Chapter 6: Transaction Types
Prerequisites: Chapter 5: Reconciliation Walkthrough
Companion file: Ch6_Transaction_Types.xlsx
6.1 Customer Transactions
These records link directly to customer activity.
Record Type | Record Subtype | What Happened | Sign | Example |
|---|---|---|---|---|
Sale | (null) | Customer paid you | + | $500.00 |
Refund | Referenced | Refund linked to a specific sale | − | -$75.00 |
Refund | Non-Referenced | Standalone refund (not linked) | − | -$50.00 |
Dispute | Chargeback | Customer disputed, you lost | − | -$175.50 |
Dispute | Chargeback reversal | You won the dispute | + | +$175.50 |
Return | General Return | ACH failed (e.g., insufficient funds) | − | -$80.00 |
Return | Unauth Return | ACH returned as unauthorized | − | -$120.00 |
How to Trace Refunds and Disputes
For Refunds: Use Original Record ID to find the original sale.
TXN_005 (Refund, -$75.00) └── Original Record ID: TXN_OLD_001 ──► Links to the sale that was refunded For Disputes: Use Dispute ID to track the full lifecycle.
Dispute ID: DISP_001 │ ├── TXN_008 (Chargeback, -$175.50) ← Customer disputed │ └── TXN_011 (Chargeback reversal, +$175.50) ← You won! 6.2 Account-Level Records
These records reflect activity not tied to a specific customer transaction.
Record Type | Record Subtype | Description |
|---|---|---|
Adjustments | Reserve Adjustment | Funds held in or released from reserve |
Adjustments | Manual Adjustment | Manual debit/credit |
Failed Disbursement | (null) | Bank rejected the transfer |
Transfer | Fee Debit | Monthly fee sweep (Gross Settlement only) |
Fees | Interchange Fee | Interchange fees paid to card-issuing bank |
Fees | Scheme Fee | Card network fees (Visa, MasterCard, etc.) |
Fees | Event Fee | Fees for value-added services (see below) |
Fees | Adjustment | Fee variance correction |
Fees | Delayed Fee | Fees reported after disbursement |
6.3 Understanding Fee Categories
Fees in the DFR fall into three main categories:
Total Fees = Interchange + Scheme Fees + Processing Fees Fee Category | Paid To | What It Includes |
|---|---|---|
Interchange (IC) | Card-issuing bank | Per-transaction fees set by card networks, paid to the bank that issued the customer's card |
Scheme Fees | Card networks | Fees paid to Visa, MasterCard, etc. for using their network |
Processing Fees | Braintree | Braintree's fees for payment processing, including Chargeback fees |
Fee Record Subtypes in Detail
Record Subtype | Category | Description |
|---|---|---|
| Interchange | Fees paid to card-issuing bank. Includes delayed interchange. |
| Scheme | All card network fees (Dispute, Verification, Void, Authorization fees, etc.) |
| Processing | Braintree product fees: Account Updater, 3D Secure, Network Tokenization, and other value-added services |
| Varies | Variance correction between daily reported fees and monthly debited fees |
| Varies | Fees reported after the transaction was already disbursed |
Pass-Through vs. Processing Fees
Term | Definition |
|---|---|
Pass-through Fees | Interchange + Scheme Fees (paid to external parties) |
Processing Fees | Braintree fees (includes Chargeback fees, Event fees) |
Note: In the DFR, Total Pass-through Fees = Total Interchange Fees + Total Scheme Fees
6.4 Dispute Lifecycle Example
Here's how a dispute flows through your DFR over time:
DAY 1: Customer disputes $175.50 charge
Transfer ID | Record ID | Type | Subtype | Amount | Dispute ID | Original Record ID |
|---|---|---|---|---|---|---|
TRF_002 | TXN_008 | Dispute | Chargeback | -$175.50 | DISP_001 | TXN_003 |
Result: You lost $175.50 on this day's deposit. Associated scheme fees may appear as Total Net Fees on the dispute record or as a separate Scheme Fee record.
DAY 30: You submit evidence and WIN the dispute
Transfer ID | Record ID | Type | Subtype | Amount | Dispute ID | Original Record ID |
|---|---|---|---|---|---|---|
TRF_003 | TXN_011 | Dispute | Chargeback reversal | +$175.50 | DISP_001 | TXN_003 |
Result: You recovered $175.50. Note: Scheme fees are typically NOT refunded.
Tip: Filter by Dispute ID = DISP_001 to see the full dispute lifecycle across multiple DFR files.
6.5 Complete Record Type / Subtype Reference
Transaction Records (Customer Activity)
Record Type | Record Subtype | Description |
|---|---|---|
Sale | (null) | Payment received from customer |
Refund | Referenced | Refund linked to original sale |
Refund | Non-Referenced | Refund not linked to specific sale |
Dispute | Chargeback | Customer disputed the charge |
Dispute | Chargeback reversal | Merchant won the dispute |
Return | General Return | ACH/direct debit failed |
Return | Unauth Return | ACH returned as unauthorized |
Accounting Records (Account Activity)
Record Type | Record Subtype | Description |
|---|
Record Type | Record Subtype | Description |
|---|---|---|
Adjustments | Reserve Adjustment | Funds held in or released from reserve |
Adjustments | Manual Adjustment | Manual debit/credit |
Adjustments | Processing Reserve Adjustment | Credit or debit from Braintree reserve account |
Failed Disbursement | (null) | Bank rejected the transfer |
Transfer | Fee Debit | Fee Debit (or Credit) transfer to/from merchant's bank account |
Fee Records
Record Type | Record Subtype | Description |
|---|---|---|
Fees | Interchange Fee | Interchange fees paid to card-issuing bank (including delayed/adjusted) |
Fees | Scheme Fee | Card network fees (Visa, MasterCard, etc.). Includes all scheme fee types. |
Fees | Event Fee | Braintree product fees (Account Updater, 3DS, Network Tokenization) |
Fees | Adjustment | Fee variance correction (Processing, Scheme, or Interchange) |
Fees | Delayed Fee | Fees reported after transaction was disbursed |