VISA Adds Pin-Based Transactions To Its Fraud-Recovery Service

Visa Inc. announced late last month that it will include its PIN-based Plus ATM and Interlink debit purchases in its Account Data Compromise Recovery Service, which historically has applied only to signature transactions. Visa will add the PIN-debit transactions effective Nov. 1. For enrolled Visa card issuers, the recovery service assigns liability and collects reimbursement for counterfeit fraud losses and operating expenses incurred because of compromised cards. By including PIN-debit transactions in the recovery service, Visa is simplifying the fraud-liability and reimbursement process for issuers and acquirers, says Dave Van Horn, Visa senior business leader of global fraud risk products. If accounts were compromised today involving both PIN- and signature-debit transactions, an issuer would need to use a separate process to recover the PIN-debit losses, he says. Issuers enrolled in the service will not have to re-enroll when Visa adds PIN-debit transactions.