Visa Chargeback Reason Code 13.1: Merchandise/Services Not Received

Visa Chargeback Reason Code 13.1, titled “Merchandise/Services Not Received,” is initiated when a cardholder claims that they did not receive the goods or services they paid for. This chargeback can be filed if the expected delivery date has passed, and the merchant has not provided the merchandise or services as agreed upon at the time of purchase.

Key Details of Chargeback Reason Code 13.1: Merchandise/Services Not Received

• Definition: The cardholder asserts that the goods or services were not received by the expected delivery date or within a reasonable time frame.
• Common Scenarios:
  • The merchant fails to deliver the goods or services by the agreed-upon date.
  • The merchant does not provide services as promised.
  • The goods are lost or misdelivered.

Resolution Time Frame

• For Cardholders: Cardholders generally have 120 calendar days from the date the goods or services were expected to be received to file a dispute.
• For Merchants: Once a chargeback is received, merchants typically have up to 30 days to respond and provide evidence to dispute the chargeback.

Preventing or Mitigating Chargeback Reason Code 13.1

To avoid or mitigate chargebacks related to merchandise or services not received, merchants can adopt the following practices:

1. Clear Communication: Clearly communicate shipping and delivery expectations to customers, including any potential delays.
2. Accurate Tracking Information: Provide customers with tracking information and updates on the status of their orders.
3. Reliable Shipping Partners: Use reliable shipping and logistics partners to minimize the risk of lost or delayed shipments.
4. Prompt Issue Resolution: Quickly address any delivery issues or customer complaints regarding non-receipt of goods or services.
5. Proof of Delivery: Obtain and retain proof of delivery, such as signed delivery receipts or tracking confirmations, to use as evidence if a chargeback is filed.
6. Service Confirmation: For services, provide confirmation or evidence that the service was rendered, such as work orders, service receipts, or customer acknowledgments.

Responding to Chargeback Reason Code 13.1

If a chargeback is received under reason code 13.1, merchants should gather and provide the following evidence to dispute the claim:

1. Proof of Delivery: Documentation showing that the goods were delivered to the cardholder’s address or picked up by the cardholder.
2. Service Confirmation: Evidence that the services were provided as agreed, such as signed work orders, service reports, or customer acknowledgments.
3. Customer Communication: Records of communication with the customer confirming receipt of goods or services or addressing any delivery issues.
4. Shipping Documentation: Tracking numbers, delivery confirmations, and shipping receipts that verify the shipment and delivery of the goods.