Understanding American Express Chargeback Reason Code A08: Authorisation Approval Expired

American Express Reason Code A08 signals that a transaction was settled after the authorisation window expired. It usually stems from processing delays, batching issues, or friendly fraud. Merchants have a tight time limit to respond. Acting fast, keeping clear records, and tightening processes help to reduce repeat disputes.

Key Takeaways

• What it means: The transaction was processed after the authorisation approval expired.
• Causes: Late settlement. Fulfilment delays. System errors. Friendly fraud.
• How to respond: Validate timing. Provide proof of valid authorisation or proof of refund. Or, accept liability.
• How to prevent: Settle promptly. Be aware of expiry windows. Re‑authorise when needed.

What is an American Express Reason Code A08 Chargeback?

Reason Code A08 sits in American Express’s Authorisation category and is described as “Authorisation Approval Expired.” What it means in practice is straightforward. The merchant obtained a valid authorisation, but the transaction was completed after that approval was no longer valid. If a cardholder queries such a charge, the issuer may raise a chargeback using A08.

To understand Reason Code A08, think of authorisation as a temporary hold. It confirms that funds are available and sets money aside until the merchant submits the transaction for settlement. That hold is time‑bound. The time frame varies by merchant category code and use case. Many merchants operate within a window of around seven days, but some sectors may have as little as one day or as long as thirty days. If settlement happens after that window closes, the authorisation is treated as expired.

This code does not automatically imply fraud by a third party. Often, it signals a timing issue or a process gap. However, first-party misuse can occur when a cardholder disputes a legitimate, yet delayed, charge to avoid payment.

Primary Causes for a Code A08 Chargeback

There are several common causes behind A08. The most frequent is a simple delay between obtaining authorisation and submitting the transaction for settlement. This can happen when orders take longer than expected to ship or when services are delivered later than planned. It may also occur when a business batches transactions and sends them after the authorisation window has passed.

Operational issues also play a part. System outages, gateway errors, staff shortages, or holiday backlogs can push submission beyond the valid period. Manual workflows increase the risk. For example, a team that waits to capture funds until dispatch day may find that long lead times push settlement past the expiry date. In hospitality or travel, deposits and staged payments can introduce further timing complexity. Without tight monitoring, re‑authorisation can be missed.

There is also the risk of friendly fraud. Some cardholders will dispute a delayed charge, claiming it was not valid, even though they agreed to the purchase. Because the code hinges on timing, these disputes can succeed if the merchant does not have evidence that settlement occurred within the authorisation window or that a fresh authorisation was obtained.

Time Limit for Disputing an American Express Reason Code A08 Chargeback

Time limit rules matter with A08. American Express allows the acquirer or merchant 20 days to respond once the chargeback is raised. This is not a long window, and in practice, it is shorter for merchants, as part of those 20 days is taken up by acquirer notifications and case handling. Many merchants are left with only a few days to collect documents and submit their case.

Because of this, it is important to prepare in advance. Keep access to authorisation logs, settlement timestamps, and merchant category code details. Your response should focus on one question. Was the transaction submitted while the authorisation was still valid? If yes, provide the proof promptly. If no, assess whether you have already credited the cardholder, or if issuing a refund now is the right option to reduce downstream loss.

Missing the response time limit means you will lose your opportunity to contest the dispute, and the chargeback will be processed. Set internal service levels for dispute handling, define ownership, and track deadlines on a daily basis. Quick, accurate submissions improve win rates and help protect revenue.

What A08 Means for Consumers & Issuers

For consumers, A08 is about transparency and timing. A cardholder may see a charge hit their statement long after purchase. If they believe the authorisation had expired, or they do not recognise a delayed bill, they may contact Amex to dispute the charge. The code offers a path to challenge late submissions, not a free way to cancel genuine purchases. Honest customers benefit from fair billing practices and prompt communication when delays occur.

For issuers, A08 is a signal to check that the transaction’s lifecycle met authorisation rules. They will review the authorisation approval, the applicable validity window for that merchant category, and the settlement date. Issuers aim to apply consistent standards. They must balance consumer protection with fair treatment of merchants who followed the rules. They may also consider any evidence of re‑authorisation if deliveries were delayed.

What A08 Means for Merchants

A08 disputes highlight process risk more than product issues. They point to late settlement, weak order‑to‑cash controls, or gaps in how teams track authorisation expiry. The impact is not limited to a single lost payment. Chargebacks bring fees, staff time, and the possibility of higher dispute ratios. In turn, that can affect processing terms and costs.

Merchants need to treat A08 as an operations problem. Review how your systems handle authorisation capture, batching, and settlement cut‑offs. Assess how long your fulfilment cycles run and where re‑authorisation is required. Map out your merchant category code rules, because the validity period differs by sector. Retail, travel, hospitality, and subscription models all have different patterns.

This is also a customer experience matter. If you delay billing, inform the customer and seek new authorisation when needed to avoid surprises. Timely communication reduces disputes and helps protect revenue. Finally, invest in dispute readiness. Keep clean logs, link order IDs to authorisation codes, and maintain clear policies on re‑authorising delayed orders.

How to Respond to a Code A08 Chargeback

When considering how to respond to or fight a Reason Code A08 chargeback, start with the timeline. Confirm the date and time the authorisation was obtained and the authorised amount. Check the applicable validity window for your merchant category. Compare this with the date and time the transaction was submitted for settlement. If a settlement occurred within the valid window, you have a strong basis to contest the claim.

Your response should include proof of a valid authorisation approval and evidence that the transaction was processed in time. Provide system logs, gateway records, and any acquirer confirmations showing submission before expiry. If you obtained a new authorisation because fulfilment was delayed, include that approval and link it to the final settlement. If you have already issued a credit that offsets the disputed amount, supply documentation of the refund and the posting date.

If the authorisation expired and no re-authorisation was taken, the best option may be to accept the chargeback. Or, you can refund the customer to avoid further costs. Either way, submit your reply within the 20‑day time limit. Keep your narrative concise, factual, and tied to the evidence.

Proactive Prevention: The Ultimate Defence

Prevention is simpler than fighting late‑authorisation disputes. Submit transactions on the day of sale or at the point of dispatch. If fulfilment will take longer, seek a new authorisation rather than risking an expired one. Maintain accurate, accessible logs of approvals, submissions, and refunds. Early warning tools can help by giving you time to contact the customer or issue a credit if a chargeback is filed. Try out Chargeback.io to receive early notifications, allowing you to act promptly on incoming disputes.