AN 1034—Currency Exponent Change for Chile and Uganda

Generated on 19 September 2017

This PDF was created from content on the Mastercard Technical Resource Center, which is updated frequently. For the most current documentation, go to Mastercard Connect > Support. Generated on 19 September 2017

Contents

AN 1034—Currency Exponent Change for Chile and Uganda...... 3

Summary of Changes...... 3

At-A-Glance...... 3

Overview...... 4

Customer Impact...... 4 Acquirers...... 4 Issuers...... 6 Acquirers and Issuers...... 8

Current Processing...... 11

Enhancement Description...... 11

Platform Impact...... 12

Authorization...... 13 Alternate Processing...... 13 Transaction Investigator...... 13 SAFE...... 14

Clearing...... 14 IPM MPE...... 14 Reports...... 14 Transaction Investigator...... 14

Single Message System...... 15 Reports...... 15 250-byte Batch Data File...... 15

AN 1034—Currency Exponent Change for Chile and Uganda

Mastercard is changing the currency exponent or minor currency unit for the Chilean peso and Ugandan shilling to align with the International Organization for Standardization (ISO) and to help ensure consistency in customer processing of financial transaction amounts in these countries.

Summary of Changes

This article has been changed. These changes are described in the following Summary of Changes table.

Change Date Description of Change Where to Look

14 Sep 2017 Removed all references to Iceland or Icelandic Krona and Overview added the following Note in the Overview section:

• Contrary to what had been announced in Release 17.Q4, AN 1034—Currency exponent change for Chile, Iceland, and Uganda last published on 13 June 2017, Mastercard will not be changing the currency exponent or minor currency unit for the Icelandic Krona. Despite the International Organization for Standardization (ISO) announcing this change, the Icelandic Central Bank has not adopted the new ISO formats yet. In view of this, the proposed currency exponent change will be put on hold for an undefined period. Mastercard will continue to support the existing currency exponent and minor currency unit for the Icelandic Krona. The proposed changes for the Chilean Peso and Ugandan shilling will be executed as announced.

13 Jun 2017 In At-A-Glance section, removed the Products and Services At-A-Glance section that included Private Label. At-A-Glance

The At-a-Glance table provides key information about the systems and groups affected by this announcement, action indicators that specify the appropriate action, and the date or dates the announcement is effective.

Audience: Acquirer, Issuer, Processor, Wallet Provider Each customer must determine the impact on its operations. Brands: Mastercard®, Debit Mastercard®, Maestro®, Cirrus®, Visa® Release: 17.Q4 Region: All System: Authorization, Clearing, Single Message System

Category: Core Release Action Indicator: Network Mandate—Acquirers and issuers globally must prepare their systems to accommodate the currency exponent change for Chile and Uganda Testing recommended—Mastercard recommends testing for acquirers and issuers.

Effective Date: Dual Message System (Authorization): 14 October 2017 (12:00 St. Louis time) Dual Message System (Clearing): 14 October 2017—Any clearing files received after the sixth clearing cycle cutoff for clearing processing day, 14 October 2017 will use the new exponent and these files will be processed (Clearing processing date) 16 October 2017 Single Message System: 14 October 2017 (12:00 St. Louis time)

Overview

Mastercard is changing currency exponent values to align with ISO standards and other card schemes. This initiative will help ensure consistency among customers processing financial transaction amounts in Chilean peso and Ugandan shilling. This alignment will help to eliminate false declines or at-risk approvals caused by differences in currency exponent values.

Mastercard periodically updates its supported transaction currency codes and corresponding currency exponent to respond to changing market conditions and/or align with ISO.

Note

Contrary to what had been announced in Release 17.Q4, AN 1034—Currency exponent change for Chile, Iceland, and Uganda last published on 13 June 2017, Mastercard will not be changing the currency exponent or minor currency unit for the Icelandic Krona. Despite the International Organization for Standardization (ISO) announcing this change, the Icelandic Central Bank has not adopted the new ISO formats yet. In view of this, the proposed currency exponent change will be put on hold for an undefined period. Mastercard will continue to support the existing currency exponent and minor currency unit for the Icelandic Krona.

