What is the Visa Acquirer Monitoring Program (What Changed?)

I used to find Visa’s multiple chargeback programs frustrating. So, I was glad to hear they’re merging them into one. However, this shift isn’t without its drawbacks.

In this guide, I’ll break down what’s changing under VAMP and how you can stay compliant.

Let’s start with the basics.

Key Takeaways

• VAMP replaces VDMP, VFMP, VFMP 3DS, DGMFM, and the current version of VAMP.
• Stricter thresholds take effect in 2026.
• Merchants with fewer than 1,000 monthly disputes won’t need to enroll in VAMP.
• Enumeration fraud exceeding 20% will trigger automatic enrollment.
• The transition period runs from April 1, 2025, to December 31, 2025.

Want to stay ahead of rising chargeback rates? Consider using chargeback alerts. They help prevent customer disputes from turning into formal chargebacks.

Learn more about how chargeback alerts work here.

What is the Visa Acquirer Monitoring Program?

Currently, VAMP tracks acquirer activity related to fraud and chargebacks. It ensures compliance by monitoring key risk indicators. The program then applies penalties when businesses exceed set limits.

Starting April 1, 2025, VAMP will merge the following programs into a single framework:

• Visa Dispute Monitoring Program (VDMP)
• Visa Fraud Monitoring Program (VFMP)
• VFMP 3D Secure (3DS)
• Visa Digital Goods Merchant Fraud Monitoring Program(DGMFM)
• The current version of VAMP

The new system will also replace 38 separate remediation processes with a single approach. I couldn’t find much information on this tidbit from Visa.

VAMP will now track unauthorized authorization attempts, known as enumeration fraud. This shift moves the program’s focus from detecting outliers to preventing fraud before it happens.

Originally designed for Europe, Visa has expanded VAMP worldwide.

Let’s dive deeper into these updates.

Summary: Unifies fraud programs, streamlines compliance, and strengthens fraud prevention efforts.

What Everything Was Like Before

Before the upcoming changes, Visa managed several monitoring programs. Each addressed specific fraud and dispute challenges. 

These programs included:

• VDMP: Tracked chargeback ratios to ensure merchants stayed within acceptable dispute limits.
• VFMP: Similar to VDMP, but focused on fraudulent transaction rates.
• VFMP 3DS: Monitored fraud rates for transactions using 3D Secure authentication.
• DGMFM: Targeted fraud risks in digital goods transactions.
• Current VAMP: Oversaw acquirers' fraud and chargeback activity.

Visa will retire all these programs on March 31, 2025.

Each program had unique rules, thresholds, and reporting requirements. Such systems created a complex and fragmented compliance process. Acquirers had to manage multiple sets of guidelines. Making fraud prevention time-consuming and costly.

Here are what some of the tiers looked like so you can reference them later:

VDMP:

Pre-April 2025 VAMP:

VFMP:

Stay tuned for what’s changing.

Summary: Visa's past monitoring programs had separate rules and compliance efforts.

Here’s What’s Changing

Here’s a quick breakdown of the key changes:

• Fees: New enforcement fees will apply after a grace period, starting July 1, 2025.
• Thresholds: Stricter limits for acquirers and merchants will take effect in January 2026.
• Chargeback ratio: Now calculated using fraud disputes, non-fraud disputes, and total sales.
• Enumeration: Visa will enroll sellers in VAMP who have over a 20% enumeration rate.
• What qualifies: Card-not-present transactions and specific dispute types.

We’ll dive into each change next to show how they impact acquirers and merchants.

1. Fees

Visa will introduce enforcement fees labeled as “Above Standard” or “Excessive.” These will apply to acquirers and merchants. The fees will apply to each fraudulent or disputed transaction once the grace period ends.

What is the "grace period"?

First-time offenders within a rolling 12-month period will receive a 3-month grace period.

After the grace period, Visa will charge the following fees:

• Merchants (Excessive): $10 per transaction
• Acquirers (Above Standard): $5 per transaction
• Acquirers (Excessive): $10 per transaction

The first 3 months after VAMP launches will serve as an advisory period. During this time, Visa will send notifications to businesses exceeding program thresholds.

This period allows acquirers and merchants to adjust their fraud prevention strategies. Enforcement begins on July 1, 2025.

Visa has shifted its focus from traditional non-compliance penalties to direct enforcement fees. These apply to all card-not-present (CNP) disputes, regardless of whether they involve fraud.

Summary: New VAMP fees penalize excessive fraud, with enforcement starting July 1, 2025.

2. Chargeback Thresholds

Visa is tightening its thresholds in 2 phases.

Here’s how they break down:

Phase 1: April 1 – December 31, 2025:

• Merchants (Excessive): 1.5% VAMP ratio
• Merchants (Enumeration): 20% enumeration rate
• Acquirers (Excessive): 0.5% VAMP ratio

Phase 2: Stricter Limits Starting January 1, 2026:

• Merchants (Excessive): 0.9% VAMP ratio
• Acquirers (Above Standard): 0.3% VAMP ratio
• Acquirers (Excessive): 0.5% VAMP ratio

Here’s more information on why excessive chargeback rates are bad.

3. How Will We Calculate the New Ratio?

Visa has made the new VAMP ratio as follows:

TC40 Reports + Non-fraud Disputes ÷ Total Sales Count

Here’s a breakdown on what each of these means:

• Fraud transactions (TC40): Issuers flag fraud transactions and report them to Visa.
• Non-fraud disputes: Chargebacks with reason codes other than 10.XX (fraud-related).
• Total sales count: All Visa-processed card-not-present (CNP) transactions.

There’s a separate ratio for enumeration, which we’ll cover next.

