Discover Chargeback Reason Code IC: Illegible Sales Data

What is Discover Chargeback Reason Code IC?

The Discover chargeback reason code IC represents chargebacks involving unreadable sales documents. Its shorthand description is “illegible sales data” under the services category. Chargebacks with this code occur between issuers and merchants, although cardholder complaints led to this stage.

Discover will contact you if the cardholder’s claims do not have conclusive evidence. The card issuer does this through ticket retrieval requests, which involve sending a copy of your sales data for the contended transaction. Things may not escalate to a chargeback if everything goes well, sparing you the stress.

The sales data contains vital information like transaction amount, approval code, customer signatures or authorizations, etc. It is often enough to counter cardholder claims and spare you the risk of chargebacks. 

On the other hand, the issuer may be unable to read the information in your sales data. The illegibility could apply to the whole document or specific portions vital to verifying your defense against a chargeback. For example, the issuer may be interested in the approval code and customer authorization, but these sections are unreadable.

Your sales receipt is a vital document that quickly disputes cardholder claims for a chargeback. Hence, each transaction should have a copy ready whenever ticket retrieval requests arise.

Sometimes, the sales data can be readable (legible) on your end. The illegibility may arise during scanning or sending printed copies to the issuer.

Discover may contact you to send a more legible copy before escalating to a chargeback. However, we won’t count on this happening all the time.

We’ve prepared this guide to help you know the underlying causes of chargebacks with reason code IC. You will also learn the best approach to fighting them and winning a reversal. With that in mind, let’s begin with the possible reasons your sales data may be illegible.

Why Did It Happen?

Chargebacks with reason code IC occur when Discover cannot read your sales data after a ticket retrieval request. While it often applies to specific portions crucial to the pending cardholder complaint, the sales data will be considered. Your sales data can be your receipt showing approval codes, cardholder authorizations or signatures, transaction amount, transaction date, etc.

The following are the reasons your sales data (receipt) may be illegible to the issuer:

• The receipt is faded due to age or exposure
• The size or resolution of the digital file is challenging to read
• The receipt was discolored, causing the printed text to be illegible
• Low ink was used when printing the receipt

Chargebacks with reason code IC often arise from cardholder complaints. The evidence from the cardholder isn’t enough, prompting Discover to make a ticket retrieval request. We cannot tell what complaint the cardholder filed against you. However, we can confirm that it has something to do with one or all the information on your sales receipt.

Discover will process a chargeback if it cannot determine the sales amount, transaction date, or information relevant to the case. The endpoint is that your sales data was not legible enough to resolve the cardholder's dispute or complaint.

As seen, the cause of chargebacks with reason code IC often arises from the merchant’s end. We do not imply that the issuer cannot make a mistake. However, the illegible sales data sent from the merchant causes these chargebacks.

You can quickly respond and reverse the chargeback if you are confident in what you sent. Notwithstanding, chargebacks under this reason code can be rapidly resolved even when you initially sent illegible sales data.

Follow our guide in the next section to learn how to respond to these chargebacks. Ensure you have your response ready within 30 days.

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How to Fight Discover Chargeback Reason Code IC: Illegible Sales Data

The sales data is the most crucial document you need to fight chargebacks with reason code IC. It doesn’t matter whether the one you sent earlier to the issuer was legible or illegible. The reply remains the same.

You can submit your response through the Discover Network Dispute System or the alternative medium the issuer sets up. Find out if additional documents are required to explain unclear sections of your sales data. Once you have these sorted, use the following approach to dispute chargebacks with reason code IC:

• Submit clear and legible copies of the required sales data and other transaction documents. Imprints may also be required to show the security features embossed on the card used for the purchase.
• Submit a copy of the original receipt if the initial copy was illegible. Ensure you use high-quality scans to avoid rejection.

Address other points that may be raised in the chargeback message. We encourage merchants to have speedy responses to chargeback messages. Nevertheless, ensure you have all the details and documents required before submitting your responses.

The chargeback will be reversed once the sales data is legible. However, that doesn’t mean that chargebacks under other reason codes may not occur. It depends on the sufficiency of the sales receipt to rebuff the cardholder’s claims.

How to Prevent Discover Chargeback Reason Code IC: Illegible Sales Data

Keeping high-quality prints of your receipts is often enough to prevent chargebacks with reason code IC. Additionally, you should have systems that automatically save digital copies of your sales data. Keep digital backups and include hard copies when necessary.

The following steps will help in preventing chargebacks with reason code IC:

• Ensure you use rich and full inks and toners when printing your receipts
• Inspect all printed receipts to ensure they are legible before filing them. Reprint where necessary.
• Replace your printer if it fails to print high-quality receipts consistently.
• Store your sales receipts and other transactions in a safe place. Do not leave them exposed to elements that may cause discoloration and make them illegible.
• Use the appropriate resolution and size when scanning digital copies of your receipts.
• Respond to cardholder disputes quickly to prevent escalation with the card issuer.
• Always obtain approval code and cardholder authorization for all transactions.

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