The proposed changes for the Chilean Peso and Ugandan shilling will be executed as announced.

Customer Impact

This release item affects the indicated customers and platforms.

Acquirers

This release item affects acquirers as follows.

Dual Message System (Authorization)

For the Chilean peso (152/CLP) and Ugandan shilling (800/UGX):

• Acquirers must prepare their systems to recognize the change of the currency exponent from 2 minor units to 0 minor units for the above currencies • Acquirers must prepare their systems to recognize the new currency exponent in the amount field of the following data elements for any acquirer-generated Authorization Request/0100, Reversal Request/0400, and Authorization Advice/ 0120 messages. DE 4 (Amount, Transaction) DE 28 (Amount, Transaction Fee) DE 54 (Additional Amounts) DE 95 (Replacement Amounts)

Mastercard will calculate DE 6 (Amount, Cardholder Billing) using a currency exponent of 0 minor units.

Mastercard will also calculate DE 5 (Amount Reconciliation) using a currency exponent of 0 minor units and send to acquirers.

Mastercard will calculate the following in currency exponent of 0 minor units and send it to the acquirer in the response messages if required.

DE 54 (Additional Amounts) DE 95, subfield 2 (Actual Amount, Settlement) and subfield 3 (Actual Amount, Cardholder Billing) • Acquirers must support DE 55 (Integrated Circuit Card [ICC] System-Related Data), subelement 9F02 (Amount Authorized), new exponent 0 for chip transactions. • Acquirers should be prepared to accept the changes distributed in the T057 Currency Conversion Rate File.

Dual Message System (Clearing)

For the Chilean peso (152/CLP) and Ugandan shilling (800/UGX):

• Acquirers must submit First and Second Presentment/1240 messages with a currency exponent of 0 minor units. • Acquirers must recognize a currency exponent of 0 minor units in First and Arbitration Chargeback/1442 and Fee Collection/1740 messages. • Acquirers must support DE 55, subelement 9F02 (Amount Authorized), new exponent 0 for chip transactions. • Life cycle transactions for which the original transaction amounts have been processed with 2 minor units must be modified to 0 minor units in DE 4 (Amount, Transaction), DE 30 (Amounts, Original), DE 54 (Additional Amount), PDS 0146 (Amount, Transaction Fee), PDS 0148 (Currency Exponent), PDS 0268 (Amount, Partial Transaction), and any PDS for amounts related to Addendum Record/1644 data. Mastercard will calculate DE 5 (Amount, Reconciliation) and DE 6 (Amount, Cardholder Billing) using the currency exponent of 0 minor units and will send this to the acquirer. Mastercard also provides DE 54 (Additional Amounts) using the currency exponent of 0 minor units and sends it to the acquirer in the response messages.

• Acquirers should be prepared to accept the changes distributed in the T057 Currency Conversion Rate File.

Single Message System

For the Chilean peso (152/CLP) and Ugandan shilling (800/UGX):

• Acquirers must prepare their systems to recognize the change of the currency exponent from 2 minor units to 0 minor units for the above currencies • Exception items submitted to the Single Message System on or after the effective date must contain 0 minor units to ensure that the accurate transaction amount is processed. • Acquirers must prepare their systems to recognize the new currency exponent in the amount fields of the following data elements for any acquirer-generated Financial Transaction Request/0200, Financial Transaction Advice/0220, and Acquirer Reversal Advice/0420 messages. DE 4 (Amount, Transaction) DE 28 (Amount, Transaction Fee) DE 54 (Additional Amounts) DE 95 (Replacement Amounts)

Mastercard will calculate DE 6 (Amount, Cardholder Billing) using the currency exponent of 0 minor units.

Mastercard will calculate the following in currency exponent of 0 minor units and send it to the acquirer in the response messages

DE 5 (Amount Settlement) DE 54 (Additional Amounts) DE 95, subfield 2 (Actual Amount, Settlement) and subfield 3 (Actual Amount, Cardholder Billing) • Acquirers must support DE 55, subelement 9F02 (Amount Authorized), new exponent 0 for chip transactions. • Acquirers should be prepared to accept the changes in the T057 Currency Conversion Rate File.

Issuers

This release item affects issuers as follows.

