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How To Challenge Credit Card Charge

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How Long Will It Take

How to Dispute a Credit Card Charge

There is no standard timeframe to resolve a chargeback claim, but if youre not happy with how long its taking or the outcome of your claim, speak to your card provider.

I paid between £100 and £30,000 with a credit card

You need to contact your credit card provider and tell them you want to make a claim to get your money back. Your card provider will decide the best route for your claim – either chargeback or Section 75, and this will depend on the details of your claim.

Section 75 is part of the Consumer Credit Act 1974 and gives you extra protection that goes beyond chargeback. This protection covers the whole cost of an item or service even if you have only paid the deposit on your credit card. It may also cover additional reasonable expenses. More information about chargebacks and Section 75 is available on the UK Finance website.

Protect Your Wallet And Your Credit

Protecting your wallet as well as your overall financial health does require some work. In addition to reviewing all of your statements regularly, ensure youre familiar with the laws that protect you and how you can assert your rights.

If your credit is dinged by any type of inaccurate negative reportingwhether its related to a chargeback collection or notunderstand how you can work to repair your credit. One way to help protect yourself is to stay on top of your credit and invest in products and services that let you easily monitor your credit, such as ExtraCredit.

What Does It Mean To Dispute A Credit Card Charge

Disputing a credit card charge means that you want to question a charge on your bill.

Lets face it: Were online more and more, which also means that were most likely shopping more, which means were using our credit cards more than we ever thought.

These charges can quickly add up, and its never a bad idea to consider the ammunition we have in the event we need to question a charge that just doesnt look right.

When we knowingly buy a certain product or service, we may skip the Terms of Services and unknowingly agree to certain stipulations .

The more we become accustomed to shopping and buying online, the stronger we think we get. But, here and there, companies get sneaky and you have tools to fight back when needed.

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Who Creates Your Credit Report And Credit Score

There are two main credit bureaus in Canada:

  • Equifax

These are private companies that collect, store and share information about how you use credit.

Equifax and TransUnion only collect information from creditors about your financial experiences in Canada.

Some financial institutions may be willing to recognize a credit history outside Canada if you ask them. This may involve extra steps. For example, you may request a copy of your credit report in the other country and meet with your local branch officer.

Problems With A Purchase

How (and when) to dispute a credit card charge

When you have an issue with a product or service you’ve purchased, a dispute could help you get your money back. Remember that the Fair Credit Billing Act requires that you make a good-faith effort to resolve the issue with the merchant first.

Reasons for this type of dispute include:

  • A product wasn’t delivered.
  • The merchant didn’t complete a service you paid for.
  • There was a quality issue with your purchase.

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Dont Ignore Chargebacks: Act As Quickly As Possible

As we mentioned, merchants have the option to either accept or dispute a chargeback once they are notified that a claim has been filed. If they choose to accept, they assume responsibility for the chargeback. If they contest, they have to provide supporting evidence to the card issuer. If the merchant chooses not to respond, the consumer wins by default and the merchant is responsible for the disputed credit card charge and associated fees.

Disputing With The Card Issuer

Whether you need to dispute a credit card charge for services not rendered or someone has stolen your card to make charges, such situations usually warrant going through the official dispute process with your card issuer. The safest method to dispute fraud is to call your card issuer’s customer service line shown on the back of the card. Otherwise, you usually have options to dispute online or by phone for other types of charges.

To file a dispute that couldn’t get handled with the merchant, you can log in to your card issuer’s website, select the transaction in the list and look for a dispute option. Your card issuer may also have a link to dispute charges in general that will let you select the affected charge. If you prefer, you can call the card issuer to start the dispute. In any case, expect to provide the transaction amount and date, retailer, items purchased and information about communications with the merchant.

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Reporting Disputed Charges: Rights Vs Convenience

Many card issuers have a place on their website or within their app where you can dispute charges.

But you may want to think twice about using it, says Kroub. The reason: it may mean youre signing away some of your dispute rights. Thats because some issuers include arbitration clauses and other binding language in a site or apps fine print.

And while youve likely already agreed to some form of arbitration just by using the card, Why solidify their defense? Kroub says.

His advice: After you report the disputed charge by phone, follow up in writingeither a letter with a return receipt or an email.

Milz agrees. When you call, state that youre lodging a dispute, he says. Most big card companies will have procedures. Often a phone call wont be enoughyoull want to follow it up with a letter. A letter will preserve your rights under the Fair Credit Billing Act.

Want a shortcut? The FTC has a sample letter you can use.

