Compliance
Mastercard Networks
What is the Expansion of the Digital Enablement Fee in the US mandate?
FEE CHANGE | Mastercard | US
Back to Overview TableEffective Date: 15 April 2024
Merchant Impact
From 15 April 2024, Mastercard will revise the pricing for the Digital Enablement Fee (DEF) and charge a fixed rate of $0.40 USD for card-not-present (CNP) transactions greater than or equal to $1000 USD. The Digital Enablement Fee of 0.02% (2 basis points) with a minimum of $0.20 USD remains for transactions less than $1000 USD.
What is the Revised Excessive Authorization Attempts (CA) mandate?
FEE CHANGE | Mastercard | CA
Back to Overview TableEffective Date: 1 April 2024
Merchant Impact
From 1 April 2024, Mastercard will revise the threshold for the Excessive Authorization Attempts Transaction Processing Excellence (TPE) program in Canada, introducing a threshold of 35 declined attempts on the same account number, at the same card acceptor, and for the same amount within a 30-day period.
noteThe first billing for the new Canada TPE threshold will occur on 5 May 2024.
To avoid the excessive authorization attempts TPE fees, Mastercard is recommending that acquirers immediately stop sending authorizations on the same card and same card acceptor ID, within a 24-hour period after receiving 10 consecutive decline responses, as well as to stop sending authorizations on the same card, same card acceptor, for the same amount, within a 30-day period after receiving 35 decline responses.
The applicable fee will be 0.50 USD per identified declined transaction. To avoid TPE fees, merchants should review their statements to identify TPE charges then adjust behavior to avoid these fees.
What is the CVV2 Compliance Requirements mandate?
FEATURE CHANGE | Mastercard | APAC
Back to Overview TableEffective Date: 8 April 2024
Merchant Impact
Mastercard will be eliminating the Card Verification Value 2 (CVV2) verification for both card-on-file (COF) and guest checkout experiences in the Asia Pacific region. This change will apply to all Mastercard Digital Enablement Service (MDES) tokenized transactions. By leveraging tokenization and approved authentication methods available through the EMV 3-D Secure and Token Authentication Framework (TAF), consumers can complete transactions securely without the need for CVV2 verification.
No merchant action is immediately required, but they should plan for when issuers are ready to incorporate the change.
What is the Extending Network Access and Brand Usage Fee change?
FEE CHANGE | Mastercard | US
Back to Overview TableEffective Date: 15 April 2024
Merchant Impact
From 15 April 2024, Mastercard is extending the Network Access and Brand Usage fee (NABU) for Non-domestic Authorizations, Collection-only, and Refund/Credit transactions in the United States, increasing the fees for US merchants who process transactions from non-US issued cards to $0.0295 per transaction. NABU fees—sometimes also referred to as card association fees or card brand fees—are the fees associated with processing a transaction with a card network like Mastercard.
Table 8 – Extending Network Access and Brand Usage Fee | |
| Â | Merchant Country is U.S. |
Issuer Country is U.S. | $0.0195 |
Issuer Country is non-U.S. | $0.0295 |
What is the Revising Acquirer Brand Volume Fee change?
FEE CHANGE | Mastercard | US
Back to Overview TableEffective Date: 15 April 2024
Merchant Impact
From 15 April 2024, Mastercard will introduce two enhanced tools (Merchant Risk Dashboard; Small Business Credit Analytics) designed to streamline acquirers’ efforts to identify and mitigate potential risks during both the initial onboarding process and daily operations. In addition, Mastercard will raise the Acquirer Brand Volume fee by 0.01% from 0.13% to 0.14%. This updated fee will apply to all Mastercard transactions.