Dual Message System (Authorization)

For the Chilean peso (152/CLP) and Ugandan shilling (800/UGX):

• Issuers globally that receive transactions or bill in Chilean peso and Uganda shilling must prepare their systems to accommodate the Chile and Uganda currency exponent change from 2 minor units to 0 minor units for current and life cycle transactions. • Issuers must prepare their systems to receive the new currency exponent in the amount fields of the following data elements for authorization request, reversal, and advice messages: DE 4 (Amount, Transaction)

DE 28 (Amount, Transaction Fee) DE 54 (Additional Amounts) DE 95 (Replacement Amounts)

Mastercard will calculate DE 6 (Amount, Cardholder Billing) using the currency exponent of 0 minor units.

Mastercard also calculates the following in the currency exponent of 0 minor units and sends it to the issuer.

DE 5 (Amount, Settlement) DE 54 (Additional Amounts) DE 95, subfield 2 (Actual Amount, Settlement) and subfield 3 (Actual Amount, Cardholder Billing) • Issuers must ensure to work with their 3D-Secure ACS (Access Control Server) service providers to ensure they support a 0 currency exponent for the Chilean peso and Ugandan shilling. • Issuers must support DE 55 (Integrated Circuit Card [ICC] System-Related Data), subelement 9F02 (Amount Authorized), new exponent 0 for chip transactions. • Issuers should review their Stand-In parameter amounts, if in local currency. • Issuers should be prepared to accept the changes distributed in the T057 Currency Conversion Rate File.

Dual Message System (Clearing)

For the Chilean peso (152/CLP) and Ugandan shilling (800/UGX):

• Issuers must submit First and Arbitration Chargeback/1442 messages with a currency exponent of 0 minor units. • Issuers must submit Fee Collection/1740 messages with a currency exponent of 0 minor units. • Issuers must recognize a currency exponent of 0 minor units for Chilean peso and Ugandan shilling on the First and Second Presentment/1240 messages. • Life cycle transactions that apply to the specified currencies where the original transaction amounts have been processed with 2 minor units must be modified to 0 minor units in DE 4 (Amount, Transaction), DE 30 (Amounts, Original), DE 54 (Additional Amount), PDS 0146 (Amount, Transaction Fee), PDS 0148 (Currency Exponent), PDS 0268 (Amount, Partial Transaction), and any PDS for amount related to Addendum Record/1644 data. Mastercard will calculate DE 5 (Amount, Reconciliation) and DE 6 (Amount, Cardholder Billing) using the currency exponent of 0 minor units. Mastercard also provides DE 54 (Additional Amounts) in the currency exponent of 0 minor units and sends it to the issuer. • Issuers must support DE 55 (Integrated Circuit Card [ICC] System-Related Data), subelement 9F02 (Amount Authorized), new exponent 0 for chip transactions. • Issuers should be prepared to accept the changes distributed in the T057 Currency Rate File.

Single Message System

For the Chilean peso (152/CLP), and Ugandan shilling (800/UGX):

• Issuers globally must prepare their systems to accommodate the Chilean peso and Ugandan shilling currency exponent value change from 2 units to 0 minor units for current and life cycle transactions.

• Issuers must prepare their systems to receive the new currency exponent in the amount fields of the following data elements for authorization request, reversal, and advice messages: DE 4 (Amount, Transaction) DE 28 (Amount, Transaction Fee) DE 54 (Additional Amounts) DE 95 (Replacement Amounts)

Mastercard will calculate DE 6 (Amount, Cardholder Billing) using the currency exponent of 0 minor units.

Mastercard also calculates the following in the currency exponent of 0 minor units and sends it to the issuer.

DE 5 (Amount, Settlement) DE 54 (Additional Amounts) DE 95, subfield 2 (Actual Amount, Settlement) and subfield 3 (Actual Amount, Cardholder Billing) • Exception items submitted for the three specified currencies on or after the effective date must contain 0 minor units to ensure an accurate transaction amount is processed. • Issuers must support DE 55 (Integrated Circuit Card [ICC] System-Related Data), subelement 9F02 (Amount Authorized), new exponent 0 for chip transactions. • Issuers should be prepared to receive a 250-byte Batch Data File that can contain transactions with both exponent 2 and 0 on day 1 of the conversion. • Issuers should examine their Stand-In parameter amounts, if in local currency.

