The TC40 (Transaction Code) Fraud Record is a key part of Visa’s fraud reporting process. Submitted by the issuing bank when a cardholder reports a transaction as fraud, the TC40 provides early insight into potential fraud risk, often before a formal dispute or chargeback is initiated.
What is a TC40?
The TC40 is part of Visa’s Risk Identification Service and is used by issuers to:
- Report fraud to Visa
- Share fraud data with acquiring banks
- Inform acquirers of potentially compromised merchants
Important: A TC40 is not a chargeback. It is a non-financial alert and does not result in funds being withdrawn.
Viewing TC40s
To access TC40 data via the Qualpay Merchant Manager:
- Go to Reports.
- Click on Dispute History.
- Click the filter button and set the Type to Fraud Alert.
- Click Apply.
- The Disputes table will update to show only the items with a type of Fraud Alert.
This lets you view fraud alerts proactively, before they turn into chargebacks or elevate your VAMP ratio.
Why TC40s Matter
- They count toward your VAMP ratio (for Visa monitoring).
- High TC40 activity may indicate enumeration attacks or other fraud patterns.
- Early identification can help merchants take action before penalties apply.
Common Transaction Codes (TCs)
Here are some of the common Transaction Codes used in the Visa ecosystem:
| Code | Description |
|---|---|
| TC05 | Sale |
| TC06 | Refund |
| TC15 | Dispute - sale has been formally disputed |
| TC40 | Fraud - cardholder reported transaction as fraud |