MasterCard Rules (PDF)

Asia/Pacific Region Rules
3.10 Limitation of Liability of Cardholders for Unauthorized Use
that the Issuer charges to the Cardholder relating to the MasterCard Issuer
Cross-border Assessment and/or the MasterCard Currency Conversion
Assessment during that billing cycle, either in gross or on a per Transaction
basis.
4. Currency Conversion Procedure. The Corporation further recommends
and encourages Issuers to inform their Cardholders that part of the
Corporation’s currency conversion procedure includes use of either
a government-mandated exchange rate or a wholesale exchange rate,
selected by the Corporation, and that the government-mandated exchange
rate or wholesale exchange rate that the Corporation uses for a particular
Transaction is the rate the Corporation selects for the applicable currency
on date that the Transaction is processed (the Central Site Business Date),
which may differ from the rate selected on the date the Transaction occurred
or on the date the Transaction is posted to the Cardholder’s account.
For information about the MasterCard Currency Conversion Assessment,
refer to the GCMS Reference Manual. For information about the MasterCard
Cross-border Assessment, refer to the MasterCard Consolidated Billing
System—Asia/Pacific Region manual.
3.10 Limitation of Liability of Cardholders for Unauthorized
Use
The following applies with respect to Asia/Pacific Region Cardholders.
1. Limitation on Amount. Subject to laws of the country within which a Card
is issued, the liability of a Cardholder for unauthorized use of a Card
(regardless of the type of account to which Transactions initiated with such
Card are posted):
a. shall not exceed USD 0 if the conditions set forth in paragraph 2 below
have been met; or
b. shall be in accordance with the corresponding Cardholder agreement if
the conditions set forth in paragraph 2 below have not been met.
2. Conditions to USD 0 Liability. The liability limitations set forth in clause (a)
of paragraph 1, above, shall apply only if:
a. the Cardholder has exercised vigilant care in safeguarding such card
from risk of loss, theft, or unauthorized use;
b. the Cardholder immediately and without delay notifies the Issuer upon
discovery of the loss, theft, or unauthorized use;
c. the Cardholder has not reported two or more incidents of unauthorized
use to the Issuer in the immediately preceding 12-month period;
d. the account to which Transactions initiated with such card are posted
is in good standing; and
©1969–2012 MasterCard. Proprietary. All rights reserved.
10-2 12 December 2012 • MasterCard Rules