Customers who dispute Amazon charges don’t just hurt your seller rating. Enough of those chargebacks can raise red flags with Visa and push your business into the Visa Dispute Monitoring Program (VDMP). Once you're in, your processing costs go up and your account becomes harder to maintain.
Here’s how one platform’s disputes can create a bigger risk with card networks—and what you can do about it.
What Is VDMP and Why It Matters
The Visa Dispute Monitoring Program tracks merchants with high chargeback rates. It kicks in when your chargeback-to-sales ratio goes over 0.9% and you hit a certain number of disputes in a single month. Once you’re in, you start paying extra fees and may even lose your payment processor if the problem keeps going.
There are different levels of VDMP:
- Early Warning: 75 disputes in a month with a 0.65% dispute ratio
- Standard: 100 disputes and a 0.9% ratio
- Excessive: 1,000 disputes and 1.8% or higher ratio
The program doesn’t care which platform the disputes came from. If your customers frequently dispute Amazon charges, that still counts toward your Visa ratio.
Why Amazon Disputes Hit Harder
Disputes from Amazon are harder to track and win. Most customers skip Amazon’s resolution system and go straight to their bank. Once that happens, you’re facing a card network chargeback, and it doesn’t matter if the product was delivered, the customer used it, or your policies were clear.
Common reasons buyers dispute Amazon charges:
- They forgot about a subscription or auto-renewal
- They didn’t recognize the charge on their statement
- They didn’t receive the order or claimed it was unauthorized
- They received a digital product but said they never got it
Amazon might deduct the funds and label it “chargeback completed,” but behind the scenes, Visa sees your MID and counts it toward your VDMP status.
What Happens When You’re in VDMP
Visa won’t give you a grace period. Once your MID hits the threshold, you’re enrolled automatically, and your processor will start charging you dispute monitoring fees.
What that usually looks like:
- Monthly penalties per chargeback (starting around $50 each)
- More attention from your payment processor
- Possible holds, reserves, or limits on your payouts
- Risk of being dropped completely by your provider
Even if Amazon is your only platform with chargebacks, Visa still sees your total rate and volume across all cards. That makes your Amazon dispute problem a business-wide issue.
How to Reduce VDMP Risk When Customers Dispute Amazon Charges
You don’t have to stop selling on Amazon, but you do need to reduce your chargeback rate. Start by controlling what you can:
- Track disputes by platform to spot where the problems are coming from
- Improve billing descriptors so customers recognize your charge
- Avoid risky products like digital items, auto-renewals, and high-ticket items without delivery confirmation
- Send real-time email or SMS confirmations that include product and contact info
- Use alerts to catch disputes early and refund or respond before Visa sees them
Tools like Chargeblast let you detect incoming disputes and respond in real time. That way, if someone disputes an Amazon charge, you have a chance to fix it before it affects your VDMP ratio.
Visa Doesn’t Care Where the Disputes Start
When someone disputes an Amazon charge, it feels like an isolated issue, but Visa tracks everything under your merchant account. Even if your website is clean and your other platforms are chargeback-free, a high volume from Amazon is enough to get you flagged.
This is why tracking disputes across all platforms matters. And why tools that help you catch them early make a real difference.
FAQ: Dispute Amazon Charge and VDMP Risk
Do Amazon chargebacks count toward my VDMP dispute rate?
Yes. Even if they happen on Amazon, Visa counts every chargeback that hits your merchant ID.
Can I prevent a chargeback from counting if I refund it?
If you refund before the bank files a chargeback, it won’t count. That’s why dispute alerts are useful—they give you time to act.
Why is it hard to win disputes from Amazon orders?
Buyers often go straight to their bank, bypassing Amazon's system. Once it’s in Visa’s hands, your options are limited.
How long does it take to exit VDMP?
You’ll need to keep your dispute rate below Visa’s thresholds for several months in a row. Your processor will tell you when you’re removed.
Does Visa treat digital product disputes differently?
No. All chargebacks count the same. But digital products tend to have higher dispute rates, so they’re riskier if you’re trying to lower your total.
Can a single platform like Amazon cause my entire MID to get flagged?
Yes. Visa tracks chargebacks by MID, not platform. If most of your Visa sales happen on Amazon and disputes are frequent, it will raise your overall risk.
Chargeblast Helps You Catch the Problem Before It Hits
Don’t Let Platform Disputes Wreck Your Merchant Standing
When customers dispute Amazon charges, you shouldn’t have to lose sleep over Visa enrollment. Chargeblast connects to your dispute alerts and gives you tools to handle them fast. You’ll see where the chargebacks are coming from and stop them from dragging your account down. It’s built for sellers who want to protect their merchant profile before it’s too late.
