How to answer a fraud chargeback on Shopify
- Check whether it is coveredShopify Protect covers eligible Shop Pay orders against fraudulent and unrecognized chargebacks; check whether this order was one.
- Read the codeVisa 10.4, Mastercard 4837, Amex F29 or Discover UA02 behind the "fraudulent" label.
- Pull the payment checksAVS and CVV results, and 3-D Secure if the payment was authenticated.
- Find earlier undisputed ordersSame card, device, IP address, email or shipping address, for Visa Compelling Evidence 3.0.
- Write it up and submitUse the fraud letter in the rebuttal templates and submit before the due date.
Which codes these are
Shopify Payments shows "fraudulent" or "unrecognized" for disputes filed as Visa 10.4 Other Fraud, Card-Absent Environment, Mastercard 4837 No Cardholder Authorization, American Express F29 or Discover UA02. Visa 10.4 is the one where Compelling Evidence 3.0 applies: two or more earlier undisputed transactions on the same card, 120 to 364 days old, that share identifiers such as the IP address, device, shipping address or email with the disputed sale.
Example: a returning customer's $310 order
A $310 order from a returning customer is disputed as fraudulent (Visa 10.4) on Shopify Payments. It wasn't a Shop Pay order, so Shopify Protect, which covers eligible Shop Pay orders against fraudulent and unrecognized chargebacks, doesn't apply. The customer placed two earlier orders, 5 and 9 months ago, from the same device and IP address, and neither was disputed, which can qualify for Compelling Evidence 3.0. The response leads with those orders, then the AVS and CVV match and delivery to the billing address.
What not to do
- Don't accuse the cardholder; state what the records show.
- Don't rely on delivery alone.
- Don't include earlier orders that were refunded for fraud, disputed or paid with a different card.
- Don't submit IP or device data you can't trace to the checkout.
Reason codes this answer covers
- Visa 10.4: Other Fraud: Card-Absent Environment: sometimes winnable
- Mastercard 4837: No Cardholder Authorization: sometimes winnable
- American Express F29: Card Not Present: sometimes winnable
More questions
Can I win a fraud chargeback on an order that was delivered?
Sometimes. Delivery shows where the parcel went, so pair it with proof the cardholder took part: passed AVS and CVV checks, delivery to the billing address, the same device or IP as earlier undisputed orders, or messages from the customer about the order. The cardholder's bank decides.
What does "unrecognized" mean on a Shopify chargeback?
It is a fraud-category dispute in which the cardholder says they don't recognize the charge. Answer it like a fraud claim. It often turns out to be an unfamiliar statement descriptor or a purchase by someone in the household, so a polite email to the customer can be worth sending first.
See it on your own orders.
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Sources
- Shopify Help Center: Shopify Protect (checked October 5, 2026)
- Shopify Help Center: Chargeback process (checked October 5, 2026)
- Visa Core Rules and Visa Product and Service Rules (18 April 2026), Chapter 11 Dispute Resolution (checked October 5, 2026)
- Mastercard Chargeback Guide, Merchant Edition (13 May 2025) (checked October 5, 2026)
Last reviewed by Verdikx Research.