Visa Networks
What is the new Account Verification Fee update?
FEE CHANGE | VISA | CANADA
Effective April 1, 2023, Visa will introduce and implement a new fee for account verification messages to establish consistent pricing globally. Account verification provides additional data points to help protect against fraud associated with invalid or misused credentials. The new fee will be $0.01 USD Per Domestic Account Verification and $0.02 USD Per Foreign Account Verification.
Fee Descriptor | Rate (USD) |
|---|---|
VISA ZERO AMOUNT FEE | $0.01 |
VISA ZERO AMOUNT FEE DB | $0.01 |
VISA ZERO AMOUNT FEE INTL | $0.02 |
What is the Estimated and Incremental Authorization fee update?
FEE CHANGE | VISA | GLOBAL
From April 17th, 2023, Visa will expand the eligibility of estimated and incremental authorization to all MCCs and will begin charging for all approved estimated and incremental authorizations:
Fee Descriptor | Fee Amount |
|---|---|
VI ESTIMATED AUTH FEE | 0.02% |
VI INCREMENTAL AUTH FEE | 0.02% |
Estimated authorizations occur when an authorized amount may be different from a settled amount. Incremental authorizations occur when the final amount of a transaction is unknown, and an additional authorization occurs following an estimated authorization to adjust the original authorization amount.
Other than the new fee, there are no changes to the existing fields, processing rules for estimated and incremental authorizations, or interchange fee programs. Certain transactions are excluded, including account funding transactions (AFT), installment transactions, advance payment transactions, manual cash disbursement transactions, ATM cash disbursement transactions, Quasi-cash transactions, cryptocurrency transactions, and recurring transactions.
What is the Card Verification Value 2 (CVV2) pricing change fee change?
FEE CHANGE | VISA | U.S. AND EUROPE
Starting April 1, 2023, Visa will be introducing a new authorization fee for Card Verification Value 2 (CVV2). CVV2 is the three-digit security code primarily used in card-not-present transactions as an additional method to validate the cardholder and the card's presence during a transaction.
Visa will charge $0.0025 per CVV2 result when an M (match) or N (no match) result is provided. The fee will not be incurred when the CVV2 is unverified, a result is not returned to an acquirer due to error, 3DS is successful, or the authorization is a zero-amount account verification message.
Fee Descriptor | Fee Amount |
|---|---|
CVV2 (match / no match result) | $0.0025 per CVV2 result |
What is the Non-Domestic Currency Settlement fee change?
FEE CHANGE | VISA | EMEA
Beginning in April 2023, the existing Visa Non-Domestic Currency Settlement Volume Fee in Europe will increase from 0.02% to 0.05%. This fee applies to transactions that are not domestic where the currency used is not the domestic currency of the country in which the transaction has taken place.
Fee Descriptor | Phase 1: April 2022 | Phase 2: April 2023 | Phase 3: April 2024 |
|---|---|---|---|
Non-domestic Currency Settlement Volume Fee | 0.02% | 0.05% | 0.10% |
What is the Secure Credential Framework Will Be Expanded in Europe change?
FEE CHANGE | VISA | EUROPE
Effective October 1, 2023, Visa will introduce a new fee for domestic and intraregional ecommerce primary account number (PAN)-approved authorizations processed without Visa EMV Payment Tokens or Visa Secure.
Fee | In Scope | Out of Scope | Rate | Effective Date |
|---|---|---|---|---|
Acquirer Secure Credential CNP Behavioral Fee | All domestic or intraregional CNP PAN authorization approvals processed without Visa EMV Payment Tokens or Visa Secure | All domestic or intraregional CNP authorization approvals that are processed:
| 2.5 bps per trans-action | October 1, 2023 |
What is the Visa Marketplace Reporting mandate?
MANDATE | VISA | GLOBAL
From April 15, 2023, Visa will require that all merchant participants in the Visa Marketplace Program include additional indicators for transactions that are generated by retailers in a different country than the marketplace and card-issuing country. Specifically, all clearing records associated with domestic marketplace transactions completed with a foreign marketplace retailer must include:
- Marketplace Location
- Marketplace Name
- Merchant Category Code
- Foreign Retailer Indicator (new field)
- Business Identification Number (new field)
If not complete, Visa will assess a new, incremental, manual reporting per-transaction fee of 0.10% for foreign retail volume reported without the indicators in place.
What is the Address Verification Service update?
NEW FEATURE/ UPDATE | VISA | GLOBAL
Visa will simplify and streamline Address Verification Service (AVS) processing by discontinuing redundant result codes. By eliminating certain codes, Visa will be able to clearly identify if AVS was performed. The codes bolded will no longer be returned and there is no impact to AVS fee.
Values and current descriptions highlighted in RED. in the table below are changing:
Current Value | Current Description | New Value | New Description |
|---|---|---|---|
A | Address matches, ZIP does not. Acquirer rights not implied | A | AVS street address only (partial match) |
B | Street addresses match. Postal code not verified due to incompatible formats | A | AVS street address only (partial match) |
N | No match | N | AVS non-match |
C | Street address and postal code not verified due to incompatible formats | R | AVS indeterminate outcome (retry) |
G | Address information not verified for international transaction | R | AVS indeterminate outcome (retry) |
I | Address information not verified | R | AVS indeterminate outcome (retry) |
R | Retry: System unavailable or timed out | R | AVS indeterminate outcome (retry) |
S | Not applicable | U | AVS unable to verify |
Text | Address not verified for domestic transaction | U | AVS unable to verify |
D | Street addresses and postal codes match | Y | AVS full match |
F | Street address and postal code match. Applies to U.K.-issued cards. | Y | AVS full match |
CM | Street address and postal code match | Y | AVS full match |
X | Not applicable | Y | AVS full match |
Y | Street address and postal code match | Y | AVS full match |
P | Postal code match | Z | AVS full match |
W | Not applicable | Z | AVS postal/zip code only (partial match) |
Z | Postal/ZIP matches; street address does not match, or street address not included in request | Z | AVS postal/zip code only (partial match) |
What is the Account Verification Messages update?
NEW FEATURE/ UPDATE & FEE CHANGE | VISA | GLOBAL
Visa introduced Account Name Inquiry functionality to allow account name inquiries in account verification requests in April 2022. Visa is now enhancing the account name inquiry functionality to allow matching to also be performed on the first, middle, and last names separately, as well as a full name match result based on the combination of first, middle, and last name. To support this change Visa will introduce:
- Last Name Account Match Decision
- Middle Name Account Match Decision
- First Name Account Match Decision
In addition, Visa will rename Account Name Match Decision to Full Name Account Match Decision.
Effective April 2023, if you opt to use this service, a $0.05 fee will apply to each usable result. Systemic billing for this fee will be available starting in June 2023. Effective April 2024, this fee will increase to $0.10. Using this service in conjunction with the $0.00 auth could provide benefits in the form of reduced fraud.
Fee Descriptor | Fee Amount |
|---|---|
VI ACCOUNT NAME INQUIRY FEE | $0.05 |