YNOT took a detailed look into content the major credit card brands deem acceptable (or not) for sites taking online payments, and how merchants often must balance free expression with the necessity of getting paid for their work. Segpay CEO Cathy Beardsley was interviewed for the piece and provided insight from the payment processor’s point of view:
Cathy’s latest XBIZ.com piece, Major Card Brands Roll Out New Changes, focuses on recent updates from Visa and Mastercard aimed at reducing chargebacks, while highlighting advances in the anti-chargeback tools at our disposal, including 3-D Secure 2.0 and Visa’s Merchant Purchase Inquiry program.
While rules are getting stricter, the tools we can use to fight chargebacks are stronger than ever…. (Visa) will allow processors supporting VMPI to respond to a bank inquiry almost immediately, ensuring it does not become a chargeback.
Visa has announced stricter chargeback rules affecting its dispute monitoring programs for both merchants and acquiring banks.
When it comes to the content on our merchants’ websites, we are extremely open minded. However, the credit card brands – Visa and Mastercard in particular – have pretty specific guidelines about what is allowed and what isn’t. A big part of Segpay’s role is in making sure our merchants are staying in compliance with these guidelines. Cathy’s latest piece on XBIZ.com, Taming the World ‘Wild’ Web, discusses what you need to know about content guidelines to avoid fines.
One of our responsibilities as a biller is to scrutinize content on the websites where we process, because inappropriate content can lead to serious consequences with the card brands. Even not having enough content can be a problem – not because it leads to fines, but because it can be a predictor of chargebacks.
As of April 15, 2018, Visa Claims Resolution (VCR) was introduced with enhanced dispute rules and a new workflow and process. VCR is intended to decrease the time needed to resolve claims, and offers the following benefits to acquirers, merchants, and issuers:
The next generation of 3-D Secure (3DS) payment authentication is on the horizon, promising even stronger fraud prevention for ecommerce transactions. Visa shared some news last week about its plans for supporting the rollout of 3DS 2.0. Here’s a summary:
To continue the fight against fraud, prevent chargebacks and improve consumer protection, Visa has updated its rules regarding business location and how it is disclosed to consumers. Bottom line: the physical location where you do business must be in the same region of the world as your acquiring bank, and that location should be clearly identified on your website(s). The updates, which went into effect February 1st, include the following requirements:
- Your business has physical offices in your country of incorporation.
- You have a business license in that country.
- A majority of your directors are located in that country.
- You pay taxes in that country.
- Your company’s terms and conditions are governed by the law of that country.
- Your physical address, as well as an email and phone number where consumers can reach you, is displayed on your website.
Non-compliance with Visa’s rules can result in steep fines. The good news: SegPay will work with you to make sure you are meeting these requirements. Please review your sites according to the updates listed above, and don’t hesitate to contact us if you have any questions.