Chargeback Protection Policy

NoFraud will reimburse customers for any fraudulent chargebacks from transactions that NoFraud deemed to be legitimate, i.e. the NoFraud response was Pass.

What is Covered:

  • NoFraud covers chargebacks on orders we received, screened and marked in the NoFraud portal as a Pass.
  • NoFraud covers chargebacks due to fraud or unauthorized charges, usually due to stolen account information or stolen card information. Please see Chargeback Reason Code list below.

What is not Covered:

  • Phone orders that are placed without using the NoFraud Phone Screening function.
  • Instances where the item was shipped to an address other than the shipping address listed on the order. Shipping carriers should be notified to disallow address changes.
  • Chargebacks from a transaction that was on the customer whitelist.
  • Chargebacks due to errors made by the merchant, card processor, or shipper such as: Duplicate charges, Refunds not processed, Items not delivered, Items not as described, or items defective/broken.
  • Orders of delivered goods that have not been delivered.
  • Orders without proof of delivery.
  • Goods that have been recovered and returned back to the merchant.
  • Chargebacks from transactions that NoFraud did not screen.
  • Chargebacks due to integration errors.

Pricing Details

  • Merchant shall receive a NoFraud Rate Agreement with a custom rate.
  • International orders are subject to an additional 0.20% fee.
  • Refer to Rate Agreement for individual maximum coverage.
  • NoFraud reserves the right to adjust the chargeback protection rate. NoFraud will provide you with 14 days notice.

Chargeback process:

  • Chargeback must be submitted within 7 days of merchant’s receipt of notification.
  • When submitting a chargeback, merchant is responsible to provide the following:
    • A copy of the chargeback notification.
    • Proof of delivery. Acceptable forms of proof of delivery include carrier tracking information that indicates successful delivery to the shipping address and/or signature confirmation documentation.
    • Any other available info related to the chargeback.
  • NoFraud must be given authorization to communicate with the payment processor and otherwise access the applicable merchant portals and other third-party platforms on the merchant's behalf to dispute chargebacks. NoFraud will dispute the chargebacks on the merchant's behalf. Failure to give authorization and/or merchants disputing chargebacks on their own may disqualify the transaction from Chargeback Protection Coverage.
  • When the chargeback is resolved, the merchant must provide NoFraud with the resolution copy within 7 days.

Please Note:

  • NoFraud must receive all critical data fields for transactions to be covered under Chargeback Protection. They are: a. Customer IP address, b. Transaction total ($), c. Invoice number d. Billing address (street, state, zip, city, country), e. Shipping information (tangible goods) (street, state, zip, city, country) f. Phone number g. Email address h. Device ID (device JavaScript).
  • The Chargeback Protection rate is based on receiving all credit card transactions from a merchant’s website.
  • If the merchant is using a Content Delivery Network (CDN) or another form of proxy, they need to ensure they are sending the customer's IP to NoFraud and not that of the CDN/Proxy. Customer IP is a critical field and lack thereof limits the effectiveness of our verification. It is a mandatory field for Chargeback Protection. The merchant can reach out to their NoFraud Integration Specialist for assistance on this matter if needed.
  • Companies selling digital goods will have a waiting period before they are eligible for Chargeback Protection. Please contact NoFraud for more details.
  • If at any point in time before a package is delivered, NoFraud gains additional information that a transaction is fraudulent, NoFraud will request from the merchant that they intercept the package before delivery. NoFraud will cover the associated fees in most cases.
  • Failure to intercept the package in a timely manner may disqualify the transaction from coverage.
  • Coverage on non-credit card transactions (ex: Amazon Payments, PayPal Express) requires prior approval from NoFraud. PayPal Guest Checkout transactions are not covered.
  • Account must be on Live mode (not test mode) to be eligible for coverage.

Chargeback Reasons Codes:

  • Fraud (Card Not Present) / No cardholder authorization
    • Code #83
    • Code #63
    • Code #UA02
    • Code #7030
    • Code #F24
  • Transaction not recognized
    • Code #75
    • Code #37
    • Code #AA
    • Code #7030