies in addition to the final transaction receipt...
  Trained employees to operate point-of-sale terminals and void transaction...

How to Respond Chargeback?
Tips to Respond Chargeback are:

• If the proper Credit has been processed to the Cardholder’s account on all disputed transactions, send all the regarding evidence to the acquirer.
• If cardholder participates more than one transaction, provide proper evidence such as sale receipt, invoices of particular transaction and proof of delivery.
• If refund provided to Customer, provide refund evidence to the acquirer.
• If merchant void the transactions, inform the acquirer to avoid Chargeback.

Author Section:

This article is written by Chargeback Expertz, provide knowledge for chargebacks and how to fight or reduce chargebacks. Chargeback Expertz is a Detailed Risk Management Company helping Retail and Online Merchants. Chargeback Expertz’s system is designed to defend the eCommerce Business against all types of Fraud and Threats.