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Mastercom® Integration for Dispute Resolution
Streamline the resolution of disputed Mastercard transactions by integrating Transaction Dispute Management with Mastercom®. This integration supports the full chargeback lifecycle, covering initial disputes, chargeback, second presentment, and arbitration. Use prebuilt flows, Omniscripts, integration definitions, and Stage Management to create the end-to-end workflow.
A typical chargeback process for a credit card transaction can include these stages.
Transaction Initiated
A cardholder makes a purchase by using a credit card. The transaction involves the cardholder, the merchant, the acquirer who is the merchant's bank, and the issuer who is the cardholder's bank.
Dispute Intake
The cardholder identifies a problem in the transaction and contacts their issuer to dispute the transaction. At times, certain systems used by the issuer can also proactively detect issues with a transaction, especially if it’s a case of potential fraud.
Raise Merchant Alerts
The issuer raises an alert for the disputed transaction and collaborates with a merchant alert provider, for example, Ethoca Merchant Alerts™, to resolve the dispute without a chargeback. If the merchant rejects the alert or doesn’t respond to the alert within a specified time, the issuer can initiate a chargeback.
Initiate Chargeback
The issuer initiates the chargeback by reversing the transaction on a provisional basis. It debits the transaction amount from the acquirer and credits it to the cardholder’s account.
Merchant Response
A merchant who receives a chargeback can either accept it or provide evidence to dispute it. When the merchant agrees with the dispute, the chargeback process ends. However, when the merchant believes that the chargeback is invalid, they can challenge it by providing evidence to prove the credibility of the original transaction.
Second Presentment
When the merchant disputes the chargeback, they present the transaction again to the issuer with additional information.
Issuer Review of Second Presentment
The issuer reviews the evidence provided by the merchant and decides to either accept or reject the second presentment. When the issuer considers the evidence insufficient, they reject the second presentment with supporting evidence, which initiates the arbitration process between the issuer and the merchant. When the issuer finds the evidence satisfactory, they reverse the chargeback and return the funds to the merchant's account.
Pre-Arbitration
If the issuer rejects the second presentment, the dispute enters the pre-arbitration phase. During this phase, the issuer and the merchant negotiate and present additional evidence to resolve the dispute without escalating it to arbitration. The pre-arbitration phase aims to reach a mutual agreement and avoid a binding decision by an external party. When the parties resolve the dispute during pre-arbitration, the chargeback process concludes. Otherwise, the dispute proceeds to arbitration.
Arbitration
When pre-arbitration doesn’t settle the dispute, the process moves to arbitration. In the arbitration phase, a third party, often a card network, reviews all the evidence and arguments presented by both the issuer and the merchant. The arbitrator makes a binding decision based on the merits of the case. This decision determines the outcome of the dispute, ensuring a fair resolution for both parties involved.
- Prebuilt Flows for Initiating Chargeback and Reviewing Second Presentment for Mastercard Transaction Disputes
To streamline and automate the process of initiating chargebacks and reviewing the second presentment, use prebuilt record-triggered flows and screen flows. - Enable Merchant Alerts for Mastercard Transaction Disputes
Transaction Dispute Management integrates with Ethoca Merchant Alerts™ to notify merchants about disputed transactions through alerts. With this integration, you can communicate with the merchants involved in disputed transactions and reduce the likelihood of chargebacks. The alert statuses and outcomes are stored in Salesforce. Your dispute processing team can use the alert status and outcome to monitor the dispute resolution workflow and facilitate faster dispute resolutions. - Configure the Endpoint for Mastercom®
Create external credentials and named credentials with details of how Salesforce is authenticated with Mastercom. - Set Up Integrations with Mastercom® for Chargebacks
Use integration definitions to specify the details of how Salesforce integrates with Mastercom to initiate chargebacks for transaction disputes. Create integration definitions to call the Mastercom APIs. - Set Up Integrations with Mastercom® for Second Presentment
Transaction Dispute Management uses integration definitions to specify the details of how Salesforce integrates with Mastercom to address the second presentment received in response to a chargeback. Create integration definitions to call the Mastercom APIs. - Set Up Integrations with Mastercom® for Pre-Arbitration and Arbitration
Transaction Dispute Management uses integration definitions to specify the details of how Salesforce integrates with Mastercom to initiate pre-arbitration and arbitration processes in response to a second presentment. Create integration definitions to call the Mastercom APIs. - Configure Pre-Arbitration Rules for Mastercard Transaction Disputes
When a disputed Mastercard transaction isn’t resolved during the second presentment, you can initiate pre-arbitration or arbitration based on the reason code that’s associated with the transaction. Mastercom mandates that disputed transactions with specific reason codes must undergo pre-arbitration before they can proceed to arbitration. For example, pre-arbitration is required where the dispute is associated with reason codes, such as 4808, 4837, and 4853. - Update Omniscript to Collect Chargeback Details for Mastercard Transaction Disputes
Give your dispute case owners a guided process to review the details of a Mastercard disputed transaction and decide whether to proceed with a chargeback. Update the Omniscript and use it in the Stage Management Plan for initiating a chargeback. - Collect Pre-Arbitration and Arbitration Details for Mastercard Transaction Disputes
Give your dispute case owners a guided process to collect the details required for initiating pre-arbitration or arbitration for a disputed Mastercard transaction that wasn’t resolved during the second presentment. With the guided process, dispute case owners can update the reason code and reason subcode if the ones assigned during the chargeback are no longer appropriate. - Review Pre-Arbitration and Arbitration Details for Mastercard Transaction Disputes
Give your dispute case owners a guided process to review the details collected for initiating pre-arbitration. With the guided process, dispute case owners can either accept pre-arbitration and close the dispute or escalate the case to arbitration.
