What Is the TMF MATCH List & How to Get Off of It

I’ve realized something. One of the worst things to happen as a merchant is being on a MATCH list. I aim to avoid it, and you should too.

Here’s what the MATCH list is, why it’s problematic, and why merchants might be placed on it.

Let’s learn what it means when you’re “MATCHed.”

Key Takeaways

• The terms “TMF” and “MATCH” are interchangeable.
• Removal from the MATCH list takes at least 5 years.
• Mastercard chargebacks above 1% of sales trigger MATCH list inclusion.
• A fraud-to-sales ratio exceeding 8% also results in MATCH list placement.
• Addressing PCI compliance issues may allow removal under code 12.
• Keeping chargebacks below 0.65% helps avoid MATCH list placement.
• If on this list, seek processors that work with high-risk merchants.
• Reasons for ending up on the list include legal violations and high chargeback rates.

Yup, I said too many chargebacks will put you on this list. To help prevent them, try using chargeback alerts.

We provide easy access to them. Here’s how they work.

What Is the MATCH List in Credit Card Processing?

The MATCH list is a risk-monitoring database managed by card networks. It helps banks screen merchants with terminated accounts, excessive chargebacks, or fraudulent activity from obtaining new payment processing.

MATCH stands for "Member Alert to Control High-Risk Merchants." While TMF, or "Terminated Merchant File," was its former name. Many people still use TMF and MATCH as synonyms.

How often do acquirers place merchants on this list?

There’s no public data on how many merchants are on the MATCH list or its financial impact.

Mastercard created MATCH to allow acquiring banks to flag merchants with past account terminations. Indicating a higher risk profile.

If your business is on this list, it becomes tough to open new accounts. As most banks must check MATCH before onboarding a merchant. Although some high-risk banks may still accept applications, they often charge higher fees.

What’s so bad about being on this list?

Summary: It’s a risk-monitoring database.

Consequences of Being on a MATCH List

Consequences of being on the MATCH list include:

• Account termination: Immediate closure of existing processing accounts.
• Future rejection: Payment processors typically reject new account applications.
• Higher costs: Increased processing fees and long-term contract obligations.
• Reserve requirements: Holding a portion of transactions in a reserve account.
• Risk monitoring: Increased scrutiny of transaction and chargeback patterns.
• Credit impact: Limited access to financing and banking services.
• Reputation damage: Affected credibility with partners.

Though being on the MATCH list doesn’t block all payment processors, it designates your business as high-risk. Alerting institutions to potential liabilities.

Let’s get more context on some of the above points:

1. Future Rejection

Payment processors often automatically deny applications from MATCH-listed businesses. Even processors who work with high-risk merchants may reject you if past issues, like chargebacks, are severe.

Making it extremely difficult to restore your payment processing privileges.

2. Higher Costs

Getting a high-risk merchant account, if possible, brings increased costs:

• Higher processing fees
• Setup charges
• Early termination penalties

These additional charges offset risks associated with high-risk businesses. Contracts often become more restrictive with longer commitments.

3. Reserve Requirements

MATCHed merchants typically must keep a reserve account where a portion of each transaction is held. This reserve cushions against chargebacks but affects cash flow and funds needed for daily operations.

We have more information on reserves here.

4. Risk Monitoring

Processors closely monitor MATCH-listed merchants. Examining transaction patterns and chargeback rates. This oversight can feel invasive. As any negative trend could lead to penalties or termination.

The MATCH system protects financial institutions from high-risk merchants but poses hurdles for businesses attempting recovery. Though high-risk processors may work with MATCH-listed companies, such services cost more and come with no guarantees.

If your account hasn’t been terminated, how do you know if you’re on the list?

How Do You Find Out if You’re on the MATCH List?

To check if you're on the MATCH list, ask your current payment processor. Most merchants discover their MATCH status when applying for new merchant accounts. While no public portal exists, your acquiring bank can confirm your listing status.

Now you know you’re on the list. Why are you on it?

Summary: Ask your payment processor.

Why Am I on the MATCH List?

Reasons for MATCH list placement include:

• Excessive chargebacks: High numbers of customer disputes.
• PCI violations: Failure to meet payment security standards.
• Fraud: Intentional deception in business practices.
• Money laundering: Involvement in illegal financial transactions.
• Bankruptcy: Business insolvency.
• Merchant collusion: Unauthorized partnerships.
• Security issues: Payment processing breaches.
• Non-compliance: Violating merchant agreement terms.
• Illegal activity: Prohibited business practices.
• Unauthorized changes: Unapproved business model modifications.
• Prohibited products: Selling items outside the merchant agreement.

Fun fact, if you’re on the MATCH list, that means you got MATCHed. 

If you’re on the MATCH list, you’ve been “MATCHed.” I’d swipe left on this match, though.

The above are broad reasons you’ll end up on a list.

