Introduction
The use of credit cards has become an ordinary part of our daily lives. Whether it’s shopping for groceries, making purchases online, paying for a bill or booking a hotel, they have proved to be a great convenience in processing transactions and making payments. However, they have been cases of criminal activity on credit card holders, whereby individuals have attempted and succeeded at accessing credit card numbers and performed unauthorized transactions. Here are some of the steps you should take, if you were notice any fraudulent charges on credit card.
Step 1
Hold Off Your Payment
According to the Fair Credit Billing Act (FCBA), consumers are allowed to dispute fraudulent charges on their credit card statement. In the event you notice any suspicious transactions on credit card, you should notify your card issuer immediately. By law, credit issuers are required to investigate any disputes you may have about your credit transactions and resolve the issue. Once you have reported the fraudulent charges, you will not be required to settle the unpaid bill while the charge is in dispute. The card issuer is also not allowed to report the unsettled amount as a delinquent transaction to credit bureaus.
Step 2
Notify Your Card Issuer
You are required to notify your card issuer about any fraudulent charges on credit card, within 60 days of receiving the statement or you will lose your right to do so. You should report your dispute through a letter, because making your claim through the telephone will not protect your rights, under the FCBA rules. You should include your account number and specific item you are contesting in the letter.
Step 3
Make Sure the Letter is Delivered
When you mail the letter, make sure to send it via certified mail with a returned receipt requested, which should act as proof that you actually sent the letter. You should also include any supporting documentation, where applicable. Check with your card issuer the proper address to send your complaint letter.
Step 4
Wait for a Response
Credit card issuers are required to respond to a dispute on credit card charges with 30 days, to confirm that they have received your complaint. If your charges are found to be erroneous, the card issuer is required to reverse the charges and any related and miscellaneous fee, within two billing cycles but not exceeding 90 days from the date they received your complaint.
Step 5
Review Your New Billing Statement
Once the case has been resolved, make sure to read through your new billing statement. It should be clear of any past fraudulent charges and your remaining balance on credit card should be accurate. It may also be prudent to request for a new card number, since your current one has been compromised.
Tips
How to Protect Your Card from Unauthorized Access
Credit card fraud can happen in the event you lose your cards, unauthorized access on credit card numbers or your mail is diverted.
Sources and Citations
There are certain measures you could take to protect your card from theft or unauthorized access. These include:
- Keeping a close eye on credit card at all times.
- Keeping your mail box safe and secure, to protect your statements.
- Use your credit card number safely, while shopping online.