Two: Fill A Charge Dispute With Your Issuer

How To Dispute A Credit Card Charge

Most issuers offer an easy way to do this online, including Amex, Chase, Citi and Bank of America. Usually, there is a Dispute This Charge option when you expand a specific charge.

Remember that usually, you can only dispute charges that have already posted. Pending charges generally will not have a Dispute option available online or in the app.

If you cant find where to submit a dispute online, you can also call customer service and dispute a charge that way.

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Statute Of Limitations On Debt Collectors

The first thing consumers should do is verify that the debt even exists. In addition to the validation notice that debt collectors must send, there is a statute of limitations on most debts. The statute of limitations varies from state-to-state, from as little as three years to as many as 15. Most states fall in the range of 4-to-6 years.

If the statute of limitations on your debt has passed, it means the collection agency cant get a court judgment against you. It does not mean they cant still try to collect, though if you refuse to pay, they have no legal recourse against you. However, the unpaid debt remains on your credit report for seven years from the last time you made a payment on it.

Many of the problems start with the fact that debt collection agencies often buy debts from several sources and either collect the money or sell the debt a second, third, maybe even fourth time. Along the way, the original contract gets lost and specifics of how much was originally borrowed, at what interest rate, what late payment penalties are involved and how much is still owed, are lost with it.

Consumers need to keep accurate records of all transactions involved with their debt, especially the original contract, record of payments and any receipts. That information is used when filing a dispute letter with the collection agency.

What To Consider Before Starting Your Dispute

  • The transaction is related to a purchase you made with your TD Credit Card or TD Access Card:To submit a dispute, it must be for a purchase made with your TD Credit Card or TD Access Card. If you find a transaction on your statement that’s from a merchant you haven’t transacted with, then the charge could be fraudulent. If you suspect the transaction is fraudulent and it has posted to your account, please contact EasyLine immediately.
  • You attempt to resolve with the merchant prior to initiating a dispute:If you have a dispute with the merchant about a purchase you made, please first attempt resolve the issue directly with the merchant. Once you speak to the merchant, your issue may be resolved, and your money refunded. However, if you are unable to resolve directly with the merchant refer to the next step.
  • You submit a transaction dispute request within the following timeframe:
  • TD Credit Card: We recommend contacting us within 30 days after the Statement Period End Date of the account statement on which the transaction or suspected error appeared.Note: Our ability to file a dispute on your behalf is subject to limitations governed by Visa dispute network rules.
  • TD Access Card: within 30 days of the date you have received notice of the transaction as per your account agreement
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    What Happens If A Dispute Is Denied

    If your dispute is denied, then the charge will go back on your . You’re legally entitled to an explanation about why your dispute was denied and how you can appeal the decision. Your credit card company will likely send you both the explanation and instructions on how to appeal in writing.

    An appeal gives you another opportunity to provide evidence and win the dispute. If that doesn’t work, you can also try filing a complaint with the Consumer Financial Protection Bureau. As a last resort, you can hire a lawyer, although the cost involved means this option won’t be worth it for most disputes.

    Should I Pay Debt Collectors Or Original Creditor

    How to Dispute an Unauthorized Credit Card Charge

    Sometimes it can be confusing to know if you should pay the debt collection agency or the original creditor because a debt changes hands so many times.

    There are really three scenarios when a debt is unpaid and the consumer could be confused about who they are dealing with and who is getting paid.

  • A creditor may have an in-house collection division. In this case, you are still in debt to the original creditor and that is who gets paid.
  • Sometimes the creditor will hire a collection agency to chase the money for them. Ask the debt collector if they own the debt. If not, you still might be able to negotiate with the original creditor.
  • Often the last straw, the original creditor might sell the debt to a collection agency. In this case, the debt collector owns the debt, so any payment is made to the collection agency.
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    When Can I Apply For A Chargeback

    Common situations where you can apply for a chargeback include:

    • You paid for goods or services that werent provided
    • The product turned up but wasnt as described or was faulty
    • Your account was fraudulently or mistakenly debited
    • A promised refund wasnt credited to your account
    • You cancelled a direct debit but the retailer kept taking money from your account.

    Consumer Files A Chargeback

    The chargeback process begins when a consumer files a dispute with their bank or credit card issuer. The cardholder will identify the charge and explain the issue they encountered. This could be merchant error, friendly fraud, or credit card fraud. After the chargeback has been filed, the card issuer processes a preliminary credit to the cardholders account.

