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Visa 12.3 - Incorrect Currency

TL;DR
  • Checkout showed one currency. The card got billed in another. That's the code.
  • DCC is the usual culprit. The terminal converted, and nobody asked the cardholder.
  • Cardholder filing window: 120 days. Your response window: 30 days.
  • DCC is only a defense if you logged the opt-in. A pre-ticked box isn't consent.
  • If the currency really was wrong, don't fight it. Refund and fix the checkout.

The cardholder got billed in a currency they never agreed to, and usually that's a conversion nobody asked for.

When This Code Applies

  • Charged in different currency than shown
  • Dynamic Currency Conversion (DCC) applied without consent
  • Incorrect conversion rate
  • Currency code mismatch in processing

Conditions for Valid Dispute

Issuer Must Verify

  1. Currency charged differs from agreed
  2. Cardholder didn't consent to the currency change
  3. Financial impact to cardholder

Common Scenarios

ScenarioIssue
Checkout showed USD, charged EURCurrency mismatch
DCC without opt-inUnauthorized conversion
Wrong currency codeProcessing error
Rate manipulationIncorrect conversion

Time Frames

ScenarioWindow
Cardholder files120 days from transaction date
You respond30 days from the dispute

DCC (Dynamic Currency Conversion)

DCC pays the merchant a cut of the markup. That's why terminals push it too hard.

Done right, the cardholder sees both currencies and the rate, picks one, and gets both on the receipt. Declining has to be as easy as accepting. Anything less and you have no defense.

Unless you can log the opt-in, turn DCC off. An unlogged conversion is an unauthorized one, and that's the whole basis of this code.

DCC Red Flags

  • Pre-selected conversion
  • No rate disclosure
  • No opt-out option
  • Rate significantly above mid-market
  • Receipt only shows one currency

Representment Options

1. Currency Was Correct

Evidence required:

  • Transaction records showing correct currency
  • Checkout screenshot/logs
  • Currency displayed to cardholder
  • Order confirmation with currency

Evidence required:

  • DCC disclosure screen
  • Cardholder acceptance record
  • Receipt showing both currencies
  • Consent checkbox/signature

3. Pricing Was Accurate

Evidence required:

  • Price as displayed at purchase
  • Currency matching order
  • No undisclosed conversion

Prevention Strategies

Put the currency code next to the price, not in the footer. Default to the customer's country, then let them change it. Show it again on the confirmation screen.

Never pre-select DCC. Show the rate and the markup, make declining one click, and log which way the customer went. Check that the settled currency matches the one you displayed. Use ISO codes, not symbols, and test with a foreign card.

Win Rate Expectations

Defense TypeExpected Win Rate
Correct currency proven85-95%
DCC consent documented70-85%
Currency mismatch confirmedUnder 20%

A confirmed mismatch is a refund, not a representment. Fix the checkout instead.

Common Mistakes

  1. USD-only for international - Offer the local currency
  2. Currency code typos - EUR billed as USD
  3. No currency on the receipt - Can't prove what was agreed
  • 12.2 - Incorrect Transaction Code
  • 12.4 - Incorrect Account Number
  • 12.5 - Incorrect Amount

See Also