The real reason depends on which of the following codes you receive:

“Excessive chargebacks” refers to merchants having too many Mastercard disputes in a month. This number will usually vary by card brand. But for Mastercard, disputes can’t exceed 1% of your total sales and costs $5,000 or more.

For a deeper understanding, we offer a guide on Mastercard’s chargeback thresholds and monitoring. I highly recommend checking it out.

“Excessive fraud” applies if your fraud-to-sales dollar volume ratio reaches 8% or more. Or if you have 10 or more fraudulent transactions totaling $5,000 in a month.

The excessive chargeback and fraud reason codes apply only to Mastercard purchases. Other reason codes impact all card brands, including Visa, Discover, and others.

But wait, What about Mastercard’s QMAP? That one’s specific to Mastercard too. Kind of.

If Mastercard or your acquirer suspects fraud, they may launch an investigation

To classify a business as a "questionable merchant" under QMAP, Mastercard considers whether the merchant meets at least 3 of these 4 criteria:

• Transaction history: The merchant has submitted transactions for fewer than six months.
• Transaction balance: The total dollar amount from authorization declines, issuer referrals, and fraud-related transactions exceeds the total from approved transactions.
• Fraud ratio: The fraud-to-sales ratio is 70% or higher.
• Declined transactions: 20% or more of the submitted transactions for authorization were declined.

Most reason codes for MATCH list placement involve legal or card network violations. Codes “4” and “5” have exceptions. Code “6” isn’t used anymore, but I couldn’t find additional details.

And that’s all we need to know.

You’re on the list. How long will you stay on it?

How Long Do You Stay On the MATCH List?

MATCH list entries remain active for 5 years from your last listing date. After this period, networks automatically remove merchants during monthly updates.

This sucks. What can you do if you’re on the list?

Summary: 5 years.

Here’s What to Do if You’re on a MATCH List

If you’re on a MATCH list, consider these steps:

• Research high-risk payment processors for alternative account options.
• Gather documentation needed for high-risk account applications.
• Verify your monthly processing volume meets high-risk account criteria.
• Consult specialists in high-risk or offshore merchant accounts.
• Explore non-card payment options, such as ACH, P2P, or cryptocurrency.
• Implement best practices to reduce chargebacks.
• Regularly update your processor about business improvements

Each step assumes you know you’re on the list and understand the reason code.

Researching high-risk processors is essential. As traditional providers may reject MATCH-listed businesses. High-risk processors often work with MATCH-listed merchants. Although they may have specific requirements, like minimum income and chargeback ratios.

When applying to high-risk providers, prepare to submit at least 6 months of processing statements, account balances, and other financial documents.

Note that some providers require a monthly processing volume of $100,000 or more.

Additionally:

Consider non-traditional payment methods. Peer-to-peer (P2P) payment apps, ACH, and cryptocurrency can offer viable alternatives. These methods allow direct transactions without acquiring banks that typically reference the MATCH list.

To rebuild trust, refine your business model.

Consider tightening refund and dispute policies, implementing fraud detection tools, and working to reduce chargebacks.

Regular updates to your processor about these improvements show your commitment to lowering risk, which can help rebuild your reputation.

Is there anything you can do to get off this list?

How Do I Get Off the MATCH List?

Options to get off the MATCH list include:

• Wait 5 years: Typically, removal happens automatically after this period.
• Correct mistaken listing: Contact your bank if you believe you’re listed in error.
• Resolve PCI compliance: For MATCH reason code 12, achieve PCI-DSS compliance.
• Address outstanding debts: Settle any unresolved financial obligations.
• Consider legal action: If you were wrongfully listed, legal recourse may help.
• Negotiate with high-risk processors: High-risk payment processors may offer account terms.

If you have no additional violations, most merchants can only get off the list by waiting 5 years. After this time, MATCH will automatically remove you.

Otherwise, let’s get more context on other points…

1. Mistaken Listing Correction

If your listing was an error, contact the acquiring bank that added you.

Provide documented evidence supporting your case. The bank will evaluate the claim, and if they agree, they’ll request removal from Mastercard. However. They aren’t obligated to act on your claim. This realization means you’ll need clear documentation and persistence.

2. PCI Compliance Resolution

A card brand may add you to this list for PCI non-compliance (MATCH reason code 12). If this is the reason you’re on the list, you’ll need to become compliant. This means you’ll need to follow a bunch of steps to ensure you’re secure when transmitting or storing cardholder data.

The PCI Security Standards Council has an excellent guide to help you get started (PDF link).

After becoming PCI compliant, submit proof from a Mastercard-certified forensic examiner to your acquiring bank. If they refuse to assist, approach Mastercard directly. Though this process could take a while.

From there, the acquirer must send the following to Mastercard:

• Your compliance validation
• Their acquirer ID
• Your name, address, and merchant number
• Owner’s information

3. Address Outstanding Debts

Merchants sometimes land on the list due to unresolved debts with their bank or processor. Clearing these balances may improve your chances of removal if the debt caused the listing.

