American Express – Consumer Disputes: C02 – Credit Not Processed C04 – Goods or. The bottom line: 3-D Secure 2. Discover uses the four main categories to organize its reason codes: Authorization, Service (Discover’s name for Card Member Disputes), Fraud, and Processing Errors. Complete Guide to Visa Compelling Evidence Update CE 3. Here are some steps you can take to handle chargeback requests: 1. Each chargeback reason code has its own set of specific documentation requirements so merchants should familiarize. As chargeback time limits get shorter and shorter, automated technology will become more and more valuable. 1 Different workflows Disputes will be routed in two different workflows, called Allocation and Collaboration. A chargeback is a return of money to a payer of a transaction, especially a credit card transaction. Chargeback Reason Codes > Chip Liability Shift > Issuer Chargeback > Chip Liability Shift Program for Domestic and Intraregional Transactions Chapter 5—Compliance Case Filing Incorporated the changes announced in “AN 1677—Revised Standards—QuestionableFirst, after a cardholder contacts the bank to inquire about a transaction, the bank uses VROL to pull detailed transaction information. What is the chargeback reason code? The reason code is an alphanumeric 2 to 4-digit code provided by the issuing bank that identifies the reason for the dispute. 2 Declined Authorization. Include any terms relevant to the transaction, including return, cancellation and. 10/21/14 Updated Chargeback Time Frames: Added Reason Code 05; Addendum Reason Code PM; Changed TF time frame from 120 days to 540 days. A chargeback reason code is a number that helps to inform a hotel why a chargeback was filed. In the normal chargeback notification process, it can take 2-5 weeks to be notified. So, if a customer files an Amex chargeback, the company has good reason to side with their customer over the merchant. Visa requires processors and banks use to this system for multiple tasks, including challenging initial chargeback results. The date the merchandise was returned. EFM MONTHLY CRITERIA NUMBER OF E-COMMERCE TRANSACTIONS FRAUD CHARGEBACK AMOUNT FRAUD CHARGEBACK RATIO BASIS POINTS (BPS) 3DS UTILIZATION (EMV 3DS + DATA. We have mentioned all the chargeback categories above to explain the Chargeback Reason Codes according to the card networks. Let’s say you got a Visa chargeback with reason code 13. See moreTime Frames by Chargeback Type and Reason Code The Time Frame charts in this guide indicate the reason codes, allowable time frames for chargeback processing. The Visa chargeback reason codes system underwent a major overhaul in April 2018 as part of their new Visa Claims Resolution (VCR) initiative. What causes these chargebacks? Chargeback Reason Codes 85 and 4860 may be caused because the merchant: Did not issue a credit. The issuer investigates. We also included the reason code descriptions and an indication of when the allowable time frame begins. The chargeback can be for the total transaction amount or a lesser amount. 4808 – Authorization-Related Chargeback – Multiple Authorization Requests. Spot these types of chargebacks using. What are chargeback reason codes? Mike Conway 2021-03-04T20:56:54+00:00. All chargebacks start with a customer making a purchase in person, in an app, or online. A well-structured rebuttal letter should address the chargeback reason code, clearly explaining why the cardholder's dispute is not legitimate and why the funds should be returned to you. Chargeback Base Codes by Network - 2023 Guide. 4, 13. A chargeback happens when a customer requests for a transaction to be. By entering your email, you agree to receive marketing emails from Shopify. Payment capture comes after authorization; at this point, the payment is effectively "settled," and the transaction is over. 2 Compliance CasesChargeback Reason Codes by Industry. They’re projected to cost merchants nearly $118 billion every year by 2023. To obtain additional information, the issuing bank sends a retrieval request to the merchant’s bank. By entering your email, you agree to receive marketing emails from Shopify. NEW. Card Brand Code. It gets worse. Visa Chargeback Reason Codes are divided into six general groups, with 22 subcategories (codes): 1. Fight; Prevent; Recover; Resources. Chargeback numbers displayed in the Control Panel are. Response to retrieval request: Based on the information provided, the acquiring and issuing banks resolve the dispute, if possible. Your account becomes eligible for 10. The Visa chargeback reason codes system underwent a major overhaul in April 2018 as part of their new Visa Claims Resolution (VCR) initiative. 1 – EMV Liability Shift 10. Look below the surface. If a criminal manages to defeat the technology and complete an online. However, they don’t address the reason why that chargeback was issued in the first place. txt) or read online for free. In most cases, cardholders may only file a chargeback within 120 calendar days of the Central Site Business Date, with some codes requiring shorter timeframes. Discover chargeback reason codes are divided into three categories: service disputes, processing errors, and fraud. Visa, MasterCard, and American Express all list compelling evidence by reason code. However, issuers must wait 10 days following the reservation or cancelation date or when the merchandise was returned to file a chargeback. 