Mastercard reason code 4871 and the chip and PIN liability shift

What Mastercard reason code 4871 means

4871 is a card present fraud chargeback. It applies when the genuine card, not a copy, falls into the wrong hands. If the card supports PIN and your terminal only took a signature, a swipe or no verification, the issuer can shift the loss to you. If the PIN was entered and verified, or the card did not support PIN, the shift does not apply. The rules depend on region, since PIN use differs between markets.

Typical triggers for a 4871 chargeback

• A chip terminal without a PIN pad, or with PIN entry switched off.
• A stolen card used with a signature at a counter or restaurant.
• Staff bypassing PIN entry to speed up a queue.
• Swiping or key entering a present card after a chip error.
• Use of a card that never reached the cardholder and was intercepted in the mail.

Time limits for Mastercard 4871

The cardholder typically has 120 days from the transaction date to dispute. Your response window is set by your processor and is much shorter, often 7 to 21 days. Request terminal and authorization logs as soon as the dispute arrives.

Evidence that defends a 4871 dispute

• Terminal logs showing the PIN was entered and verified for the transaction.
• The authorization record with the cardholder verification method and chip data sent to the issuer.
• Proof the card did not support PIN, if the authorization data shows that.
• A receipt marked PIN verified, with the application ID and cryptogram details.
• Records showing the terminal was PIN capable and PIN enabled on that date.

What to avoid when you respond

• Do not rely on a signature or a photo ID check. Under 4871 that does not reverse the liability shift.
• Do not submit a receipt without the verification method.
• Do not refund after the chargeback is filed, since the funds are already withdrawn.
• Do not let staff override PIN prompts to save time.

How to prevent Mastercard 4871 chargebacks

• Use chip terminals with PIN pads and keep PIN entry enabled.
• Train staff never to bypass a PIN prompt or swipe a chip card.
• Accept contactless payments and follow the PIN prompt for amounts above the local limit.
• Review terminals with many signature or fallback transactions.
• Track fraud levels against Mastercard thresholds with the chargeback ratio monitor.

How 4871 appears in Stripe

Stripe usually shows 4871 disputes with the reason fraudulent. The raw code is always in the network reason code field on the dispute. For Stripe Terminal and other in person charges, NoChargeback reads the card present details recorded on the charge, including the read method and cardholder verification, and attaches them to the evidence. See Stripe chargeback protection.

Rebuttal letter opening for Mastercard 4871

Related reason codes

• Mastercard reason code 4870, chip liability shift
• Mastercard reason code 4837, no cardholder authorization
• Visa reason code 10.3, other fraud card present
• All chargeback reason codes