When To Dispute A Credit Card Charge Vs. Filing A Fraud Complaint

As soon as you spot a transaction that doesn’t seem to belong on your credit or debit card, your pulse starts to quicken, right? Your bank account balance is supposed to be predictable, your credit tab fluctuating only because you decided to swipe your card.

But when your account activity doesn’t match up with what you expected, you should quickly determine what kind of problem you have on your hands. Knowing which type of problem you need to report can expedite the process of getting your account straightened out.

When to dispute a charge

We have more payment options than ever before, but none of them are error-proof. You should file a dispute in the event of a billing mistake that you can’t manage to resolve with the retailer directly.

Here are some common examples of activity you can dispute if necessary:

• You were overcharged

• You were charged multiple times for the same purchase

• The product or service you received wasn’t what was advertised, or your order never arrived

• You returned an item, but haven’t received the refund you were promised

You might be able to do this while logged in to your account. If not, you may need to notify your financial institution in writing. Your bank or credit card issuer should confirm it received your dispute within 30 days, and provide a resolution within two billing cycles.

Filing a dispute requires some patience, so if you can tell that a billing error is just a fluke or you’ve already battled a company’s returns department, be prepared to wait for your bank or card issuer to investigate the problem.

When to file a fraud complaint

If you notice charges you didn’t make, then it’s time to fast-track the process and head to the fraud department. Because thieves can act quickly, you want to shut down any potential for your accounts to be further compromised. If you notice unexplained charges before your card issuer or bank’s fraud department detects them, pick up the phone as soon as you can and give them a call to flag the purchase.

The faster you can stop the fraudsters, the faster you can deal with locking down your financial accounts and your overall identity by checking your credit reports, freezing your credit and alerting your other financial institutions to potential fraud.