Visa’s Acceptance Monitoring Program (VAMP) introduces new standards for monitoring chargebacks and disputes. Merchants, acquiring banks, and ISOs need to stay within Visa’s thresholds to avoid penalties, increased reserves, or restrictions on processing.
What VAMP Means for Merchants and Banks
VAMP consolidates Visa’s dispute and fraud monitoring programs, placing greater scrutiny on chargeback rates. Exceeding these thresholds can result in financial penalties and potential loss of processing capabilities.
Key Compliance Factors:
- Chargeback and fraud thresholds: Merchants must keep chargeback ratios low to remain compliant.
- Click-to-Cancel regulations: Ensuring customers can easily cancel subscriptions reduces disputes and aligns with compliance requirements.
- Call handling: Unanswered customer inquiries, especially from credit card descriptors, can contribute to chargeback rates.
How Solvpath Helps Reduce Chargebacks and Ensure Compliance
Solvpath provides an automated, self-service customer support solution that helps merchants reduce disputes and maintain compliance with Visa regulations. By integrating directly with eCommerce platforms, Solvpath empowers customers with the ability to resolve their concerns instantly, without needing to contact their bank.
Key Benefits of Solvpath:
- Immediate Issue Resolution: Customers can modify orders, cancel subscriptions, or track deliveries without calling customer support.
- Lower Chargeback Rates: Self-service tools reduce disputes before they escalate.
- Regulatory Compliance: Solvpath ensures Click-to-Cancel adherence, helping merchants avoid fines of up to $50,000 per violation.
Addressing Credit Card Descriptor Calls with Solvpath
A common source of chargebacks is unanswered calls to the number on a credit card statement. If customers cannot reach support or receive assistance, they may dispute the charge. Solvpath’s phone support solutions ensure calls are handled effectively, even outside business hours.
How Solvpath Improves Call Handling:
- Automated Self-Service Menus: Customers can resolve common issues without waiting for an agent.
- Live Agent Support When Needed: Calls are routed to agents only when necessary, improving efficiency.
- Chargeback Prevention: Customers receive the help they need before resorting to disputes.
Preparing for VAMP Compliance
To remain compliant with Visa’s updated monitoring program, merchants and banks should take proactive steps to minimize disputes and ensure smooth transaction processing. Implementing efficient self-service solutions like Solvpath helps businesses stay below Visa’s chargeback thresholds, avoid penalties, and enhance customer satisfaction.
By leveraging Solvpath’s automation and self-service technology, merchants and banks can reduce risk, streamline compliance, and maintain a healthier processing environment.
Chargeback Prevention: Customers find solutions before escalating to a dispute.
The Bottom Line: Be Proactive, Not Reactive
With VAMP in effect, the time to act is now. By implementing Solvpath’s automated solutions, merchants and banks can:
✅ Keep chargeback rates below Visa’s thresholds
✅ Avoid costly penalties and fines
✅ Ensure compliance with evolving regulations
✅ Create a frictionless customer experience
With the forthcoming implementation of VAMP, it’s crucial for merchants and banks to adopt proactive strategies to manage fraud and disputes effectively. Leveraging automated technologies not only aids in compliance but also fosters healthier merchant accounts and a more secure payment environment.
Be proactive, not reactive, in addressing these changes to safeguard your business’s future.
