Understanding New High Risk Rules of Visa and Mastercard

Visa and Mastercard have recently implemented new rules concerning high-risk businesses. These changes aim to protect both consumers and merchants from fraudulent transactions and cyber threats, and to ensure the integrity of the payment network.

Visa’s High Risk Rules

Visa has introduced stricter rules for high-risk merchants. It has decreased the chargeback-to-transaction ratio from 1% to 0.9%. This implies that if a high-risk business has a chargeback-to-transaction ratio of over 0.9%, it may face hefty fines or even lose the ability to process Visa payments.

Mastercard’s High Risk Rules

Mastercard’s new rules focus on enhanced scrutiny and higher standards for certain high-risk business categories. These categories include but are not limited to online gambling, adult content, and telemarketing. Mastercard now requires more transparency and better customer service from businesses in these categories.

What Does This Mean for Merchants?

While these new rules may appear more stringent, they primarily aim to ensure safer transactions and mitigate potential risks. It’s crucial for high-risk businesses to understand these rules and implement necessary measures to comply.

How Can Savannah Technologies Help?

At Savannah Technologies, we provide comprehensive payment solutions that not only adhere to the new high-risk rules of Visa and Mastercard but also help merchants manage risk and prevent fraud. We offer:

• Advanced Fraud Detection: Our solutions come with robust fraud detection mechanisms that can identify and prevent fraudulent transactions.

• Chargeback Prevention: Our sophisticated chargeback prevention solutions help merchants stay within the acceptable chargeback-to-transaction ratio.

• Compliance Assistance: Our team of experts can guide high-risk merchants to ensure they meet Visa and Mastercard’s new requirements.

Stay informed and stay ahead with Savannah Technologies. For more information about how we can assist your business, contact us today.