Reason Code 13.1 – Merchandise/Services Not Received


Dispute Code

13.1

Category

Consumer Disputes

Workflow

Collaboration

DESCRIPTION

Why did I receive this dispute?

The customer claims you didn’t provide the goods or services as promised.


TIME LIMIT

How long can the issuer wait to file a dispute?

The dispute timeline can be based on one of two start dates. Either the dispute must be processed within 120 calendar days of:

  • the transaction processing date ,or
  • the last date the customer expected to receive the goods or services (but not to exceed 540 days of the original transaction processing date)

However, if you didn’t specify a delivery date for the merchandise or service, the issuer must let at least 15 calendar days pass after the transaction processing date before initiating a dispute.

Also, if the customer returned merchandise because it was delivered late, the issuer must let at least 15 calendar days pass after the date the cardholder returned the merchandise before initiating a dispute.

Note: Different timelines apply to transactions processed in Europe.


FIGHT

What compelling evidence is needed to respond?

  • If you delivered the merchandise or made it available for pickup on the agreed upon date, provide documentation to prove the cardholder received the goods or service.
  • If the agreed upon delivery date hasn’t passed yet, provide documentation that proves the accurate delivery schedule.
  • If the dispute is invalid, provide documentation that proves the reasoning: the merchandise cleared the merchant’s customs but is being held by the customer’s customs agency, the dispute amount includes the cash-back portion of the transaction, or the dispute is for a purchase made at an automated fuel dispenser.
  • If the cardholder cancelled the order because merchandise or services wouldn’t be delivered on time, provide documentation that proves you provided a refund.
  • If the cardholder no longer wishes to dispute the transaction, provide documentation that proves the issue has been resolved
  • If you can otherwise dispute the cardholder’s claim, include documents that support your argument. This may include: 
    • Photographs or emails that prove a link between the person receiving the merchandise or services and the cardholder
    • Photographs or emails that prove the cardholder is in possession of the merchandise or using the services
    • Proof the shopper’s profile had been accessed and successfully verified by the merchant before the purchase was made.
    • Documents that prove the cardholder accessed the merchant’s website on or after the transaction date
    • Documents that prove the same device and card associated with the dispute were used in a previous transaction that wasn’t disputed.

Check additional compelling evidence options for specific types of goods or services:

  • If the dispute is invalid, provide documentation that proves the merchandise cleared the merchant’s customs but is being held by the customer’s customs agency.
  • If you can otherwise dispute the cardholder’s claim, include documents that support your argument. This may include: 
    • Cardholder signature on a pick-up form or photocopy of the cardholder’s ID to prove the cardholder collected merchandise at the merchant’s location after a card-absent transaction
    • Documents that prove delivery and time of delivery for items sent to the same physical address that yielded a Y or M match with AVS (signature confirmation is not required)
    • Documents that prove the cardholder was working for the company at the address where merchandise was delivered at the time of the delivery
  • Documents that record pertinent information about the sale of digital goods, including a written description of the merchandise or services downloaded and the date and time of download. Documentation must also include two or more of the following:
    • Shopper’s IP address and the device’s geographical location at the date and time of purchase
    • Device identification number and name of device if available
    • Shopper’s name and email address
  • Documents that record pertinent information about a transaction for passenger transportation including proof the service was provided. Documentation must also include one or more of the following:
    • Proof the ticket was received at the cardholder’s billing address,
    • Proof the ticket or boarding pass was scanned at the gate
    • Proof that frequent flyer miles were earned or redeemed as part of the transaction
    • Proof the cardholder made additional purchases tied to the original transaction, such as seat upgrades, extra baggage, on-board purchases, etc.
  • Documents that record pertinent information about a T&E transaction including proof the service was provided. Documentation must also include one or more of the following:
    • Proof that loyalty program rewards were earned or redeemed as part of the transaction
    • Proof the cardholder made additional purchases tied to the original transaction (such as service upgrades) and didn’t dispute them
PREVENT

How can I avoid this dispute in the future?

  • Abide by the delivery date you promised.
  • Have merchandise ready for pickup at the time you specified it would be available.
  • Make sure you accurately describe the services that will be provided.
  • Don’t charge the card until the merchandise has been shipped.
  • Notify the customer as soon as possible if merchandise is out of stock or the delivery will be delayed.

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