Merchant Descriptor

A Merchant Descriptor is a description of a merchant that appears on a cardholder’s statement after a transaction. It typically includes the merchant’s name and a brief description of the goods or services provided, helping cardholders recognize their transactions.

Clear and accurate merchant descriptors can help reduce confusion and the likelihood of chargebacks. Sometimes, the cardholder may not recognize the transaction because the descriptor is unclear or does not match the name of the business they interacted with.

This can lead to unnecessary chargebacks, which can be costly for the merchant. Therefore, it is important for merchants to ensure that their descriptor is accurate and easily recognizable to their customers.

If the business operates under a different trade name, it may be beneficial to include both the legal and trade names in the descriptor.