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In the world of payment transactions, a significant shift has occurred with the introduction of a liability shift for enrolled cards The phrase successful liability shift for enrolled card is required has become a buzzword among merchants and financial institutions alike But what exactly does it mean? This move has significantly reduced the platform's legal exposure and enhanced its compliance with industry regulations
The liability shift concept involves. A successful liability shift means the card issuer, rather than the business, absorbs the financial loss from fraud While this reduces the merchant's direct financial exposure, fraud can still incur indirect costs such as lost inventory, expenses related to dispute escalations, and potential flagging by card networks for high fraud rates. How to repair it's necessary for the enrolled card's responsibility shift to be successful