Acquirers and Issuers

This release item affects acquirers and issuers as follows.

Dual Message System (Authorization and Clearing) and Single Message System

Mastercard advises customers to round transaction amounts when adjusting for zero minor units, as demonstrated in the following examples.

Original Amount (assuming currency Applied Decimal Rounded Transaction Amount exponent of 2) 12350 123.50 124 6749 67.49 67 100 1.00 1

The following examples reflect Dual Message System (Authorization and Clearing) and Single Message System messages and how amounts should be submitted before and after the currency exponent implementation. Message type scenarios are provided in the following table.

Scenario Message Type Transaction Date Clearing Amount Currency Comments Indicator Processing Date Exponent 1 Authorization 10/13/2017 50000 2 Standard Request/0100 Processing First 10/13/2017 50000 2 Standard Presentment/1240 Processing 2 Authorization 10/14/2017 19900 2 Standard Request/0100 (Before 12:00 St. Processing Louis time) First 10/16/2017 19900 2 First Presentment/1240 Presentment/ 1240 message rejects in GCMS * * Acquirers must recognize and build the clearing messages based on the currency exponent defined in the Currency Codes Table IP0017T1 and modify the transactional amount fields DE 4 (Amount, Transaction), DE 30 (Amount, Transaction Processing), and DE 54 (Additional Amount), DE 28 (Amount, Transaction Fee), PDS 0149 (Currency Codes, Amounts, Original), PDS 0268 (Amount, Partial Transaction), and any PDS amount related to Addendum Record/1644 data. A First Presentment/1240 message submitted with a currency exponent of 2, will be rejected in GCMS (PDS 0148 subfield 2, existing Error 0396). Acquirers must account for the amount precision difference from the authorization message to the First Presentment message due to the change in the currency exponent and the minor units. 3 Authorization 10/14/2017 (After 133 0 Standard Request/0100 12:00 St. Louis Processing time) First 10/16/2017 133 0 Standard Presentment/1240 Processing * * Standard processing aligns with effective date of this enhancement 4 Authorization 10/13/2017 19900 2 Standard Request/0100 Processing First 10/13/2017 199 0 First Presentment/1240 Presentment/ 1240 message rejects in GCMS * * Acquirers must recognize and build the clearing messages based on the currency exponent defined in the Currency Codes Table IP0017T1. A First Presentment/1240 message submitted with a currency exponent of 0 will be rejected in GCMS (PDS 0148 subfield 2, existing Error 0396). 5 Authorization 10/8/2017 22250 2 Standard Request/0100 Processing First 10/16/2017 223 0 Standard Presentment/1240 Processing *

Issuers must account for the amount precision difference from the authorization message to the clearing message due to the change in the currency minor units. * Standard processing aligns with effective date of this enhancement. Note: The transaction amount is rounded up.

Scenario Message Type Transaction Date Clearing Amount Currency Comments Indicator Processing Date Exponent 6 First 10/13/2017 17700 2 Standard Presentment/1240 Processing First Chargeback/ 10/13/2017 177 0 First 1442 Chargeback/ 1442 message rejects in GCMS * * Acquirers and issuers must recognize and build the clearing messages based on the currency exponent defined in the Currency Codes Table IP0017T1. A First Chargeback/ 1442 message submitted with a currency exponent of zero, prior to the effective date of this enhancement, will be rejected in GCMS (PDS 0148 subfield 2, existing Error 0396). 7 First 10/13/2017 17700 2 Standard Presentment/1240 Processing First Chargeback/ 10/16/2017 17700 2 First 1442 Chargeback/ 1442 message rejects in GCMS * * Acquirers and issuers must recognize and build the clearing messages based on the currency exponent defined in the Currency Codes Table IP0017T1 and modify the transactional amount fields DE 4 (Amount, Transaction), DE 30 (Amount, Transaction Processing), and DE 54 (Additional Amount), DE 146 (Amount, Transaction Fee), >>PDS 0149 (Currency Codes, Amounts, Original), PDS 0268 (Amount, Partial Transaction), and any PDS amount related to Addendum Record/1644 data. A First Chargeback/1442 message submitted with a currency exponent of two, will be rejected in GCMS (PDS 0148 subfield 2, existing Error 0396). Issuers must account for the amount precision difference from the First Presentment message to the Chargeback message due to the change in the currency minor units. 8 First 10/13/2017 22249 2 Standard Presentment/1240 Processing First Chargeback/ 10/19/2017 222 0 Standard 1442 Processing * * Standard processing aligns with the effective date of this enhancement. Note: the transactional amount is rounded down. 9 Authorization 10/13/2017 4599 2 Standard Request/0100 Processing Reversal Request/ 10/16/2017 46 0 Standard 0400 Processing *