4. Enumeration Ratio (New)

Visa’s updated VAMP program introduces a separate enumeration ratio to fight card testing fraud. Fraudsters often test stolen card details by making small transactions that usually go unnoticed.

They’ll calculate this ratio with the following equation:

Enumeration Ratio = Confirmed Enumerated Transactions ÷ Total Settled Transactions

To reduce false positives, Visa’s VAAI system will verify enumeration claims. Visa will exclude merchants with fewer than 300,000 enumerated transactions from monitoring.

Visa will enroll merchants in VAMP if enumeration attempts exceed 20% of their transactions.

This fraud often slips past fraud detection because the small transaction amounts don't trigger alerts.

Thus:

Visa will work to stop these attacks and protect the payment ecosystem. Sellers using strong fraud prevention tools can usually detect and block card testing before it becomes a bigger problem.

Glossary:

• VAAI (Visa Account Attack Intelligence): A Visa system that detects enumeration fraud.

Summary: VAMP’s enumeration ratio targets card testing fraud. Enrolling merchants exceeding 20% thresholds.

5. Transactions That Qualify for VAMP

Visa’s VAMP program applies only to specific transaction types and dispute conditions. 

Here’s what counts:

• Transaction type: Card-not-present (CNP) transactions processed through Visa.
• Dispute Types:
  
  • Fraudulent disputes (TC40 reports).
  • Non-fraud disputes under these reason codes:
    
    • 11 – Authorization issues
    • 12 – Processing errors
    • 13 – Customer disputes

They’ll exclude the following from the calculation:

• Rapid Dispute Resolution (RDR): Automated chargeback resolution tool.
• Cardholder Dispute Resolution Network (CDRN): Chargeback alerts.
• Compelling Evidence 3.0 (CE 3.0): Uses Visa-approved evidence standards.

External solutions like Ethoca Alerts or Verifi Order Insight won’t exclude disputes from a merchant’s VAMP ratio.

Visa calculates ratios monthly based on the Central Processing Date (CPD) of each transaction.

How will all of this impact merchants?

Summary: VAMP counts CNP transactions, requiring 1,000 monthly disputes to qualify for monitoring.

VAMP’s Impact on Merchants

Here’s how VAMP will affect sellers:

• Stricter thresholds: Merchants must meet lower fraud and dispute limits under one program.
• Enumeration monitoring: Merchants exceeding 20% enumeration fraud will face automatic VAMP enrollment.
• Financial impact: Reduced fees.
• Acquirer-imposed limits: Acquirers may set stricter thresholds, leading to account restrictions or terminations.

While lower fees offer some relief, stricter rules increase compliance challenges and financial risks.

Acquirers will face tougher chargeback thresholds, with the “Above Standard” limit dropping to 0.3% in 2026. This change will likely push acquirers to impose stricter merchant requirements.

Summary: It enforces stricter fraud and dispute controls, requiring merchants to adopt comprehensive risk strategies.

VAMP Compliance Tips: What to Do As a Merchant

To VAMP and minimize chargebacks and fraud, you should use the following strategies:

1. Assess Your Current Fraud & Chargeback Metrics

Start by reviewing your current fraud and dispute rates against VAMP’s new thresholds. This helps you understand where you stand and pinpoint areas that need improvement.

Monitoring allows you to spot potential issues and take corrective action before they escalate.

2. Strengthen Fraud Prevention Strategies

Use tools like 3D Secure (3DS) to add a layer of authentication. Making it harder for unauthorized users to complete transactions.

Merchants who use 3DS have seen up to a 70% reduction in chargebacks, according to industry data. Though, it comes with downsides. See this guide for more information on that.

3. Work Closely with Your Acquirer

Keep an open line of communication with your acquirer to stay informed about their policies and any changes related to VAMP.

4. Leverage Visa’s Dispute Resolution Tools

Visa’s Rapid Dispute Resolution tool automates dispute handling. Helping merchants resolve issues before they turn into chargebacks.

Some sellers using RDR have reported up to a 65% reduction in dispute rates. You could combine it with CDRN for even better results.

We offer both alerts.

5. Monitor for Enumeration Fraud

Fraudsters use enumeration attacks to test card numbers and find valid ones, which can lead to more chargebacks.

To reduce this risk:

• Analyze transaction data regularly to spot suspicious patterns.
• Implement velocity checks to limit repeated transaction attempts.
• Set strict limits on failed authorization attempts.

6. Optimize Internal Processes

Strengthen your fraud prevention and dispute management by following industry best practices.

• Train staff to detect and respond to suspicious activities.
• Maintain accurate records to support dispute resolution.
• Respond quickly to customer inquiries to prevent escalations.
• Conduct regular audits to find and fix process gaps.

Here’s another tool to keep in mind, though it isn't useful for you.

What is Visa OneERS & Why Is It Useful?

Visa OneERS is a case management tool that helps acquirers track and manage fraud and disputes under VAMP. It offers a dashboard to monitor portfolios, automate cases, and improve compliance tracking.

Here are the details:

• For acquirers only: Merchants won’t have direct access and must rely on their acquirers.
• Self-service tools: Acquirers can oversee risk across their entire merchant portfolio.
• Launch date: Visa will introduce OneERS in April 2025.

Visa plans to provide training and resources to help acquirers understand and use OneERS before its launch.

Thanks for reading!

Wrapping Up

The new VAMP system offers lower fines but comes with stricter thresholds. This means merchants must stay proactive with chargeback prevention to avoid penalties.

One effective solution? Chargeback alerts. They help catch disputes early and prevent costly chargebacks.

Schedule a demo today to see how they can protect your business.