Managing disputes and preventing fraud are becoming increasingly difficult tasks as digital payments become more complex. Visa has always been at the forefront of making sure that the payments ecosystem is efficient and secure, and its most recent project, the Visa Acquirer Monitoring Programme (VAMP), is going to change how acquirers and merchants approach these problems. Coming into effect from April 2025, VAMP will replace and combine Visa’s current monitoring initiatives, including the Visa Fraud Monitoring Programme (VFMP) and Visa Dispute Monitoring Programme (VDMP), into a single, simplified solution.
Through the integration of these programmes, Visa aims to streamline compliance for acquirers and merchants while offering a more complete and adaptable system for handling chargebacks, fraud and scanning threats. Given how quickly the payments sector is evolving, this action is an essential initial step towards safeguarding the international payments environment. In addition to introducing sophisticated tools like Visa’s OneERS platform to better monitor risks in real-time, VAMP also establishes new limits for fraud and disputes.
This article will explore the key changes under VAMP, its impact on the payments ecosystem and how merchants and acquirers can prepare for its implementation.
The Need for VAMP
As fraud and dispute levels rise in conjunction with the growth of digital commerce, current systems have found it difficult to keep up with the changing threats in the payments ecosystem. Visa has identified this a weakness in the way that dispute resolution and fraud prevention were being handled, particularly in light of the difficulties that acquirers and merchants encounter when juggling several compliance programmes.
In order to mitigate the difficulties presented by different monitoring programmes, VAMP was created, giving acquirers specific processes and thresholds for risk management. Through the combination of fraud protection measures and dispute resolution solutions, VAMP guarantees that acquirers and merchants can take a more coordinated and proactive approach against new threats. This programme has also been in response to the rapidly evolving digital payment ecosystem of today, which calls for safer but more straightforward measures.
What is VAMP?
The Visa Acquirer Monitoring Programme (VAMP), is intended to improve and simplify the way acquirers handle fraud and disputes. With its April 2025 commencement date, VAMP streamlines compliance and risk management for acquirers by combining five different monitoring programmes into a single, cohesive framework. In order to ensure uniformity in enforcement across areas, this programme develops internationally coordinated fraud criteria for both domestic and cross-border card-not-present (CNP) transactions.
Under VAMP, important parameters including the dispute-to-sales ratio, fraud-to-sales ratio, and enumeration ratio will be continuously observed. Acquirers can better prevent fraud by evaluating their risk levels with the aid of these indicators. Acquirers can more easily monitor compliance, secure their merchant portfolios, and preserve the integrity of the payments ecosystem with the help of VAMP, which combines these parameters into a single programme.
Key Features of VAMP
In order to facilitate fraud and dispute management for acquirers, the Visa Acquirer Monitoring Programme (VAMP) has made a number of significant improvements. These improvements put more powerful tools at the forefront of compliance and risk control.
Consolidation of Programs
By combining five different fraud and dispute monitoring programmes into one, VAMP streamlines the environment. Acquirers will find it simpler to monitor, handle, and resolve fraud and disputes throughout their portfolios as a result of the elimination of needless procedures and the creation of an identical framework. Acquirers will gain more from an effective system that provides thorough control and reduces the complexity of numerous compliance programmes.
New Fraud and Enumeration Thresholds
By integrating fraud and non-fraud disputes into a single ratio, VAMP provides a novel approach to risk calculation that enables a more precise evaluation of an acquirer’s performance. To prevent card testing attacks, where thieves try to authenticate card details they have stolen, VAMP also has an enumeration ratio. This new indicator aids acquirers in stopping the progression of these fraudulent transactions into more serious breaches of security.
Risk-Based Enforcement
The transition of VAMP to a risk-based enforcement framework is one of its biggest changes. By taking into account each acquirer’s unique risk profile and compliance history, this strategy offers flexibility to the parties involved. VAMP encourages proactive risk management by enabling more flexible reactions based on the acquirer’s performance, as opposed to a one-size-fits-all penalty scheme.
OneERS Platform
As part of VAMP, Visa has introduced the OneERS platform to assist case management and real-time monitoring. With the help of this sophisticated solution, acquirers can monitor risk indicators and disputes in real time by accessing performance dashboards. Acquirers may handle problems more quickly and effectively with integrated analytics and self-service features, which helps them keep ahead of possible risks and uphold compliance with Visa’s changing standards.
Impact on Acquirers and Merchants
For Acquirers
Tougher requirements are now an integral part of the new Visa Acquirer Monitoring Programme (VAMP). Especially for acquirers falling into the “above standard” and “excessive” categories. These stricter dispute and fraud-to-sales ratios are now mandatory for acquirers, with a 0.3% “above standard” and a 0.5% “excessive” threshold. Since this is a major change from earlier programmes, acquirers must carefully watch the performance of their portfolio to make sure they don’t fall into these categories.
VAMP introduces new fines and sanctions for those who surpass these limitations in addition to the tighter standards. With a three-month grace period for first-time offenders, acquirers classified as “above standard” or “excessive” will be subject to increasing penalties, including fines per dispute. In order to address the underlying problems and enhance performance, acquirers who exceed thresholds will also need to submit remediation plans. In order to avoid penalties and preserve compliance, acquirers must take a proactive approach to managing risk and disputes in light of the transition.
