Help! Customer performed several online casino advances using visa debit card. They amounted to quite a bit, person did indicate they made the first 3, but not last 10. A user name and password is required for the casino. They did supply police report that basically stated nothing. I'm assuming bank will have to eat these transactions. Anyone have an opinion?

If you can contact the casino (that's a BIG IF, since most of these are offshore), you'll be given assurances that the transactions were authorized. It's up to you to decide whom you believe.

Use of debit (and credit) cards in online casinos is a real problem because after the adrenaline high and fun and games are over, customers come to realize how much cash they've tossed away and start looking for an "out." Card issuers become the favorite deep pocket.

Both Visa and MasterCard have the ability to prevent transactions identified as originating at gambling venues. I suggest you look into using that tool.

Did it post as an online, signtaure type transaction? If the website is not Verified by Visa, you would most likely have chargeback rights for 'unauthorized' against the transactions that cardholder claimed they did not perform.

John, unfortunetly, the casinos know that just about every card issuer prevents activity at MCC 7995, online gambling, so they use other obscure MCC codes. But the good news is, if you can prove a loss due to fraud or collections there are some compliance rights to go back aganist the merchant since they did use an incorrect Merchant Identifier if you can show you would have declined the transaction if they presented it correctly.

Yes it posted online. It was done however without signature as it was thru a webste. We are tyring to send back unauthorized but are not holding breath. The transaction did not originate from the Casino but a third party payment processor. That's how they get around the MCC code.

C Groat is correct. Both Visa and MC block gambling transactions. If the tranaction had been properly identified, it would not have posted. You have recover rights but there are time limits. Check the Visa Operations Manual: Vol 2 for those timeframes.

A dispute is a dispute and the customer is due protection as outlined in Reg E if it applies. There is also Visa's Zero Liability policy. I've been involved in dispute and fraud transactions since 95 and rarely does anyone file a police report. The fact you even have one should give you pause when considering if the claim is valid or not.