This scenario represents the cancellation of an e-commerce or mail order/telephone order (MOTO) purchase using a reversal request message. * Standard processing aligns with effective date of this enhancement. Note: the transactional amount is rounded up.

10 Financial 10/13/2017 12345 2 Standard Transaction Processing Request/0200

Scenario Message Type Transaction Date Clearing Amount Currency Comments Indicator Processing Date Exponent 11 Financial 10/14/2017 (After 123 0 Standard Transaction 12:00 St. Louis Processing Request/0200 time) 12 Financial 10/13/2017 12345 2 Standard Transaction Processing Request/0200 Issuer Reversal 10/16/2017 123 0 Standard Advice/0422 Processing * * Standard processing aligns with the effective date of this enhancement. Note: The transactional amount is rounded down. Current Processing

The following table shows the currency exponent for the Chilean peso and Ugandan shilling.

Country Currency Numeric Alpha Mastercard ISO Currency Code Currency Code Currency Currency Exponent Exponent

Chile Peso 152 CLP 2 0 Uganda Shilling 800 UGX 2 0 Enhancement Description

Mastercard will change currency exponent values to align with ISO standards and other card schemes for customers processing financial transaction amounts in Chilean peso and Ugandan shilling. This alignment will help to eliminate false declines or at-risk approvals caused by differences in currency exponent values.

Mastercard will enhance the following systems to support this release item.

Dual Message System (Authorization) and Single Message System

The Dual Message System (Authorization) and Single Message System will support the ISO standard for currency exponent value for Chilean peso, and Ugandan shilling of 0 minor units.

Country Currency Numeric Alpha Mastercard ISO Currency Code Currency Code Currency Currency Exponent Exponent

Chile Peso 152 CLP 0 0 Uganda Shilling 800 UGX 0 0

Effective with the support dates and time provided in the following table, the Dual Message System (Authorization) and Single Message System will begin supporting the new currency exponent for Chile and Uganda.

Country/Region Distribution Region Receipt Date and Local Time Date and Local Time

Chile 14 October 2017(12:00 St. Louis 14 October 2017 time) (14:00 Continental Chile Time, 12:00 Easter Island, Chile Time)

Uganda 14 October 2017(12:00 St. Louis 14 October 2017 time) 20:00 Local Uganda time

Dual Message System (Clearing)

The Clearing Platform will support the ISO standard for currency exponent value for the Chilean peso (alphanumeric currency code of CLP/152) and Ugandan shilling (alphanumeric currency code of UGX/800) of 0 minor units. The updated currency exponent will be defined in IPM MPE Table IP0017T1 (Currency Codes). Any clearing files received after the sixth clearing cycle cutoff for clearing processing date of 14 October 2017 must use the new exponent and these files will be processed 16 October 2017 (Clearing processing date).

If a clearing message is submitted with the incorrect data in PDS 0148 (Currency Exponents), subfield 2 (Currency Exponent), GCMS will reject the transaction with existing error number 0396 (PDS0148S2 CURRENCY EXPONENT MUST BE VALID FOR THE CORRESPONDING CURRENCY CODE IN SUBFIELD 1. OCCURRENCE .

The minor units of 2 will no longer be valid for original transactions on or after clearing processing date of 14 October 2017. Following implementation, all life cycle transactions will no longer use minor units of 2.

