Visa Global Merchant Fraud Performance
Program
5 Visa Global Merchant Fraud
Performance Program
The Global Merchant Fraud Performance Program applies if a merchant is located
in one region and a card is issued in another region. For example if a merchant
was located in Europe and the card was issued in Asia then this programme would
apply.
There are two categories in the program as set out in the tables below.
Minimum Fraud Performance • $25,000 of reported fraud; and
• 25 fraud transactions; and
• 2.5% fraud to sales ratio
Excessive Fraud Performance • $250,000 of reported fraud; and
• 2.5% fraud to sales ratio
For merchant's who meet or exceed the minimum fraud performance thresholds,
remediation consists of:
1. Workout period – There is a three month workout period during which Adyen
will work with the merchant to remedy the fraud problem. No financial
penalties will be imposed at this time.
2. Enforcement Period – If the merchant does not reduce fraud to below the
accepted thresholds, it can become liable for chargeback liability (if it isn't
already) and fines following the workout period. Continued non conpliance
can lead to the revoking of the merchants right to accept Visa payments.
For merchant's who meet or exceed the excessive fraud performance thresholds,
remediation consists of:
1. Workout period – There is no workout period
2. Enforcement period – Effective immediately, the merchant is subject to
charge-back liability for fraudulent transactions. In the beginning of month
three, fines are applied in addition to charge-back liability. Continued non-
compliance can lead to the revocation of the right to accept Visa payments.
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