April 2026: Thresholds Drop to 1.5%

Visa's VAMP Program
Changed Everything

The Visa Acquirer Monitoring Program (VAMP) replaced VDMP in April 2025. It combines fraud reports and disputes into a single ratio, and reactive tools like RDR and CDRN are no longer enough. Here's what you need to know, and how 3DS keeps you compliant.

The New Reality

What Is VAMP?

The Visa Acquirer Monitoring Program (VAMP) is Visa's unified monitoring framework that went live on April 1, 2025. It replaced four separate legacy programs (VDMP, VFMP, VFMP 3DS, and DGMFM), consolidating 38 remediation processes into a single program with one core metric.

The biggest change: VAMP uses a single, count-based ratio that combines both fraud reports (TC40) and disputes (TC15) into one number. This means fraud that never became a chargeback now counts against you.

The VAMP Ratio Formula

VAMP Ratio = (TC40 Fraud Reports + TC15 Disputes) / Settled CNP Transactions

Only card-not-present (CNP) transactions are included. Both domestic and cross-border transactions count. Transaction dollar amounts are irrelevant: a $5 dispute counts the same as a $5,000 dispute.

What Changed from VDMP

  • Fraud + Disputes Combined

    VDMP tracked disputes only. VAMP counts TC40 fraud reports AND TC15 disputes together. Fraud disputes are effectively double-counted.

  • Acquirer-Centric

    VAMP puts the onus on acquirers, who must manage their entire portfolio. Many are imposing their own stricter limits on merchants, often well below Visa's official thresholds.

  • No More Early Warning Tier

    Under VDMP, merchants had an early warning buffer. Under VAMP, you're either Compliant or Excessive. There is no middle ground.

  • Card Testing Now Monitored

    VAMP includes an enumeration ratio threshold for the first time, targeting BIN attacks and card testing fraud.

Key Dates

VAMP Timeline

April 1, 2025

VAMP Goes Live

VDMP, VFMP, VFMP 3DS, and DGMFM all retired. VAMP is the sole monitoring program.

June 1, 2025

Updated Thresholds

Minimum transaction count increases to 1,500. Merchant "Excessive" threshold set at 2.2%.

October 1, 2025

Enforcement Begins

Visa begins assessing penalties on "Excessive" merchants and acquirers. Per-transaction fines of $8-$10.

January 1, 2026NOW

Stricter Acquirer Thresholds

Acquirer "Above Standard" tier (0.5% VAMP ratio) enforcement begins. Acquirers tighten merchant limits.

April 1, 2026ACTION REQUIRED

Merchant Threshold Drops to 1.5%

Merchant "Excessive" threshold drops from 2.2% to 1.5% in US, Canada, EU, and Asia Pacific. This is the deadline.

Know Your Numbers

VAMP Thresholds

Merchant Thresholds

Now through March 20262.2%

Minimum 1,500 TC40 + TC15 events to trigger

April 2026 onward1.5%

US, Canada, EU, and Asia Pacific

Acquirer Thresholds

Above Standard0.5%

$4-$5 per TC40/TC15 transaction

Excessive0.7%

$8-$10 per TC40/TC15 transaction

Why this matters to you: Acquirers need to keep their portfolio below 0.5%. Many are setting merchant limits at 1.0% or lower, well below Visa's official 2.2%/1.5% thresholds.

The Real Cost

3DS vs. Reactive Dispute Tools

With RDR and CDRN, you lose the revenue, the product, AND pay fees. With 3DS, you keep everything. Here's how the math works on a $100 fraudulent transaction.

RDR / Verifi

Rapid Dispute Resolution

  • RevenueLost: $100
  • Product/COGSLost: ~$50
  • Service fee$15
  • Processing feesLost: ~$3
  • TC40 (VAMP)Still Counts
~$168

Total merchant loss

Ethoca / CDRN

Chargeback Alerts

  • RevenueLost: $100
  • Product/COGSLost: ~$50
  • Alert fee$35-40
  • Processing feesLost: ~$3
  • TC40 (VAMP)Still Counts
~$193

Total merchant loss

BEST OPTION

3D Secure

Authentication + Liability Shift

  • RevenueKept: $100
  • Product/COGSKept: ~$50
  • Auth feePennies
  • Processing feesRetained
  • TC40 (VAMP)Prevented
Pennies

Total merchant cost

RDR and CDRN prevent the chargeback (TC15) but the TC40 fraud report still counts toward your VAMP ratio. And you lose the revenue, the product, and pay the fee. 3DS prevents the fraud from happening in the first place. No TC40 is generated, no dispute occurs, and the merchant keeps everything.

Your Defense

How 3D Secure Protects You Under VAMP

Prevents Fraud at the Source

3DS authenticates the cardholder before the transaction is authorized. Fraudsters who can't pass authentication are blocked before they generate a TC40. No fraud = no TC40 = no VAMP impact.

Visa data: Authenticated transactions show 45% lower fraud rates: 11 bps vs. 20 bps for unauthenticated ecommerce.

Liability Shift Keeps Your Revenue

When a 3DS-authenticated transaction is disputed for fraud, the issuing bank absorbs the loss, not you. You keep the revenue, you keep the product value, and you pay nothing beyond the authentication fee.

Covers: Visa reason codes 10.1-10.5, Mastercard 4837, 4840, 4849, 4871, and Amex F-series.

Deters Friendly Fraud

3DS creates an authentication record proving the cardholder authorized the transaction. This makes it significantly harder to falsely claim “I didn't do this,” reducing friendly fraud, which accounts for up to 75% of all disputes.

Best Buy Canada: 61% reduction in CNP fraud rate after implementing 3DS.

Not Just Visa

Mastercard Makes 3DS a Hard Requirement

Mastercard operates its own monitoring programs: the Excessive Chargeback Program (ECP) and the Excessive Fraud Merchant (EFM) program. The EFM program has a unique feature that makes 3DS adoption non-negotiable.

The 10% Rule

Mastercard's EFM program explicitly exempts merchants with more than 10% of their volume processed through 3DS (in non-regulated markets like the US). This is not a soft benefit. It is a hard enrollment criterion. If you authenticate enough, you cannot be placed in the EFM program, regardless of your fraud numbers.

Mastercard ECP Thresholds

ECM Tier

100-299 chargebacks/month AND 1.5% ratio

HECM Tier

300+ chargebacks/month AND 3.0% ratio

EFM Program

0.5% fraud ratio AND <10% 3DS volume = enrollment

The Stakes

What Happens If You Exceed VAMP Thresholds

Per-Transaction Fines

$8-$10 per TC40/TC15 event. At scale, this can reach tens of thousands per month.

Higher Processing Rates

Acquirers pass VAMP compliance costs to merchants through increased processing fees.

Reserve Holds

Processors hold back a portion of your revenue as security, crippling cash flow.

Account Termination

Acquirers drop merchants who threaten their portfolio standing. You lose card processing.

MATCH List: The Business Death Sentence

The ultimate consequence: placement on the MATCH list (Member Alert to Control High-Risk Merchants), which blocks you from accepting cards for up to 5 years. For any online business, this is existential.

45%
Less fraud on 3DS transactions (Visa)
$4.61
True cost per $1 of fraud (LexisNexis)
75%
Of disputes are friendly fraud
~2,800x
Cheaper per incident: 3DS vs RDR
PAAY
Don't Wait

April 2026 Is Coming Fast

Merchant VAMP thresholds drop to 1.5% on April 1, 2026. Implement 3DS now to have months of clean data showing your ratios are under control before the deadline.