How are you handling disputed amounts that fall within the new VISA Operating Regulations, effective October 4, 2003, with regards to unathorized transactions. Our provider will not process a chargeback on one of our customers because of these new regs. Is the bank going to have to eat all charges in the future unless the customer closes their accounts?

Can you provide the rule citation in the Visa paragraph numbering format? I want to review.

I am waiting for that exact information. Shazam could only provide me with a memorandum from their customer service department. I will let you know when I hear from them.

My understanding is that if you expect VISA to chargeback an unauthorized transaction, you must close the card prior to initiating the chargeback. If the card is not closed, VISA will not process the chargeback. This only makes sense, if the cardholder did not authorize, then someone has the card number and could make further transactions, closing the card should prevent future unauthorized transactions.