Blog » MRS API

August 27, 2024

Enhancing Payment Data: Mastercard Mandate AN4569

• Digital Banking
• Product
• Transaction Enrichment

3 minutes

The financial industry is under constant pressure to adapt to evolving regulations. Mastercard’s AN4569 mandate is a prime example of this dynamic landscape. This regulation, focused on enhancing merchant data transparency, has significant implications for banks. 

This article will delve into the mandate’s core requirements, the importance of compliance, potential challenges, and why allocating a budget for AN 4569 compliance is not just a necessity, but a strategic investment in the future of customer experience and competitive positioning.

Understanding Mastercard Mandate AN 4569

Mastercard’s AN 4569 mandate is a regulatory framework designed to improve the visibility of merchant information for cardholders. By requiring banks to provide more detailed merchant data, Mastercard aims to enhance transaction transparency, reduce disputes, and improve the overall customer experience.

Key Requirements of the Mastercard Mandate

• Enriched Merchant Data: Banks must provide comprehensive merchant information including name, address, contact details, logo, MCC, and additional specified data.
• Data Accuracy and Consistency: Merchant data must be accurate, consistent, and up-to-date.
• Data Display Standards: Merchant information must be clearly displayed on customer statements, online portals, and mobile apps.
• Data Security: Sensitive merchant data must be protected.

Overcoming Challenges with Transaction Enrichment

Implementing AN 4569 can be complex. Data acquisition, system integration, and cost considerations are significant hurdles. When budgeting for Mastercard AN 4569 compliance, financial institutions must choose between developing an in-house solution or utilising a third-party service. While an in-house approach might initially seem cost-effective, it often demands substantial time, resources, and ongoing maintenance.

In contrast, third-party solutions can achieve compliance more quickly, often within weeks. These solutions are designed not only to meet but to exceed regulatory requirements. They offer added benefits such as advanced features, regular updates, and expert support. For example, Snowdrop’s transaction enrichment solution has managed to reduce call centre costs by 30% for a bank processing over 150 million transactions monthly, resulting in approximately £333,760 in monthly savings.

Snowdrop’s transaction data enrichment MRS API streamlines compliance by providing clean merchant names, logos, precise location, eco insights, and multi-level categorization. By leveraging advanced machine learning and AI, we ensure data accuracy and reliability. Furthermore, our approach supports continuous improvement, helping banks meet regulatory requirements. As a result, banks can enhance customer experiences and stand out in the market.

Why is it important to comply with the Mastercard Mandate?

Adhering to Mastercard’s AN 4569 mandate is crucial for several reasons:

• Enhanced Customer Experience: Clear and accurate merchant information empowers customers to make informed decisions.
• Reduced Chargebacks: Detailed merchant data can help prevent disputes and chargebacks.
• Strengthened Security: Protecting merchant data is essential for safeguarding customer information.
• Regulatory Adherence: Non-compliance can result in significant penalties.

Conclusion

​​For banks, the challenge is clear: adapt or to be left behind. Compliance with AN 4569 necessitates a technological overhaul, ensuring systems can capture, process, and deliver an avalanche of merchant data. Ultimately, Mastercard mandate AN 4569 is a step towards a more transparent, secure, and consumer-centric payment ecosystem. As the industry navigates this uncharted territory, those who embrace the challenge are positioning themselves to thrive in the future.