What is an original credit transaction?

An OCT is a payment pushed to a cardholder's card rather than pulled from it, the mechanism behind Visa Direct payouts, gambling winnings disbursements, and marketplace seller payments. Reason code 13.8 applies when the receiving side did not accept that credit. It is the rare dispute where the money was flowing to the cardholder.

Why was my payout to a customer's card returned?

Common causes are an ineligible or closed receiving account, an issuer that does not participate in OCT acceptance, incorrect card credentials, or a corridor where the payout type is restricted. The return carries reason data your payout provider can interpret. Pre-validating BIN eligibility before sending eliminates most returns.

Do ordinary ecommerce merchants need to worry about 13.8?

Generally no. If you only accept payments and issue ordinary refunds, this code should never appear, because refunds are not OCTs in this sense. It concerns businesses running card payout programs. If you see a 13.8 without operating payouts, something is misrouted and your acquirer should investigate.

Visa · Consumer Disputes

Reason code 13.8: Original Credit Transaction Not Accepted

An original credit transaction, which is a push payment sent to a cardholder such as a payout or disbursement, was not accepted by the recipient or was prohibited for the receiving account. The recipient's issuer returns the OCT because it could not or would not post it. This code involves money moving toward the cardholder, making it structurally unlike every other consumer dispute.

Issuer filing window

120 days from the transaction processing date

Merchant response window

typically 20-30 days to respond, depending on the acquirer

Why 13.8 chargebacks happen

The receiving issuer does not accept OCTs on the account type, or the receiving country prohibits them.
The recipient's account was closed or invalid when the credit arrived.
The payout was sent to card credentials the recipient entered incorrectly.
Regulatory restrictions on the corridor blocked the disbursement, common with cross-border gaming and marketplace payouts.
The OCT violated the receiving market's transaction rules, such as amount limits for the program type.

How to fight a 13.8 chargeback

Verify the OCT was submitted correctly with valid recipient credentials and within program rules, and provide the submission record.
Confirm eligibility of the destination: card type, issuer participation, and corridor rules for the payout program, and dispute the return if the transaction complied.
Show the funds were successfully re-issued through an alternate channel if you already made the recipient whole, preventing double payment.
Work with your acquirer or payout provider on the return reason, since OCT returns carry specific reason data that determines whether re-submission is viable.
Reclaim the funds internally when the credit could not post, and document the reconciliation.

How to prevent 13.8 chargebacks

Validate recipient card eligibility for OCTs before attempting the payout, using the BIN-level eligibility checks your payout provider offers.
Verify recipient credentials with a confirmation step at collection time to catch typos before money moves.
Restrict payout corridors to markets where your program type is permitted.
Monitor OCT return rates by corridor and issuer, and steer recurring payouts for problem destinations to alternate rails like bank transfer.
Keep payout and reconciliation records tight so returned credits are recovered and re-issued promptly.

Frequently asked questions

What is an original credit transaction?: An OCT is a payment pushed to a cardholder's card rather than pulled from it, the mechanism behind Visa Direct payouts, gambling winnings disbursements, and marketplace seller payments. Reason code 13.8 applies when the receiving side did not accept that credit. It is the rare dispute where the money was flowing to the cardholder.
Why was my payout to a customer's card returned?: Common causes are an ineligible or closed receiving account, an issuer that does not participate in OCT acceptance, incorrect card credentials, or a corridor where the payout type is restricted. The return carries reason data your payout provider can interpret. Pre-validating BIN eligibility before sending eliminates most returns.
Do ordinary ecommerce merchants need to worry about 13.8?: Generally no. If you only accept payments and issue ordinary refunds, this code should never appear, because refunds are not OCTs in this sense. It concerns businesses running card payout programs. If you see a 13.8 without operating payouts, something is misrouted and your acquirer should investigate.

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