For Merchants
The new VAMP thresholds will have an effect on merchants as well because they will impose higher performance requirements to track their dispute ratios. Merchants who are over the 1.5% “excessive” standard (which will decrease to 0.9% in 2026) may be subject to fines, which may involve higher costs and possible limitations. They risk expensive fines and losing their ability to handle transactions if they don’t achieve these revised performance requirements.
However, by utilising Visa’s dispute resolution capabilities, like Verifi’s Cardholder Dispute Resolution Network (CDRN) and Rapid Dispute Resolution (RDR), merchants can reduce these risks. By removing disputes settled through these platforms from VAMP’s ratio calculations, merchants can stay in compliance and stay out of trouble. Merchants can better control their chargeback and fraud risks and improve their dispute resolution procedures by utilising these technologies.
Preparing for VAMP: Strategies for Acquirers and Merchants
Acquirers and merchants alike need to prepare for the changes when Visa rolls out the revised VAMP programme. Businesses may protect their operations and guarantee compliance with Visa’s new rules by focusing on fraud prevention and dispute management. The main techniques listed below will assist acquirers and merchants in navigating the new framework successfully and staying out of trouble.
Fraud Prevention
In order to effectively navigate the new VAMP solution, merchants and acquirers need to implement strong fraud protection procedures. Fraudulent activities can be identified and mitigated before they increase by utilising transaction risk analysis and solutions like 3D Secure. These methods will lower the risks of enumeration and fraud-to-sales for acquirers and merchants. This will ultimately reduce their fraud exposure and avoid the fines related to surpassing VAMP thresholds.
Dispute Management
Managing disputes well will be essential to remaining compliant under VAMP. Using Visa’s Chargeback Alert solutions, like the Cardholder Dispute Resolution Network (CDRN) and Rapid Dispute Resolution (RDR), should become a top priority for acquirers and merchants. By expediting the dispute resolution process and guaranteeing that issues are resolved before fully proceeding into a chargeback, these methods contribute to keeping dispute ratios within acceptable ranges. Additionally, merchants can provide better documentation by utilising Compelling Evidence 3.0, which lowers the possibility of successful chargebacks due to fraud. By utilising these resources, acquirers and merchants can both stay within VAMP’s metrics and steer clear of pricey fines.
Collaboration with Payment Partners
The cooperation of acquirers, merchants, and payment processors is crucial for achieving the best possible outcomes under VAMP. To guarantee that all parties are informed about transaction and dispute performance, open communication and frequent reporting are helpful. In order to make it simpler to detect areas of risk, merchants should collaborate closely with their acquirers and processors to guarantee complete transparency with regard to fraud and dispute data. Payment partners can help merchants stay in compliance with VAMP’s new criteria by assisting with the deployment of the required fraud protection and dispute management systems. Merchants and acquirers can work together to develop a cohesive plan to satisfy Visa’s revised compliance standards.
Benefits of VAMP for the Payments Ecosystem
Beyond lowering fraud and disputes, Visa’s enhanced Acquirer Monitoring Programme (VAMP) provides a number of other advantages. Through the implementation of proactive risk management and streamlined monitoring, VAMP aims to enhance the payments ecosystem, benefiting acquirers, merchants, and customers in the same way.
A More Secure Payments Environment
VAMP’s ability to establish a more secure payment environment is one of its main advantages. VAMP assists in identifying and stopping fraudulent transactions before they have a chance to get out of hand by combining monitoring programmes and enacting stronger fraud and enumeration thresholds. By lowering the overall amount of fraudulent activity in the payments network, this enhanced monitoring protects consumers and businesses alike. Less fraudulent transactions increase consumer confidence in digital payments, resulting in an eCommerce environment that is safer and more dependable.
Proactive Risk Management
According to VAMP’s risk-based enforcement strategy, acquirers and merchants are encouraged to manage risk proactively by resolving any issues before they worsen and become compliance breaches. Acquirers are able to closely monitor their risk levels and respond promptly when performance indicators reach critical thresholds thanks to VAMP’s real-time insights via the OneERS platform. By taking a proactive stance, acquirers can prevent fines and penalties and merchants can retain compliance while streamlining their operations for maximum efficiency.
Improved Operational Efficiency
For acquirers, VAMP streamlines the monitoring and compliance process by combining five programmes into one framework. This simplified method reduces operational complexity and administrative burdens, freeing up enterprises to concentrate on providing superior services to their customers. Increased operational efficiency can be achieved by merchants as a result of decreased expenses associated with compliance and less friction in the payment procedures. The effectiveness of processing chargebacks and fraud is also further improved by the use of sophisticated fraud detection techniques and Visa’s dispute settlement services, which benefits both acquirers and merchants financially.
Summary
Effective dispute resolution and the fight against fraud will greatly improved by the introduction of the Visa Acquirer Monitoring Programme (VAMP). Acquirers and merchants alike benefit from VAMP’s streamlined, proactive approach to payments ecosystem security, which combines several programmes into one and adds new metrics. By requiring greater standards from all parties involved, it improves security, lowers fraudulent transactions, and increases consumer trust.
It’s critical that acquirers and merchants get ready now as the 2025 adoption approaches. To ensure compliance with the new metrics, Merchants and acquirers need to re-evaluate the risk management measures they have in place, make better use of resources like Visa’s Rapid Dispute Resolution (RDR) and Compelling Evidence 3.0, and, importantly, work closely with their payment processors and financial service providers.
If you’re wondering about your next steps, get in touch with PayShield for specific advice on how to adjust to the impending VAMP programme. We can assist you in navigating these changes so that your company remains safe and compliant in the ever-changing payments environment.