4. Legal Action

In cases of serious errors or contractual violations, legal action may be an option. This approach is costly and doesn’t guarantee success. It may be worth pursuing only when there’s strong evidence of a bank’s wrongdoing.

5. Negotiation with High-Risk Processors

While being on the MATCH list can limit your options for standard merchant accounts, high-risk processors might still work with you. Negotiating terms with these providers can help you stay operational, though expect higher fees and more stringent requirements.

And how would you prevent yourself from ending up on this list?

How to Avoid Getting on the MATCH List

Ways to avoid getting MATCHed include:

• Maintain low chargeback rates: Aim for below 0.65%.
• Use AVS and card security codes: These measures help prevent fraud before sales.
• Offer responsive customer service: Resolves issues before they escalate.
• Apply order validation tools: Quickly address potential disputes.
• Follow regional laws: Stay compliant to avoid penalties.

Most of what you’d need to do ties back to chargeback prevention. Since fraudulent purchases, merchant errors, and non-compliance are all potential chargeback causes,

While Mastercard allows a 1% chargeback rate, keeping it below 0.65% avoids enrollment in monitoring programs. Visa also has a dispute program, but with stricter thresholds. Both card brands charge steep fees the longer you remain in these programs.

Visa also has one with not as gracious of a threshold as Mastercard. Both card brands have these programs and will charge huge fees the longer you remain in it.

For more details on dispute monitoring, see our guide.

What can you do about chargebacks, then?

Reducing chargebacks starts with fraud prevention. Use fraud scoring tools, address verification, CVV checks, and secure payment methods like Apple Pay or Google Pay.

I could go on with prevention. I discuss further on ways to prevent fraud in this piece.

Not all chargebacks are fraud-related.

“Friendly fraud” occurs when a cardholder files a chargeback on a legitimate purchase, often unintentionally. Such as when a family member uses their card without consent.

In contrast, “chargeback fraud” is a deliberate attempt to dispute a legitimate purchase.

We have a more specific guide on preventing friendly fraud here. We also have a guide that helps you tell which fraud is what.

To avoid merchant errors — another chargeback source — improve fulfillment accuracy. Implement quality control checks and verify orders. These make up for 40% of all disputes.

If your chargeback rate nears or exceeds 0.65%, use chargeback alerts.

These services notify you of disputes before they become chargebacks. Allowing you to issue a refund if necessary. Providers like Ethoca, CDRN, and RDR offer various options, which we compare in a separate guide.

If things get extreme, and you’re a larger business, you’ll need to work with chargeback management services. These are usually suites of tools meant to reduce chargebacks. They’re pricey, though.

Before working with any of these merchants, you should know how a MATCH list works.

How Does the MATCH List Work?

When a business applies for a new merchant account, the acquirer checks the MATCH List for records associated with the applicant. If the business is found on the list, the acquirer reaches out to the processor or bank that added the merchant to the MATCH list to review details on the account termination.

When evaluating a new merchant account, acquirers use the MATCH list to screen potential high-risk businesses.

Here’s the process:

1. Merchant check: The acquirer submits the applicant’s business and principal owner details to MATCH.
2. Database search: MATCH scans its records from the last 5 years for possible matches.
3. Results and response: MATCH returns exact or phonetic matches. Allowing the acquirer to assess the merchant’s risk.

To comply, card networks require that MATCH entries include relevant business information, including:

• Legal business name and DBA
• Business address, phone, and Tax ID
• Business URL
• Principal owner’s details (name, address, phone, and Tax ID)
• Dates of account opening and termination
• Applicable MATCH reason code

Card brands do not verify the accuracy of the entries. Instead, processors and acquiring banks are responsible for entering businesses into MATCH. They must act quickly if the account meets the criteria — within 1 business day of termination or eligibility.

If an account matches MATCH criteria after termination, the following occurs [1]:

1. Submission: The acquirer submits the terminated merchant’s information and the applicable reason code within 5 days.
2. Real-time update: MATCH updates its database, making this information accessible to other acquirers.
3. Confirmation: The acquirer receives a reference number confirming successful addition to MATCH.

And there’s not much else to this list.

FAQs

Can Your Merchant Account Be Blacklisted?

Yes, merchants may be blacklisted due to fraud or excessive chargebacks. Mastercard and Visa monitor accounts for high-risk behaviors. Consistently high chargeback ratios or fraudulent activity can trigger a review and potential termination.

Wrapping Up

Once you’re on a MATCH list, there’s not much you can do other than to wait until you’re removed. Or accept alternative payment methods.

The best way to avoid such a situation is to reduce your risk. This involves preventing chargebacks. And chargeback alerts do that. But they’re often difficult to access since you have to reach out to multiple providers.

We offer access to every alert available. Try them out.

Sources

• [1] MATCH PRO. Mastercard.