Mastercard SPME §11.14 · Sep 2024 → May 2025

MATCH Pro Reason Codes

substantive

The section introduces new detailed MATCH Pro Reason Codes outlining conditions under which merchants can be reported for excessive chargebacks, excessive fraud, coercion, questionable audits, insolvency, and violation of standards, including both Mastercard and American Express specific criteria.

Sources Mastercard SPME · Sep 2024 PDF Mastercard SPME · May 2025 · page 147 PDF ECP Thresholds current

Also in §11.x this release breaking §11.2.3 "Inquiring about a Merchant" (regarding the use of MATCH Pro) substantive §11 It is the Acquirer's obligation to confirm that the results from MATCH Pro are relevant to the substantive §11.1.1 System Features substantive §11.10 MATCH Pro Record Retention substantive §11.13 MATCH Merchant Removal from MATCH Pro substantive §11.14.1 Reason Codes for MATCH Merchants Listed by an Authorized User substantive §11.3 MATCH Pro Standards substantive §11.4 Acquirer Requirements substantive §11.5 When to Add a Merchant to MATCH Pro substantive §11.5.1 Acquirer Responsibility: Requests for Removal from MATCH Pro substantive §11.6 Inquiring about a MATCH Merchant substantive §11.6.1 How does MATCH Pro search when conducting an inquiry? substantive §11.6.3 Phonetic Possible Matches

Why these edits? The introduction of detailed MATCH Pro Reason Codes for excessive chargebacks and other merchant issues directly affects the Excessive Chargeback Program (ECP) Thresholds policy, as it introduces new specific conditions and reporting standards for when merchants are identified for excessive chargebacks and fraud.

Mastercard SPME §11.14

This section was substantively restructured between versions (0% text overlap). Compare the texts directly below.

Before · Sep 2024

After · May 2025 · page 147

Security Rules and Procedures—Merchant Edition • 11 February 2025

MATCH Pro Reason Code Description Excessive Chargebacks With respect to a MATCH Merchant reported by a Mastercard Acquirer, the aggregate number of Mastercard chargebacks over the previous three months exceeded 1.5% of its Mastercard sales Transactions in that month, and those chargebacks equaled or exceeded USD 5,000 in total. With respect to a merchant reported by an American Express acquirer (ICA numbers 102 through 125) as a MATCH Merchant, the merchant exceeded the chargeback thresholds of American Express, as determined by American Express. Excessive Fraud The MATCH Merchant effected fraudulent Transactions of any type (counterfeit or otherwise) meeting or exceeding the following minimum reporting Standard: the MATCH Merchant's fraud-to-sales dollar volume ratio was 8% or greater than the previous three months, and the MATCH Merchant effected 10 or more fraudulent Transactions equal to or greater than USD 5,000 in the previous three months. Coercion A Transaction processed by a MATCH Merchant due to threatened or actual physical harm to the Cardholder (or the Cardholder's immediate family member) or the threatened or actual unlawful taking of property from the Cardholder (or the Cardholder's immediate family member). Mastercard Questionable Merchant Audit Program The MATCH Merchant was determined to be a Questionable Merchant as per the criteria set forth in the Mastercard Questionable Merchant Audit Program (refer to Section 8.4 of this manual). Liquidation/Insolvency The MATCH Merchant was unable or is likely to become unable to discharge its financial obligations. Violation of Standards With respect to a MATCH Merchant reported by a Mastercard Acquirer, the MATCH Merchant was in violation of one or more Standards that describe procedures to be employed by the MATCH Merchant in Transactions in which Cards are used, including, by way of example and not limitation, the Standards for honoring all Cards, charges to Cardholders, minimum/ maximum practices amount restrictions, and prohibited practices set forth in Chapter 5 of the Mastercard Rules manual. In instances where a MATCH Merchant can control the information populated in the Transaction message (i.e., MCC, Acceptor name, Acceptor address, etc.), this includes violations regarding the accuracy of this data. With respect to a merchant reported by an American Express acquirer (ICA numbers 102 through 125) as a MATCH Merchant, the merchant was in violation of one or more American Express bylaws, rules, operating regulations, and policies that set forth procedures to be employed by the merchant in transactions in which American Express cards are used. MATCH Pro System