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    Make Sure You Receive A Reply

    The credit card company must send you a letter within 30 days of receiving your complaint. Once your claim is received, the company has two complete billing cycles, not to exceed 90 days, to determine whether the charges were in error. If your dispute is upheld, you will be notified by mail or via your online account that the charge is being refunded. If not, the credit card company must explain in writing why it denied the claim. If your dispute is denied, youll be responsible for paying the charge, including any finance charges that may have accruedrefusing to do so can negatively impact your credit score.

    Why Has My Temporary Credit Been Reversed

    How To Dispute A Credit Card Charge?

    $0 Fraud Liability: An unauthorized purchase is a purchase where you have not given access to your card information to another person or a merchant for one-time or repeated charges. Please use reasonable care to protect your card and do not share it with employees, relatives, or friends. Learn more at

    Customer Service

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    Ways To Remove Collections From Credit Report

    Still, there is a chance you could get the collection removed. A collection stays on your credit report for seven years from the time of your last payment, and there are three ways to get it taken off.

  • Dispute the claimYour first option is to dispute the claim. This only works if you dont owe the debt, or the collection agency fails to verify the debt within 30 days. Sometimes the collection agency keeps a debt on your credit report past seven years. In this case, you can write them with proof of when delinquency started to have it removed.
  • Pay for a removalEven if you pay the collection agency and settle the debt, the collection stays on your credit report for seven years. You can try to negotiate with the collection agency to have the collection removed. You would pay a fee to the collection agency and they would stop reporting your collection, just make sure you have the agreement in writing.
  • Goodwill DeletionIf the debt was acquired in an unfortunate circumstance and the debt has been paid, the last option is to ask the collection agency or creditor to take the collection off your credit report out of goodwill. Maybe you had a medical emergency or a situation out of your control. If you have good credit and were a reliable with payments before and after the delinquency, there is a chance they will take the collection off your credit report. Although, the chances are much higher with the original creditor and extremely low with a collection agency.
  • What You Shouldnt Dispute

    Disputing a credit card charge must be done responsibly. When you file a dispute, if it is approved, the retailer not only loses the sale but incurs an additional cost called a chargeback fee, which can range from $20 to $100. Doing this on purpose to try to score a freebie or because you regret a purchase is considered friendly fraud.

    With that in mind, here are some of examples of when you should not dispute a charge:

    If a friend or family member made the purchase. Say your kid decides to make purchases on their tablet or places a one-click order on your without your permission. Although you can work with the merchant directly to try to cancel the order or issue a return or refund , you cant dispute the charge because it was technically your fault for not protecting your account.

    If you didnt contact the merchant about the issue first. You place a catering order and pay with your credit card, but when the food arrives, theres an item missing and the sandwiches are all wrong. Your first recourse always should be to call the caterer and let them know about the error. If they fail to take action, you can go ahead and file a disputebut you need to give the vendor a chance to make it right first.

    If you are disputing a fraudulent charge, call your creditor to report it right away. That way, they can open an investigation, but also freeze your account as soon as possible to prevent further such charges.

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    The Reason The Charge Is Erroneous

    It helps to supply the reason you believe the charge is not valid, says Milz.

    Whether youve been the victim of identity theft, your merchandise never arrived or you were billed twice for one purchase, do your best to connect the dots for the card company. Tell them exactly why this charge should not be on your bill.

    What Is A Purchase Dispute

    How to Dispute a Credit Card Charge with Chase

    If youre let down by a purchase, your day could be ruined or your travel plans derailed, but when you pay with Visa, you could dispute the payment. This is often referred to as a Chargeback.

    In some cases, the dispute is simply because the seller charged the wrong amount or charged twice by mistake, in others, you may have ordered clothes that weren’t as described. Or you booked a flight but the airline folded. You might have bought someone a gift for a special day, but it arrives too late – or not at all!

    When things go wrong, the first thing to do is contact the seller and see if they can resolve the issue for you. If the business has folded, or they arent willing to help, you might be able to make a chargeback claim.

    In the case of tour operators, there is also an industry insurance scheme, the Air Travel Organiser’s Licence which could also help get your money back.

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    What Is A Dispute

    If you believe there is an error with a charge on your credit card account, the information on this page will give you some options to investigate and try to resolve it.

    A credit card dispute is a process in which you contest that there is a billing error on your account or that a merchant did not honor their terms and conditions.

    • A dispute is not the same as requesting a refund from the merchant, which you should do in many situations where you want your money back. For example, when youâre dissatisfied with the merchantâs policies or service, or when you need to cancel plans. Capital One canât issue a refund on behalf of a merchant.

    If you file a dispute, Capital One asks the merchant to review the disputed charge and its associated terms and conditions. These are usually the same terms and conditions you agreed to when you made the purchase.

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