What does the Combined Terminated Merchant File (CTMF) contain?

The Combined Terminated Merchant File (CTMF) specifically contains a database of merchants that have been terminated for cause. This file is crucial for payment processors and others in the payments industry as it serves as a safeguard against fraud and risk. By compiling information on merchants who have been terminated due to specific reasons, such as non-compliance with regulations, risk of chargebacks, or fraudulent activities, the CTMF allows payment processors to identify potential risks associated with onboarding new merchants. This proactive measure helps protect the integrity of the payment system and ensures that merchants operating within it comply with established standards and regulations. Therefore, the focus of the CTMF is on terminated merchants, providing a resource for assessing risk and maintaining industry standards.