Halyard Pay · 2 files

ECP Thresholds · rules.yaml

program: ECP
- authority: Mastercard SPME 11.4, 11.5, 13.1.2
+ authority: Mastercard SPME 11.4, 11.5, 11.14
chargeback_to_transaction_ratio_threshold: 0.015
min_chargeback_count: 100
program_tiers:
  - standard
  - excessive
tier_thresholds:
  standard: 0.015
  excessive: 0.030
merchant_notification_business_days: 5
monitoring_cadence: monthly
agent_owner: ecp_ops_agent
 
- # The SPME discontinued the explicit definition of 'Basis Points' in section 8.3.1, which previously described chargeback rate calculations.
- # Despite this removal, the ECP Thresholds policy retains chargeback rate thresholds expressed as ratios rather than basis points,
- # maintaining consistency with Mastercard's monitoring requirements under section 11.4.
- # Program thresholds and tier definitions remain unchanged, preserving the integrity of risk evaluation and compliance.
+ # The Mastercard SPME update in section 11.14 introduces detailed MATCH Pro Reason Codes,
+ # specifying criteria for excessive chargebacks, fraud, coercion, and other merchant risks.
+ # While the ECP Thresholds policy's chargeback ratio thresholds remain aligned with section 11.4,
+ # this policy now explicitly references 11.14 to acknowledge the addition of these detailed measures
+ # that guide risk monitoring and merchant classification in the MATCH system, enhancing
+ # conformity to Mastercard's evolving merchant risk management standards.

ECP Thresholds · policy.md

Excessive Chargeback Program (ECP) Thresholds

Mastercard's Excessive Chargeback Program (ECP) monitors merchants whose chargeback activity exceeds established thresholds relative to monthly transaction volume and chargeback amounts. Halyard Pay tracks these metrics monthly and escalates merchants meeting or surpassing program criteria into risk management processes.

Program tiers

There are two escalation tiers based on chargeback-to-transaction ratios calculated monthly:

Standard: Chargeback ratio of at least 1.5% (0.015) with a minimum of 100 chargebacks.
Excessive: Chargeback ratio of 3.0% (0.03) or greater.

The chargeback ratio is determined by dividing the number of chargebacks received for a merchant within a month by the total Mastercard transactions for that merchant in the preceding month.

MATCH Listing criteria

Merchants may be reported to the MATCH system ~~under~~ for reasons beyond excessive chargebacks, including ~~compliance violations, fraudulent behavior, or illegal activity—not solely for~~ fraud, coercion, insolvency, and violations of Mastercard or American Express standards. Specifically, excessive ~~chargebacks. Reporting criteria require~~ chargebacks to that meet or exceed 1% 1.5% of Mastercard sales ~~and a~~ over a three-month period with total chargebacks of at least USD 5,000 ~~chargeback amount. Acquirers must assess relevant standards and risk behavior per Mastercard and American Express protocols.~~ may trigger MATCH Pro reporting under the "Excessive Chargebacks" reason code. Fraudulent activity meeting defined thresholds and other compliance violations also constitute grounds for MATCH listing.

Required actions

Calculate each merchant's monthly chargeback-to-transaction ratio and total chargeback amount.
Assign merchants to the appropriate escalation tier based on ratio thresholds.
Evaluate MATCH Pro reporting needs considering ~~broader~~ a merchant’s chargeback and fraud metrics and other compliance or legal issues.
Open an ECP case and notify the merchant within five business days.
Monitor merchants monthly until program exit.
Escalate cases to chargeback agents for automated handling.

Data Protection and Privacy Considerations

Aligned with ~~Mastercard's~~ Mastercard’s data protection requirements under EU regulations, Halyard Pay ensures all personal data processing related to ECP complies with enhanced privacy and security protocols, including minimizing access, safeguarding data, complying with transfer restrictions, and cooperating on breach notifications. Halyard Pay and clients function as independent data controllers, maintaining transparency and accountability.

Source authority: Mastercard SPME §§11.4, 11.5, 11.14, 13.1.2, 11.5.1.

policies/ecp_thresholds/policy.md — after applying change

Excessive Chargeback Program (ECP) Thresholds

Program tiers

There are two escalation tiers based on chargeback-to-transaction ratios calculated monthly:

Standard: Chargeback ratio of at least 1.5% (0.015) with a minimum of 100 chargebacks.
Excessive: Chargeback ratio of 3.0% (0.03) or greater.

The chargeback ratio is determined by dividing the number of chargebacks received for a merchant within a month by the total Mastercard transactions for that merchant in the preceding month.

