You can monitor your risk performance, chargebacks and fraud rates using the Risk & dispute management insights dashboard in your Customer Area.
View the dashboard
To view the Risk & dispute management dashboard, you need to have the following user role:
- Merchant report
To open the dashboard:
- Log in to your Customer Area.
- Select Insights > Risk & dispute management.
- The dashboard overview page will open.
You can filter the data shown in the dashboard. For example, you can filter on:
- Date range
- Merchant account
- Issuer country
- Payment method
You see an overview of totals based on the filters you applied, followed by a visualization of blocked and refused transactions, and an overview of the chargeback and Notification of Fraud (NOF) rates.
The dashboard shows performance information so that you can monitor, and take action if needed.
For example, it is important that you keep chargeback and fraud rates at an acceptable level. If they are too high, you can be placed in a scheme monitoring program.
Risk performance
You can drill deeper into the data in the Risk performance section, and see more detailed performance visualizations.
If you selected a filter on the dashboard, for example a date range, you can see only the relevant data for the filter you applied.
In the risk performance section, you can apply more filters. For example, you can view performance data on:
- Risk rules
- Risk profile
- Payment method
- Merchant account
Card scheme programs
Card schemes such as Visa and Mastercard have thresholds in place that indicate high or excessive chargeback and fraud rates. When you pass or are about to pass these thresholds, it means that your chargeback or fraud rates are higher than expected compared to the total number of transactions.
The schemes monitor data per calendar month on the following data points:
| Data point | Description |
|---|---|
| Dispute count | The total number of payments that resulted in a chargeback. |
| Dispute rate | The number of disputed payments, or chargebacks, compared to the number of settled transactions. |
| Fraud volume | The total volume, or value, of the fraudulent payments. For example 100000 EUR or USD. |
| Fraud rate | The number of fraudulent transactions compared to the total number of settled transactions. |
You will be placed in a program if you meet or exceed the thresholds specified by the schemes. Being in a monitoring program might involve getting fined, and in the worst case it can have consequences for your payment processing.
Card schemes have introduced these programs to encourage businesses to closely monitor their disputes and fraud performance, and to take immediate actions if an increase in these levels is detected. The card networks monitor performance per calendar month.
There are different programs and thresholds per region and per card scheme. In most cases, you will receive an early warning, so that you can take action.
Visa
Visa has two scheme programs; the Visa Dispute Monitoring Program (VDMP) and the Visa Fraud Monitoring Program (VFMP).
When you enter a program, you receive more details around the possible fines, exit criteria and remediation.
Visa Dispute Monitoring Program (VDMP)
| Dispute count | Dispute rate | Fines |
|---|---|---|
| 75 | 0.65% | None. You can take action to reduce your disputes before you get penalties. |
Dispute reason code 10.5 is excluded.
Visa Fraud Monitoring Program (VFMP)
| Fraud volume | Fraud rate | Fines |
|---|---|---|
| 50,000 USD | 0.65% | None. You can take action to reduce your fraud level before you get penalties. |
Mastercard
When you enter a program, you receive more details around the possible fines, exit criteria and remediation.
Mastercard Excessive Chargeback program (ECP and HECP)
Mastercard has two levels in their chargeback program; the Excessive Chargeback Program (ECP) and the High Excessive Chargeback Program (HECP)
| Dispute count | Dispute rate | Fines |
|---|---|---|
| 100 - 299 | 1.5 - 2.99% | Fines begin in the second month, and continue at increasing rates in subsequent months. |
Mastercard Excessive Fraud Merchant Compliance Program (EFM)
| Number of ecommerce transactions | Fraud chargeback amount | Fraud chargeback basis points | 3D Secure utilization |
|---|---|---|---|
| 1,000 or more | 50,000 USD or EUR | 50 or more (0.50%) | Less than 10% of total Mastercard payment count (non-regulated countries) or less than 50% (regulated countries) |
Cartes Bancaires
When you enter a program, you receive more details around the possible fines, exit criteria and remediation.
Fraud program
You enter the fraud program if you reach the following thresholds for four consecutive months:
- Fraudulent transaction rate above 0.30%
- At least 20,000 EUR in fraudulent transactions per month
Chargeback program
You enter the chargeback program if you reach the following thresholds for four consecutive months:
- Chargeback transaction rate above 2%
- At least 200 chargebacks per month
UnionPay
When you enter a program, you receive more details around the exit criteria and remediation.
Merchant Chargeback Monitoring Program (MCMP)
You enter the program if you reach the following thresholds for two consecutive months:
- Chargeback transaction rate above 2.5%
- At least 50 chargebacks per month
High-Risk Merchant Monitoring Program (HRMP)
| Fraud volume | Fraud rate | Fines |
|---|---|---|
| 10,000 USD | 0.75% | Level 1: Adyen is required to monitor your transactions and take enhanced risk control measures. |