1 Quick Reference Lead. On the other hand, PayPal—which can serve as a credit card processor for merchants—allows buyers up to 180 days to file a claim. Encrypt transmission of cardholder data. Some 90% of merchants said “cardholder abuse of the chargeback process” was a leading concern for their business. Aforementioned definitive guide includes and chargeback reason codes from each of the four major bill networks. These are only a handful of common Visa chargeback reason codes. How many chargeback reason codes exist? There are 151 reason codes across the four major card networks. pdf), Text File (. The reason_code will be one of the following values: chargeback_reimbursement: The gross shows positive if the chargeback was resolved in the seller's favor, and the seller gets a refund. 3. By entering your email, you agree to receive marketing emails from Shopify. The issuing bank will evaluate the evidence provided and, if they find it. United States. Updated the following columns - card type, response due date. From a merchant’s perspective, the greatest asset offered by 3DS is protection against liability in the event of fraud. It gets worse. DP — Duplicate Processing One transaction was processed multiple times. . There are several reasons why many merchants turn a blind eye to suspected return fraud. Written to Chargeback Gurus. 1, 55, C08, RG: The notifications you receive will indicate the. paper processing and mailing costs. . Write customer-friendly policies. Try Shopify free for 3 days, no credit card required. 1 There are many reasons why a chargeback occurs, with over 100 reason codes listed across the major credit card brands. 15, 2021. American Express . Technical. 3. At the same time, your account is debited for the chargeback amount, and the. 1: Use the corresponding dates from the invoice. A few other common reason codes for Visa include late presentment; non-receipt of cash from ATM; invalid data; EMV liability shift non-counterfeit fraud; no authorization; canceled merchandise and fraud related to stolen cards on the card recovery bulletin. That’s 50% more time than what the major card networks allow. 7, 60, C02, RN2. Be transparent about your products. Every chargeback has a reason code associated with it. In these situations, a merchant’s billing descriptor is simply not recognized by the customer. The networks say merchants have a 45-day response window, but the Chase credit card chargeback time limit for merchants is 39 days. Visa has recently announced changes to its chargeback rules. 102. Each chargeback is assigned a reason code that explains the justification for the chargeback. New Visa CE 3. If the CID doesn’t match, merchants generally prompt the Card Member to re-enter it. In most cases, you will have 20-45 days in which to respond to a chargeback. Shopify has four status categories for chargebacks and inquiries: Open: No response has been sent yet and evidence can still be added. In fact, the total costs of chargebacks exceed $30 billion per year, which is more than the revenue of many Fortune 500 companies, like McDonald’s and Netflix. A reason code is how banks categorize the reason for a chargeback. 3DS1 is less secure, less effective, and incompatible with the way consumers shop online. Overall returns (all codes): 15%. When you receive a chargeback request, respond promptly with any relevant information or evidence that supports your case. Reason Codes Category 4: Processing Errors. Cardholders and card issuers can place disputes on transactions for a variety of reasons including product returns, defects, cancelled reservations, and card processing errors. 4853 – Cardholder Dispute – Credit Posted as a Purchase. Chargeback reason codes will usually provide specific information about what kind of evidence is needed to get the chargeback reversed. Values are: Blank: Use the draft G/L date. The cardholder alleges they never received the products or services. According to Signifyd data, the total cost of a fraudulent purchase of $100 is actually $196. Chargeback Reason Codes; Payment Industry Glossary; Frequently Asked Questions; News; Book a Demo. Here are some steps you can take to handle chargeback requests: 1. Category. Depending on the reason code, supporting documentation may include: Copies of the order confirmation, invoice, or receipt; Proof of. With the right compelling evidence,. Chargeback time frames - A specific period during which a chargeback can be raised. Try Shopify free for 3 days, no credit card required. M01 Chargeback Authorization. Time Limit (Issuer/Cardholder) 120 Days. 3? Visa chargeback reason code 13. 5 Visa Fraud Monitoring Program. Code 10. Visa ® has launched the CE 3. What are chargeback reason codes? Mike Conway 2021-03-04T20:56:54+00:00 Issuers send chargebacks to the merchant’s acquiring bank with a reason code to communicate what caused it. 3. Visa Chargeback Codes — removed retired codes. Having a Lax Attitude Toward Industry Rules & Regulations. The most comprehensive guide to chargeback reason codes. 