FSB News

Notice of Change to MasterCard Rules for Cardholder Liability for Unauthorized Transfers

MasterCard has changed its rule on zero cardholder liability for unauthorized transfers, effective October 17, 2014. The new rule eliminates the $50 liability limitation if conditions for zero liability are not met, which could result in higher cardholder liability in those situations. However, a cardholder will not be liable for an unauthorized transaction as long as the cardholder has exercised reasonable care in safeguarding the card from risk of loss or theft and becoming aware of a loss or theft, promptly reports the loss or theft to us. MasterCard is a registered trademark of MasterCard International Incorporated.