Order Validation provides transaction transparency to everyone involved in a transaction. Cardholders and issuers can access the transaction data, with cardholders viewing the data directly through their mobile banking app or online portal. Order Validation is purely an informational service, meaning it does not resolve chargebacks—it helps prevent them.
Example use case
Jeremy is reviewing his recent credit card transactions on his banking app. He notices a charge from a company he does not recognize.
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Without Order Validation
Jeremy immediately contacts his issuing bank and begins the dispute process. He will not contact the merchant directly because he doesn't recognize the company name (for example, if the incorporated name on the charge is different from the brand). The bank can only see the charge and company name, and cannot verify if the transaction was legitimate. They mark the transaction as fraudulent and issue a chargeback for Jeremy.
The next day, Jeremy checks his email, sees a receipt for an item, and realizes that the amount charged matches the amount he saw. The charge was not fraudulent, and Jeremy is happy his card wasn't compromised.
However, this doesn't help the merchant he made the purchase from. The merchant now has a chargeback hit on their chargeback ratio.
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With Order Validation
When Jeremy checks his transactions in his banking app, it provides him with details like the email used in the transaction, the item name, and how the charges break down (item cost, upsells, tax). Jeremy is assured there was no fraud, the issuing bank avoids a dispute, and the merchant does not accrue a chargeback hit. The potential dispute has been successfully deflected.
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