Reason code

American Express reason code 177 is used when a cardholder claims they did not authorize a transaction. This is one of the most common types of disputes and is typically associated with fraud, stolen cards, or transactions the cardholder simply doesn’t recognize.

However, not all unauthorized charge claims stem from true fraud. In many cases, the customer may have forgotten the transaction, didn’t recognize the merchant name, or overlooked a recurring charge. These disputes can often be resolved by providing clear documentation and evidence of cardholder participation.

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If the transaction was authorized and not fraudulent, submit proof of cardholder involvement:

• Provide signed receipts, delivery confirmation, or digital evidence such as IP address or login activity
  
  
• Include AVS/CVV match results or previous transaction history showing a trusted customer relationship

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Use layered security tools and clear billing practices to reduce unauthorized claims:

• Implement AVS, CVV checks, and customer authentication for all transactions

• Ensure your billing descriptor is recognizable and provide digital receipts after purchase