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Halyard Pay policy

Fraud Monitoring

58 proposed revisions across 5 of 5 reviewed releases, including 5 breaking changes.

Current policy

policy.md

Fraud Monitoring

Halyard Pay monitors merchant fraud activity on a monthly basis to detect patterns that exceed Mastercard's acceptable fraud-to-sales thresholds. A merchant whose rolling monthly fraud-to-sales ratio meets or exceeds 1.5% (0.015) and whose fraud count reaches at least 100 transactions in that same month triggers mandatory escalation under this policy.

When this policy applies

This policy applies to all merchants processed through Halyard Pay's acquiring platform where Mastercard is the applicable card network. It governs both card-present and card-not-present transaction streams.

Required actions

  1. Compute the merchant's rolling fraud-to-sales ratio each calendar month.
  2. If the ratio meets or exceeds the threshold AND the minimum count is reached, escalate the merchant account to human review immediately.
  3. Notify the acquiring compliance officer and document the case ID with supporting transaction data.
  4. Track case progress until the account returns to threshold compliance or is terminated.

Source authority: Mastercard SPME §3.7.

rules.yaml

program: Fraud Monitoring
authority: Mastercard SPME §3.7
fraud_to_sales_ratio_threshold: 0.015
min_count_per_month: 100
monitoring_cadence: monthly
escalation_actions:
  - escalate_to_human_review
  - notify_acquirer
lookback_period_months: 1
remediation_review_interval_days: 30
agent_owner: fraud_ops_agent

Authorized by

SPME §3.7 — Fraud Monitoring Program

Proposed changes across releases

Jun 2022 → May 2023
23 changes
substantive §11.1.1 System Features substantive §2.2 Mastercard Site Data Protection (SDP) Program substantive §2.4.1 PIN Entry Devices (PEDs) and Encrypting PIN Pads (EPPs) substantive §3.11.7 Use of a Vendor substantive §3.12.4 Acquirer Requirements for CVC 2 substantive §3.13.4 Additional Service Code Information substantive §4.10 Multi-Factor Authentication Methods for Remote Commerce substantive §4.10.1 Security Evaluation of Multi-Factor Authentication Methods substantive §4.10.3 Persistent Authentication substantive §4.10.4 Prolonged Authentication substantive §4.10.6 Use of a Vendor substantive §5 Entry control substantive §5.1.2 ATM Card Retention substantive §6.2 Mastercard Fraud Loss Control Program Standards substantive §6.2.2 Acquirer Fraud Loss Control Programs breaking §6.3 Mastercard Counterfeit Card Fraud Loss Control Standards breaking §6.3.1 Counterfeit Card Notification substantive §7 Availability control substantive §7.1.1 Required Screening Procedures substantive §7.2 Ongoing Monitoring substantive §8 Separation control breaking §9.2.1 Merchant Registration Fees and Noncompliance Assessments substantive §9.3 General Monitoring Requirements
May 2023 → Sep 2023
20 changes
substantive §1.4 Connecting to Mastercard—Physical and Logical Security substantive §1.4.1 Minimum Security Requirements substantive §1.5 Data Protection substantive §3.11 Consumer Device Cardholder Verification Methods substantive §3.11.3 Persistent Authentication substantive §3.11.7 Use of a Vendor substantive §4.1 Personal Identification Numbers (PINs) substantive §4.10 Multi-Factor Authentication Methods for Remote Commerce Token Transactions substantive §4.10.2 Multi-Factor Authentication Method Functionality substantive §4.10.4 Prolonged Authentication breaking §4.7 Terminal Security Standards substantive §4.9 Triple DES Standards substantive §6.2 Mastercard Fraud Loss Control Program Standards substantive §7.1.3 Assessments for Noncompliance with Screening Procedures substantive §7.2 Ongoing Monitoring substantive §8.3.4 Additional ECM and HECM Requirements substantive §8.4 Questionable Merchant Audit Program (QMAP) substantive §8.4.1 QMAP Definitions substantive §8.4.4 Mastercard Notification to Acquirers substantive §8.6.6 MATCH Reporting
Sep 2023 → Feb 2024
8 changes
substantive §11 If the Acquirer is currently participating in the Merchant Monitoring Program, and this substantive §4.10.3 Persistent Authentication substantive §6.2 Mastercard Fraud Loss Control Program Standards substantive §8.4 Questionable Merchant Audit Program (QMAP) substantive §8.4.2 Mastercard Commencement of an Investigation substantive §8.4.8 Fraud Recovery substantive §8.6 Coercion Program substantive §8.6.2 Investigation Process
Feb 2024 → Sep 2024
4 changes
substantive §7.1.3 Assessments for Noncompliance with Screening Procedures substantive §8.4 Questionable Merchant Audit Program (QMAP) breaking §8.4.2 Mastercard Commencement of an Investigation substantive §8.6.2 Investigation Process
Sep 2024 → May 2025
3 changes
substantive §11.1.1 System Features substantive §11.6.1 How does MATCH Pro search when conducting an inquiry? substantive §8.6.2 Investigation Process