Action for First Data Customers - Important Response Requested – Preparation for Visa Claims Resolution Spring Release 2018

In the spring of 2018, VISA will change the Dispute Process which requires Merchants to examine their internal process and adjust to accommodate the new VISA requirements.   A brief summary of upcoming changes are listed below.   If you are currently utilizing either FAX or Mail to receive or respond to your Disputes, you are encouraged to switch to First Data’s Dispute Manager, which offers a systemic solution to view, respond and upload documentation.  Dispute Manager is a free service offered within the Clientline suite of products.  The link below presents a Dispute Manager Demo.  The Merchants can access Dispute Manager, using existing Clientline User ID, however if Dispute Manager Application isn’t present, please contact me. For Merchants who have access, but have chosen not to use it, I encourage Merchants to start using Dispute Manager right away to become familiar with the tool, prior to the 2018 spring mandate.    

Visa Claims Resolution (VCR):  Visa has extended the implementation timeframe for the VCR initiative from October 2017 to April 2018.  Visa will implement changes to support new dispute financial transactions, fields, values, and processing rules.

The following changes will be implemented:

1.  Chargeback reason codes will be consolidated into four claim types

2.  The Acquirer/Processor cycle timeframes for disputes will be reduced

      -  April 2018:  from a 45-day cycle to 30 days

      -  October 2018: from a 30-day cycle to 20 days

3.  Dispute financial processes impacting when/how clients are debited/credited will be revised

4.  Merchant responses to all disputes will be mandated

5.  New edits to reject invalid disputes to the Issuer for invalid chargeback scenarios will be introduced

Important Notes:

1.  Merchants must respond to all disputes. 

2.  Merchant timeframe is 20 days for responding to First Data. 

3.  The Merchant’s bank account is drafted upon the receipt of the initial dispute.  A credit will be issued only if the dispute resolves in the Merchant’s favor.

Dispute Manager Demo: