Processing Errors
M11 Reversal Due to Credit
Details
American Express reason code M11 is used when a chargeback is issued because the merchant processed a credit for a transaction, but the original charge was not reversed correctly. In essence, Amex is stepping in to ensure the cardholder receives the refund they were promised.
This situation often arises when a merchant issues a credit but fails to link it properly to the original charge, or if there’s a delay or system issue that prevents the refund from reaching the cardholder’s account. Even if the merchant intended to resolve the issue, a processing error can still trigger this chargeback.
Timing to raise the dispute (Issuer/Cardholder)
Timing to respond to the dispute (Acquirer/Merchant)
How to respond?
If the credit was issued correctly, provide proof that it was processed and received:
-
Submit documentation showing the date, amount, and reference number of the refund
-
Include transaction records linking the credit to the original charge
How to prevent?
Ensure all credits are properly processed and visible to the cardholder:
-
Reconcile refunds regularly and verify they appear on the customer’s statement
-
Use consistent transaction IDs and reference notes to link credits to original purchases