9% with at least 100 total disputes. Fight; Prevent; Get; Assets. Chargeback prevention strategies vary based on the reason for the dispute. This may be done by either the merchant or the issuing bank. 2) If you want to try and win the money back, reply to the chargeback notification email with your relevant transaction details and documents. 4 spec (Section 8. Mastercard has plans to follow suit. This definitive guide comes that chargeback reason codes from jeder of of four majority card networks. Switch to Visa MasterCard American Express Discover. In simple terms, an Electronic Commerce Indicator (ECI) is basically a 3-D Secure response code. Processing Errors involve chargeback and disputes revolving around processing issues, late presentment, credit processed as charge, invalid card numbers, no show errors, incorrect charge amounts. What is a chargeback time limit? The chargeback response. Reason Code 03. The reason code indicates the justification the cardholder gave for the chargeback. Built with a single, intuitive console, Sift’s end-to-end solution eliminates the need for disconnected tools, single-purpose software, and incomplete insights that drain operational. chargeback management with an easy to use online system. Visa - 13. Check the chargeback reason code. ) has its own reason code system, so sellers should carefully check the card used for the. American Express chargeback reason code C42. The charge you submitted did not receive a valid authorization approval code for the amount of the charge. This reason code is accompanied by a fraudulent reason code (UA). In the case of friendly fraud, that reason could be completely invalid and. Paymentology will submit the chargeback using the appropriate chargeback reason code. MASTERCARD Reason Code Description 01 Requested Transaction Data Not Received. Updated Visa Reason Codes. Mastercard uses reason code 4842 for late presentment chargebacks, but the conditions are considerably more complex. Reason Card Type Reason Code Description Merchant Action Code This chargeback occurs because of a dispute on an Airline sale involving allegedly fraudulent card transactions. 04/09/14 Discover: DC, U02. 2: Cancelled recurring transaction: VCR Dispute Reason Code 13. Sometimes, customers get wrongly debited due to manual data entry errors by the merchant’s team. Which is meant to know the reason for the dispute. 4853 – Cardholder Dispute – Credit Posted as a Purchase. A chargeback filed due to buyer’s remorse is a prime case of friendly fraud; a situation where a customer side-steps a return policy in order to gain an illegitimate refund. Code Reason; 01: Requested Transaction Data Not Received: 02: Requested item illegible: 07: Warning Bulletin File: 08: Requested/Required Authorization Not Obtained: 12:. In some cases, errors can be resolved and reversed, but there is no equivalent to chargeback representment when it comes to ACH. UA01 – Fraud: Card Present Transaction. Get your complete guide to Mastercard reason codes, including all the detailed information, chargeback time limits, and other important information you need. The card scheme receives the chargeback and forwards it to the acquirer. A chargeback happens when a customer requests for a transaction to be reversed. American Express reason code 155, Visa reason code 30, MasterCard reason code 4855, and Discover reason code 4755 are all specific reason codes for Shopify payment chargebacks. List and additional information about all reason codes by card brand. There are a variety of issues that can serve as the root causes of a chargeback, ranging from fraud to improper card processing to dissatisfaction with the quality of the goods or services provided. As chargeback time limits get shorter and shorter, automated technology will become more and more valuable. Other Fraud—Card Present Environment. Reason Code. Step 1: The cardholder disputes a charge. 4853 – Cardholder Dispute – Digital Goods Purchase of $25 or Less. The chargeback will remain and your account will not be credited. Visa’s process introduces four dispute categories and associated numerical labels (Fraud – 10, Authorization – 11, Processing Errors – 12, Consumer Disputes – 13) under which the renamed reason codes will be placed. Number two: Product Not Received chargebacks. Reason Code 53: Not as Described or Defective Merchandise. Prevention alerts arrive within 24 hours of a dispute. Read the Chargeback Advice letter carefully. The following is a full list of Chargeback Reason Codes for the card schemes that Zai supports. Each of the major card brands, including Visa, Mastercard, and others, have their own system of reason codes. However, you’re not alone; they create headaches for many players within the Mastercard ecosystem. The list of chargeback reason codes in this article is organized by card brand and type of dispute. Despite all the rules and guidelines, the outcomes of the chargeback process can be, at times, subjective, and can vary based on the scenario, merchant payment. Message. For example, most cardholders can only file a chargeback within 120 calendar days of the initial transaction. 