Mastercard revises standards for “No cardholder authorization” disputes

For: Merchants processing merchant-initiated transactions
Effective date: April 14, 2023

To challenge a dispute chargeback on a merchant-initiated transaction (MIT) with reason code 4837 (No Cardholder Authorization), a merchant may provide authorization data from a previous transaction that the cardholder conducted at the merchant as compelling evidence of the cardholder’s participation in the disputed transaction. The authorization data must show that the previous transaction either was fully authenticated or contained card validation code 2 (CVC 2) data that the issuer verified.