Terminated Merchant Accounts, also known as:
Terminated Merchant Facility
If the acquiring bank ends the processing contract with the merchant
on negative terms (not simply because of a change of policy), it is most
likely that the account will be terminated. A TMF merchant account also
known as a terminated merchant file is the worst thing that can happen
to your business. If your merchant account comes under a “TMF”
it means that your account has been blacklisted and will remain so for
a minimum of 5 years. Once an account is blacklisted, it is almost impossible
to come back from it and you will be unable to get an account from any
However, as you are reading this page we can guess you already
We believe TMF's are not always that straight forward...
Most merchants deserve to be put on the TMF list, but not all. The rules
to whether or not you can and will be blacklisted are in a very grey area.
In fact we have found that some merchant's have been TMF'd simply because
the person they spoke to at the bank disliked them.
... In fact MasterCards own rules and procedures state the following:
" MasterCard does not verify, otherwise confirm, or ask for confirmation
of either the basis for or accuracy of any information that is reported
to or listed in MATCH. It is possible that information has been wrongfully
reported or inaccurately reported. It is also possible that facts and
circumstances may be subject to interpretation and dispute."
How can Web-Merchant Services help?
We have a large network of banks throughout Europe (UK banks will not
help any TMF merchants) which gives us a good rate of success with helping
TMF businesses. However, depending on the reason for the TMF depends
on whether or not we can help. Plus even if you are listed in 'green'
we can not always help as each case is different.
Below are MATCH codes which indicate why an acquirer reported a terminated
merchant to MATCH.
Any codes highlighted in 'red' means we are unable to help under any
circumstances. This would also be the same for any other payment provider
or acquirer. However if you have a code highlighted in 'blue' then there
is a good chance we may be able to help.
Green = May be able to
Red = Can not help
The Merchant unknowingly or unintentionally facilitated, by any
means, the unauthorized disclosure or use of account information.
|Common Point of Purchase
The Merchant knowingly caused or facilitated, by any means, the
unauthorized disclosure or use of account information.
The Merchant was engaged in laundering activity. Laundering means
that a Merchant presented to its Acquirer Transaction records
that were not valid Transactions for sales of goods or services
between that Merchant and a bona fide Cardholder.
With respect to a Merchant reported by a MasterCard Acquirer,
the Merchant's chargebacks in any single month exceeded 1% of
its MasterCard sales Transactions in that month, and those chargebacks
totaled USD 5,000 or more. With respect to a merchant reported
by an American Express acquirer (ICA numbers 102 through 125),
the merchant exceeded the chargeback thresholds of American Express,
as determined by American Express.
The Merchant effected fraudulent Transactions of any type (counterfeit
or otherwise) meeting or exceeding the following minimum reporting
Standard: the Merchant's fraud-to-sales dollar volume ratio was
8% or greater in a calendar month, and the Merchant effected 10
or more fraudulent Transactions totaling USD 5,000 or more in
that calendar month.
There was a criminal fraud conviction of a principal owner or
partner of the Merchant.
|Bankruptcy / Liquidation/
The Merchant is unable to discharge its financial obligations.
|Violation of Standards
With respect to a Merchant reported by a MasterCard Acquirer,
the Merchant was in violation of one or more Standards that describe
procedures to be employed by the Merchant in Transactions in which
Cards are used, including, by way of example and not limitation,
the Standards for honoring all Cards, displaying the Marks, charges
to Cardholders, minimum/maximum Transaction amount restrictions,
and prohibited Transactions set forth in Chapter 5 of the MasterCard
Rules manual. With respect to a merchant reported by an American
Express acquirer (ICA numbers 102 through 125), the merchant was
in violation of one or more American Express bylaws, rules, operating
regulations, and policies that set forth procedures to be employed
by the merchant in transactions in which American Express cards
The Merchant participated in fraudulent collusive activity.
|PCI Data Security Standard
The Merchant failed to comply with Payment Card Industry (PCI)
Data Security Standard requirements.
The Merchant was engaged in illegal Transactions.
The Acquirer has determined that the identity of the listed Merchant
or its principal owner(s) was unlawfully assumed for the purpose
of unlawfully entering into a Merchant Agreement.
Please note, that on top of the above codes,
we can only help if:
You are incorporated in Europe
Are not a prohibited
We receive a complete and full explanation
of what happened
Explanation of how you intend to prevent it
from happening again
Willing to use 3D Secure for all online transactions
Can show good previous processing / trading
You do not owe any money to the previous bank,
processor or acquirer
Without these points being met we will not be able to help.
If you think we may be able to help then please email us initially with
a detailed explanation of what happened to cause the TMF and also informing
us of the following:
Complete and full explanation of what happened
Explanation of how you intend to prevent
it from happening again
Previous processing / trading history and
Confirmation that you do not owe any money
to the previous bank, processor or acquirer
TMF code provided to you (you may need to
ask the bank or acquirer for this)
Is it online or face to face payments that
Once we receive this information we will then
determine if we can help or not. If we feel you might be in with a chance
we will then request further information and documents. However please
do not send these in the first instance - firstname.lastname@example.org
You may also
Checks made as part of the application
As part of the complete application process, only done once we have
received all the relevant documentation back from you, we perform four
(4) main security and credit checks - read