Skip to main content

Visa 13.8 - Original Credit Transaction Not Accepted

TL;DR
  • They're owed a refund and the money never reached them.
  • Usually it went to a card that's been replaced or closed.
  • Best defense is matching last four digits. Same card in, same card out.
  • Dispute window is 120 days from the credit date.

You issued the refund. It landed somewhere they can't get to it.

Overview​

You refunded the sale, so you think you're done. The cardholder never saw the money. It went to a card that's been replaced, an account that's closed, or a different method entirely.

When This Code Applies​

  • You refunded a different card than the one they paid with
  • The card was replaced or closed after the sale
  • The credit went to an expired card number
  • The account can't accept credits at all
  • The refund went out by a method they never agreed to

Conditions for Valid Dispute​

The cardholder has to clear three bars here. They can't get their hands on the credit. No one has paid them by another route. And the refund is genuinely owed to them.

Common Scenarios​

ScenarioIssue
Card replacedRefund to old number
Different cardPaid Visa, refunded MC
Closed accountCard no longer active
Fraud replacementNew card issued after fraud

Time Frames​

ScenarioDispute Window
Standard120 days from credit date

Representment Options​

1. Refund to Same Card​

  • The last four digits from the original sale
  • The last four digits from the refund you sent
  • Proof that the two numbers are the same
  • A note telling the cardholder to call their issuer

2. Card Was Updated or Replaced​

You refunded the card on file and the network changed it under you.

  • Proof the refund went to the card on file
  • The Account Updater record showing when the number changed
  • Credits to the old card should route to the new one
  • Routing them is the issuer's job, not yours

3. Refund Was Received​

  • A cardholder statement showing that the credit landed
  • Settlement confirmation from your processor showing the credit
  • The cardholder's own bank confirming they got it

4. Alternative Refund Arranged​

  • Proof of the check, ACH or wire you sent
  • Store credit they accepted, confirmed in writing

Why This Happens​

Nearly always, it's a card that moved on you. The customer swapped the one on file. Or the bank replaced it after fraud or expiry. Sometimes you had two cards stored and picked wrong.

Prevention Strategies​

  1. Refund to the same card by default, as a system rule
  2. Alert on mismatch when the refund card differs from the sale
  3. Keep Account Updater data current, because stale numbers cause this
  4. Ask whether the card changed on anything a few months old
  5. Confirm the refund in writing with method, amount and date
  6. Offer a check or ACH once the original card is gone

Special Situations​

Card replaced after fraud. The new card should receive credits sent to the old one. Routing them is the issuer's job. Send your documentation anyway. Some of these need issuer-to-issuer resolution.

Closed accounts. The credit just bounces back to the issuer. You'll need a check or ACH instead. Tell the customer before they work it out themselves.

Prepaid and gift cards. Plenty of them won't accept credits at all. Check the terms first, then refund another way.

Account Updater Impact​

Visa Account Updater refreshes stored card numbers automatically. It routes credits through to the new card. That helps. It also means the number you refunded isn't always the number you think.

Win Rate Expectations​

These aren't promises. They're what each defense tends to be worth.

Defense TypeExpected Win Rate
Refund to same card (matched)80-90%
Account Updater updated60-75%
Alternative refund issued75-85%
Wrong card refundedUnder 30%
  • 13.6 - Credit Not Processed, where no refund went out at all
  • 12.4 - Incorrect Account Number, where the sale hit the wrong card
  • 13.1 - Not Received, the plain non-delivery code

See Also​

Last updated on