104. A chargeback also cannot be filed more than 540 days beyond the point at which the interaction began. 3 Fraud – Card-Present Environment. Discover: Reason Code 4755 Non-receipt of goods or services. Attempted to process transactions fraudulently. The number of in-person fraud attacks attempted in the UK has dropped by 69% since 2004. Response to retrieval request: Based on the information provided, the acquiring and issuing banks resolve the dispute, if possible. There are two types of invalid chargebacks. processed the transaction correctly. This code tells you why the customer or bank initiated the dispute. Note. The tickets were held at the box office, and no signature, swipe or imprint of the card was obtained when the tickets were released. 634. If you get a chargeback,. Time Frames by Chargeback Type and Reason Code. There are over 80 unique return codes, and each one represents a different type of return. 02 Research and familiarize yourself with the specific chargeback reason codes used by your industry or payment processor. Everything You Need to Know (2023) Shopify POS has everything you need to sell in person, backed by everything you need to sell online. 7: Defective goods and services: C32: RM: 13. Please note that each card network (MasterCard, VISA, American Express, etc. txt) or read online for free. Written over Chargeback Gurus. Most acquiring banks put a timeframe on when customers can initiate a chargeback for a purchase. This definitive guide includes that chargeback reason colors from each of the four major card networks. Card networks send these codes to merchants to indicate why a chargeback has been filed. For more information on these and other updates, check out our complete chargeback reason. To subscribe and learn more about the free online chargeback management system, or contact Chase Paymentech Client Services at 1. for chargeback reason code 4863 (Cardholder Does Not Recognize). The chargeback reason code list is a standardized set of codes that are used by credit card companies and banks to categorize the reasons for a chargeback request. Written by Chargeback Gurus. During this process, the representative of the institution examines the reasons’ list. Some credit card companies also include a short phrase describing the code and chargeback. 4853 – Cardholder Dispute – Credit Not Processed. The network hasn't wholly disallowed some old codes. Reason. Download this sample Chargeback Rebuttal Letter. Excessive Chargebacks: The merchant exceeded established chargeback thresholds. Try Shopify free for 3 days, no credit card required. non_receipt: The buyer claims they didn't get the goods or services. Other Fraud—Card Absent Environment. Chargebacks are a major threat to businesses big and small. We assign the dispute to you for review in your Customer Area > Risk > Disputes, or send you a webhook. Also, remember that the time frame for your response includes any processing required by the acquirer. 2 – EMV Liability Shift Non-Counterfeit Fraud 10. The networks say merchants have a 45-day response window, but the Chase credit card chargeback time limit for merchants is 39 days. Chargeback Reason Codes by Network - 2023 Guide. Chargeback reason codes. Timeframe: Under card network rules, a cardholder has up to 120 calendar days from the settlement date to initiate a chargeback (depending on the chargeback reason code). A chargeback can be initiated up to 120 days—but not more than 540 days—of one of the following events: The date the transaction was processed. When card holders discover a criminal accessed their credit card data and used it to make fraudulent purchases, the customer may file a chargeback to recoup their funds. Each time a consumer files a chargeback, the merchant is hit with a fee ranging from $20 to $100 per transaction. Once you receive this notification, you have 11 days to submit a response. On the other hand, PayPal—which can serve as a credit card processor for merchants—allows buyers up to 180 days to file a claim. FR2 Fraud Full Recourse Program. 1? Visa chargeback reason code 12. Chargeback reason codes are alphanumeric codes established by the major card networks that indicate the reason a chargeback was filed. 1. “It’s a lot tougher with Mastercard because they only use four main codes. 4853 – Cardholder Dispute – Credit Not Processed. Collect Compelling Evidence. In representment, the merchant provides evidence to the issuing bank based on the chargeback reason code. 6). Visa Chargeback Life Cycle. It was created to protect. Chargeback Reason Codes 62 and 4862 are issued when a merchant fails to compare the first four digits of the embossed account number on the card with the pre-printed digits below the embossed number for a card-present transaction or receives an authorization without the transmission of the entire magnetic stripe. In order to identify the reason a customer disputed a charge, it can be helpful to examine the reason code on the chargeback. In order to identify the reason a customer disputed a charge, it can be helpful to examine the reason code on the chargeback. Reason Code: 10. Key-in your chargeback reason code and get a detailed explanation of what it means, how to fight the chargeback, and how to prevent disputes in the future. When filing a chargeback,. Chargeback Reason Codes by Network - 2023 Guide. Here are some chargeback reason codes by card type. 4. The Discover chargeback reason codes list is just as extensive as the other major US card schemes, despite being the youngest and smallest of the four. Overview. The reason_code will be one of the following values: chargeback_reimbursement: The gross shows positive if the chargeback was resolved in the seller's favor, and the seller gets a refund. Code 4807: Fraudulent Card-Present Transaction. If a customer makes a chargeback request on the basis that he or she has not authorised the transaction, the customer's bank will charge the transaction back to the merchant’s bank. 2 chargeback if you override a declined, referral, or pickup authorization message, but process the transaction anyway. VCR Dispute Reason Code 10. A service chargeback is filed by a customer, which means that you need to note the card type and dispute reason code so that you can determine which types of information to submit if you dispute the claim. Goods / Services Damaged or Defective. Most acquiring banks put a timeframe on when customers can initiate a chargeback for a purchase. Clerical These are only a handful of common Visa chargeback reason codes. Info Us; In and. Specify the invoice date and net due date that you want the system to assign to chargebacks. Chargeback Reason Code List - U. Common reason codes Mastercard. Return fraud happens when consumers bring an item (or items) back to you to request a refund in the form of store credit or cash. Please see which evidence is suggested for each chargeback reason, as the needs may vary. These disputes are commonly referred to as friendly fraud. Accepting recurring transactions is enough cause for acquiring banks and processors to label you as a “high-risk” merchant. With the implementation of Visa Claims Resolution, reason code 98 eventually became obsolete. For this reason, you must document all debit and credit card transactions and adhere to the strict rules set by the card networks. RN2: Credit Not Received: NC: Not Classified: Processing: 4834: Point of Interaction Error: 4834: Transaction Amount Differs: 4834: Late Presentment: 4834: Point-of-Interaction Currency. Issued the credit but did not deposit it with its processing bank in time for it to appear on the cardholder’s next statement. 11. Chargebacks are a problem that is growing worse across the board, and gas station. RN2 Credit Not Processed . While there are reason codes related to processing errors that cause disputes, the majority of reason codes result from a cardholder disputing a charge. DD: Unearned (disallowed) discount amount. The process is often troublesome; most times, reason codes do not show the actual basis why customer is disputing a transaction. However, it is important to note that this reason code is based on the reason given by the customer to their bank. Offer shipment and delivery tracking. Different card networks have different reason code systems. On that note, below are some vendor missteps that could result in Visa reason code 13. Credit card chargeback reason codes broken down by Mastercard, Discover and American Express Visa chargeback reason codes. 6, 13. Chargeback reason code 75 is issued when a card issuer receives a complaint from a cardholder stating that the name of the merchant that. Most reason codes apply to any merchant, regardless of what’s being sold. Our all-in-one e-commerce fraud prevention solution helps e-commerce companies reduce chargeback overheads while streamlining transactions for legitimate users. Merchants can analyze the root causes of their chargebacks by examining the reason code of the chargeback and their own records regarding the purchase in question. FR6 Partial Immediate Chargeback Program. Write Off Reason Code . For instance, if the customer claims unauthorized purchase, your letter should cite evidence, such as an IP address matching previous purchases, to support. Fight; Prevent; Recover; Resources. Choose “chargeback and inquiry status” from the drop-down menu. About American Express chargeback reason codes. However, even if you meet all deadlines and the chargeback request is fully substantiated with documentary evidence, there are three additional obstacles that you must overcome before a credit card dispute can be processed: You have to choose the correct reason code. Blog and Articles; Success Stories; Chargeback Reason Codes;. The agency must provide this documentation to Vantiv (via mail, fax, online/scanning) within 30 calendar days after the report date on the Visa/MasterCard. High-Risk (Excessive): Reaching a chargeback ratio of. The reason_code field lists the reason code the issuing bank has assigned to the chargeback. It is associated with a chargeback reason code, and it is specific per Card Scheme. This definitive guide containing the chargeback reason user from each of the quad major card networks. In the distribution industry,. Try Shopify free for 3 days, no credit card required. 