The T057 Currency Conversion Rate File will be distributed to customers on 14 October 2017 at approximately 10:00 (St. Louis time) and will include this change. For Chile region receipt date and local time is 14 October 2017 at 12:00 Continental Chile Time/14 October 2017 at 10:00 Easter Island, Chile Time. For Uganda region receipt date and local time is 14 October 2017 at 18:00 local Uganda time. It may be necessary to add and/or delete currencies or currency pairs from the T057 Currency Conversion Rate File at any time. Customers should be prepared to accept these changes as they occur.

Platform Impact

The following table lists the impact of this release item. For items that are marked √ (“Yes”), details are provided below.

Dual Message System Topic Authorization Clearing Single Message System Message Flows Message Layouts

Dual Message System Topic Authorization Clearing Single Message System Data Element Definitions IPM MPE √ Interchange Programs CAB Programs, Descriptions, and Associated MCCs Edits Error Numbers Alternate Processing √ Interchange Compliance Billing and Fees Reports √ √ Bulk Files Forms Quarterly Mastercard Reporting Transaction Investigator √ √ SAFE √ NICS™ 250-byte Batch Data File √ 80-byte Financial Institution Table File Authorization

Mastercard will update the Authorization Platform as follows.

Alternate Processing

Stand-In authorization limits for BINs from Chilean peso (currency code 152) and Ugandan shilling (currency code 800) will be updated to reflect the change in the currency exponent from 2 to 0.

Transaction Investigator

Mastercard will update the Authorization Transaction Research tool to support this announcement.

Historic transaction amounts will not be updated to reflect the new minor unit designation of 0 for the Chilean Peso or Ugandan Shilling and will continue to reflect an exponent of 2 as originally processed on the Mastercard network.

SAFE

SAFE will be updated to support this announcement.

The data elements for the amounts and related fields within SAFE that will have impact associated with the currency exponent changes are as follows:

• DE 11 (Transaction Amount in Currency of Transaction) • DE 12 (Transaction Currency Code) • DE 13 (Transaction Currency Exponent) • DE 14 (Transaction Amount in Cardholder Billing Currency) • DE 15 (Cardholder Billing Currency Code) • DE 16 (Cardholder Billing Currency Exponent) • DE 41 (Cash Back Amount) • DE 42 (Cash Back Amount Currency Code) • DE 43 (Cash Back Currency Exponent)

Clearing

Mastercard is updating the Clearing Platform as follows.

IPM MPE

Mastercard will update IPM MPE table IP0017T1 (Currency Codes) to reflect the change in the Currency Exponent for Chilean peso (Currency Code 152/CLP) and Ugandan shilling (Currency Code 800/UGX).

Reports

There are no changes to reports or fields. Historic transaction amounts will not be updated to reflect the new minor unit designation of 0 for the Chilean peso or Ugandan shilling and will continue to reflect an exponent of 2 as originally processed on the Mastercard network.

Transaction Investigator

Mastercard will update the Clearing Transaction Investigator tool to support this release item.

Historic transaction amounts will not be updated to reflect the new minor unit designation of 0 for the Chilean peso or Ugandan shilling and will continue to reflect an exponent of 2 as originally processed on the Mastercard network.

Single Message System

Mastercard will update the Single Message System as follows.

Reports

On the implementation date, the Daily Control Report (SWCHD363) will show summary activity—one with a currency minor unit of 2 before implementation, and another total with a minor unit of 0. This is applicable only to customers that settle in Chilean peso and Ugandan shilling currencies.

250-byte Batch Data File

Two batches of data in a single 250-byte batch data file may be produced for customers that have transaction activities before and after the minor unit change on the implementation date. This is applicable only to customers that settle in the Chilean peso and Ugandan shilling currencies.

On the implementation date only, the 250 Byte Batch Data File optional BDF Merge Process, which allows customers to choose to have Same Day Adjustments merged to the original authorization,the 250–byte Batch Data File merge process will not occur for Chilean peso (Currency Code 152/CLP) and Ugandan shilling (Currency Code 800/UGX) same day reversals when the financial transaction has a currency exponent of 2 minor units, and the same day reversal has a currency exponent of 0 minor units. A Financial Record (FREC) will be issued for the financial transaction, and an Exception Record (EREC) will be issued for the same-day reversal.