Chargeback Protection Policy

Customers on NoFraud’s Chargeback Protection will be reimbursed for any fraudulent chargebacks from transactions that NoFraud deemed to be legitimate.


  • No Commitments: Ability to turn on/off Chargeback Protection in your customer portal at any time.
  • Chargeback Protection is an add-on in addition to NoFraud’s fee per transaction. The rates are:
    • 0.25% for delivered goods.
    • 0.6% on digital goods.
  • Maximum coverage of $5,000 per transaction. Any transaction over $5,000 will still be insured for $5,000. Ex: a $6,000 transaction will be insured and billed for $5,000.
  • International orders are subject to an additional 0.20% fee.
  • For delivered goods, all orders must have proof of delivery in order to be eligible for chargeback protection.
  • We reserve the right to adjust the chargeback protection rate. We will provide you with 14 days notice.

What is Covered:

  • 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. This is another common fraud tactic: fraudsters will process the order to the address linked to the card, have it pass fraud review, call up customer service or even the shipping carrier to change the address to their homes or a forwarding company. Please ensure that your customer service team is trained to tell customers that would like to change their shipping address to cancel their order and create a new one on your website. Your shipping carrier should be advised that you do not allow 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.

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 and signature (if applicable)
    • Any other available info related to the chargeback
  • 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 (physical 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.

Chargeback Reasons Codes:

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