1These chargebacks occur to resolve chargeback-related disputes between network members. Late Presentment Rules: Mastercard. 2. Legacy Code: 71. You’ll put that reason code, the transaction amount and authorization number, and state that the. These codes are established by the payment brands to categorize the incoming dispute requests by reason. A chargeback filed due to buyer’s remorse is a prime case of friendly fraud; a situation where a customer side-steps a return policy in order to gain an illegitimate refund. Reason Code 04. There are multiple situations in which this can occur. Reason Code 12. Typical chargeback reason codes are: DA: Disputed amounts. This definitive guide includes the chargeback reason codes coming each of the four greater menu networks. VCR tables (Figures 1 and 2) map the old Reason Code to its new Reason Code. Share your cancellation policy, note that it was displayed prominently, and show that the cardholder agreed to the terms at the time of the purchase. The incorrect amount being charged. By entering your email, you agree to receive marketing emails from Shopify. 2. Reason Code 03. Discover. There are no format changes to the sales file specification; there are additional values added to the sales file to designate chip card transactions. “Goods Not Received” also jumped to 9% of repudiated transactions as customers attempted to recoup losses for canceled flights. You should maintain dispute templates for each reason code and include your intent to fight the chargeback and why. The cardholder claims that an expected credit from the merchant was not received. As part of its move to support card-not-present merchants and airlines, Visa made changes to the compelling evidence requirements for four key reason codes: Reason Code 30: Services Not Provided or Merchandise Not Received. Chargeback Reason Codes; Payment Industry Glossary;. You must tailor your representment case — including the compelling evidence — to the reason code under. Specifically, these updates only pertain to transactions that are charged back after Oct. Mastercard also considers some chargeback reason codes to be indisputable. A customer will go straight through their bank to initiate a chargeback. The major card networks have unique reason code systems, and banks use separate tools. Unfortunately, it is pretty challenging to prevent friendly fraud. The sales receipt and/or date and amount of the authorization if other than the transaction date. Tips for an effective chargeback return policy. The merchant's evidence must demonstrate that this claim is false. Using the same link provided above, contact PayPal to report the scam. There are tricks you might use to circumvent an. You can also be put on a monitoring list and have your account canceled with. Chargeback. When one cardholder initiates a dispute with their issuing bank, a. Mastercard Chargeback Reason Code 73: Duplicate Transaction. April 2018_Chargeback Reason Code Encyclopedia. But to win, you will need to understand exactly what is going on – and the "reason" doesn't necessarily match the root cause. Visa uses Reason Code 85 and its MasterCard’s equivalent is 4860. Solutions. If they succeed, the issuing bank will reverse the chargeback and return. 3: Goods or services were not as described: C31: RM: 13. 3. 103. #9. Because of this, banks, merchants, and card networks often classify chargebacks into three distinct categories to determine how they should be approached. No two merchants will get exactly the same chargebacks for the same reasons, but there are definite patterns depending on the market you serve. In 2021, 43 percent of companies identified customer service delays as a top reason for their increase in chargebacks. . Consult the applicable network’s guidelines for examples of acceptable compelling evidence. A risk department can accurately analyze what the issue is with their merchant by seeing the individual reason code,” Cirone explained. Reason codes are important to help merchants address recurring. 9% and 100 chargebacks per month], you can get into the excessive chargeback program, which can cause penalties of up to $50 per chargeback. A fraudulent chargeback represents much more than a lost sale for merchants. Depending on the specific situation, Mastercard will match authorization response to one of the following merchant advice codes: Mastercard Response Code. pdf - Free download as PDF File (. 5 Dispute Reason Codes when you are in the Visa Fraud Monitoring Program. There are four primary phases to a Visa dispute: After Visa adopted VCR processes, most card networks altered their dispute cycles to be more in line with that used by Visa. Investigate suspicious orders. Category. Discover chargeback Reason code RN/RN2 is applied when issuing bank gets a notice from the card owner that merchandise was returned, but merchant hasn’t refunded, and credit hasn’t appeared on the bank statement. The aim of CE 3. A chargeback reason code. The chargeback reason code is important in determining the evidence you need to provide to successfully win the chargeback dispute. Category. The newer system is designed to. 3: Goods or services were not received: C08: RG: 4855: 13.