MATCH Listing criteria

Required actions

Calculate each merchant's monthly chargeback-to-transaction ratio and total chargeback amount.
Assign merchants to the appropriate escalation tier based on ratio thresholds.
Evaluate MATCH Pro reporting needs considering ~~broader~~ a merchant’s chargeback and fraud metrics and other compliance or legal issues.
Open an ECP case and notify the merchant within five business days.
Monitor merchants monthly until program exit.
Escalate cases to chargeback agents for automated handling.

Data Protection and Privacy Considerations

Source authority: Mastercard SPME §§11.4, 11.5, 11.14, 13.1.2, 11.5.1.

Source authority: Mastercard SPME §11.14.

--- a/policies/ecp_thresholds/rules.yaml
+++ b/policies/ecp_thresholds/rules.yaml
@@ -1,5 +1,5 @@
 program: ECP
-authority: Mastercard SPME 11.4, 11.5, 13.1.2
+authority: Mastercard SPME 11.4, 11.5, 11.14
 chargeback_to_transaction_ratio_threshold: 0.015
 min_chargeback_count: 100
 program_tiers:
@@ -12,7 +12,9 @@
 monitoring_cadence: monthly
 agent_owner: ecp_ops_agent
 
-# The SPME discontinued the explicit definition of 'Basis Points' in section 8.3.1, which previously described chargeback rate calculations.
-# Despite this removal, the ECP Thresholds policy retains chargeback rate thresholds expressed as ratios rather than basis points,
-# maintaining consistency with Mastercard's monitoring requirements under section 11.4.
-# Program thresholds and tier definitions remain unchanged, preserving the integrity of risk evaluation and compliance.
+# The Mastercard SPME update in section 11.14 introduces detailed MATCH Pro Reason Codes,
+# specifying criteria for excessive chargebacks, fraud, coercion, and other merchant risks.
+# While the ECP Thresholds policy's chargeback ratio thresholds remain aligned with section 11.4,
+# this policy now explicitly references 11.14 to acknowledge the addition of these detailed measures
+# that guide risk monitoring and merchant classification in the MATCH system, enhancing
+# conformity to Mastercard's evolving merchant risk management standards.

--- a/policies/ecp_thresholds/policy.md
+++ b/policies/ecp_thresholds/policy.md
@@ -12,19 +12,19 @@
 
 ## MATCH Listing criteria
 
-Merchants may be reported to the MATCH system under reasons including compliance violations, fraudulent behavior, or illegal activity—not solely for excessive chargebacks. Reporting criteria require chargebacks to exceed 1% of Mastercard sales and a USD 5,000 chargeback amount. Acquirers must assess relevant standards and risk behavior per Mastercard and American Express protocols.
+Merchants may be reported to the MATCH system for reasons beyond excessive chargebacks, including fraud, coercion, insolvency, and violations of Mastercard or American Express standards. Specifically, excessive chargebacks that meet or exceed 1.5% of Mastercard sales over a three-month period with total chargebacks of at least USD 5,000 may trigger MATCH Pro reporting under the "Excessive Chargebacks" reason code. Fraudulent activity meeting defined thresholds and other compliance violations also constitute grounds for MATCH listing.
 
 ## Required actions
 
 1. Calculate each merchant's monthly chargeback-to-transaction ratio and total chargeback amount.
 2. Assign merchants to the appropriate escalation tier based on ratio thresholds.
-3. Evaluate MATCH reporting needs considering broader compliance or legal issues.
+3. Evaluate MATCH Pro reporting needs considering a merchant’s chargeback and fraud metrics and other compliance or legal issues.
 4. Open an ECP case and notify the merchant within five business days.
 5. Monitor merchants monthly until program exit.
 6. Escalate cases to chargeback agents for automated handling.
 
 ## Data Protection and Privacy Considerations
 
-Aligned with Mastercard's data protection requirements under EU regulations, Halyard Pay ensures all personal data processing related to ECP complies with enhanced privacy and security protocols, including minimizing access, safeguarding data, complying with transfer restrictions, and cooperating on breach notifications. Halyard Pay and clients function as independent data controllers, maintaining transparency and accountability.
+Aligned with Mastercard’s data protection requirements under EU regulations, Halyard Pay ensures all personal data processing related to ECP complies with enhanced privacy and security protocols, including minimizing access, safeguarding data, complying with transfer restrictions, and cooperating on breach notifications. Halyard Pay and clients function as independent data controllers, maintaining transparency and accountability.
 
-Source authority: Mastercard SPME §§11.4, 11.5, 13.1.2, 11.5.1.+Source authority: Mastercard SPME §§11.4, 11.5, 11.14, 13.1.2, 11.5.1.