To dispute a fraudulent credit card charge, lock your card, call your card issuer’s fraud department right away, and ask for the charge to be removed and a new card number issued. Then follow up in writing — under the Fair Credit Billing Act, send your written dispute within 60 days after the first statement showing the charge was sent. Federal law caps your liability for unauthorized credit card charges at $50, and most major issuers go further with zero-liability policies, so you usually won’t pay anything for charges you didn’t make.

Speed matters, but so does using the right process. This guide walks you through exactly what to do, how credit and debit cards differ, what your issuer must do in response, and how to make sure fraud doesn’t spread to the rest of your credit.

Federal law protects you from unauthorized credit card charges — if you act on time.

Key takeaways

• Report unauthorized charges to your card issuer as soon as you spot them.
• Your liability for unauthorized credit card charges is capped at $50 by law, and often $0.
• Send a written dispute within 60 days of the statement date to preserve your rights.
• Debit cards have weaker protections — report fraud within two business days if possible.
• You don’t have to pay the disputed amount while it’s being investigated.
• Check your credit reports for new accounts opened in your name.

First: Is It Fraud, a Billing Error, or a Merchant Problem?

The process depends on what happened.

• Fraud (unauthorized use): Someone used your card or card number without permission.
• Billing error: A charge for the wrong amount, a duplicate charge, a charge for something you returned, or a charge for goods or services you didn’t receive.
• Merchant dispute: You made the purchase, but the product was defective or not as described.

Before disputing, make sure the charge isn’t simply unfamiliar. Merchants sometimes bill under a different name than their storefront, and family members or authorized users sometimes make purchases you didn’t know about. Searching the merchant name or checking your receipts can save time. If you’re not sure, your issuer can often tell you more about the merchant.

What to Do the Moment You Spot Fraud

Five steps to take right away.

1. Lock or freeze the card

Most issuers let you lock your card instantly in their app or website. This stops new charges while you sort things out.

2. Call the issuer’s fraud department

Use the number on the back of your card or on your issuer’s official website — never a number from a text, email, or call you received. Report every charge you don’t recognize. Ask for:

• The fraudulent charges to be removed or provisionally credited
• A new card with a new number
• Confirmation of what you reported and a reference number

3. Review recent statements

Fraudsters sometimes test a card with small charges before making larger ones. Look back through at least the last two or three statements.

4. Update automatic payments

Once you have a new card number, update any subscriptions or bills that charged the old card.

5. Follow up in writing

A phone call starts the process, but a written dispute preserves your rights under the Fair Credit Billing Act. See the next section.

Your Rights Under the Fair Credit Billing Act

The Fair Credit Billing Act (FCBA) protects you when you dispute billing errors on credit cards and other open-end credit accounts. Unauthorized charges count as billing errors.

The 60-day window is the deadline that preserves your federal rights.

The 60-day deadline

Send your written dispute so the issuer receives it within 60 days after the first statement containing the error was sent. Send it to the billing error address listed on your statement — not the payment address — unless your issuer lets you dispute online in a way that counts as a written notice.

What to include

• Your name, address, and account number
• The date and amount of each disputed charge
• A clear statement that the charges are unauthorized
• A request to remove the charges and any related fees or interest
• Copies of any supporting documents

What the issuer must do

• Acknowledge your dispute in writing within 30 days of receiving it, unless it resolves the dispute sooner
• Resolve the dispute within two billing cycles, and no more than 90 days

Your protections during the investigation

While the dispute is being investigated:

• You don’t have to pay the disputed amount or related finance charges, though you must pay the rest of your bill
• The issuer can’t report the disputed amount as delinquent to the credit bureaus
• The issuer can’t close your account or take action against you solely because you disputed

How Much Can You Be Charged for Fraud?

Your liability depends heavily on whether it’s a credit card or a debit card.

Credit cards offer much stronger fraud protection than debit cards.

Credit cards

Under the Truth in Lending Act, the most you can be held responsible for is $50 in unauthorized charges. If only your card number was stolen — the physical card is still in your possession — you’re generally not liable at all. Major card networks and many issuers offer zero-liability policies that mean you’ll owe nothing, subject to their terms.

Debit cards

Debit cards are covered by the Electronic Fund Transfer Act, which has weaker, time-sensitive protections:

• Report within two business days of learning your card was lost or stolen: liability up to $50
• Report after two business days but within 60 days after your statement is sent: liability up to $500
• Report more than 60 days after the statement: you could be responsible for all unauthorized transfers made after that point

If your debit card number was used but you still have the card, you generally aren’t liable for transfers reported within 60 days of the statement.

Because debit card fraud takes money directly from your bank account, it can cause bounced payments and overdrafts while you wait for the bank to investigate. For online shopping and travel, a credit card is usually the safer choice.

Chargebacks vs. Disputes

You’ll often hear the term chargeback. It’s the process the card network uses to reverse a transaction and take the money back from the merchant after you dispute. You don’t have to start a chargeback yourself — when you report fraud or a billing error to your issuer, it handles the process behind the scenes.

Disputing Charges for Purchases You Did Make

If you made the purchase but something went wrong, you still have options.

• Items not delivered or services not provided: This is a billing error under the FCBA. Dispute it in writing within the 60-day window.
• Wrong amount or duplicate charge: Also a billing error.
• Defective or damaged goods: First try to resolve the problem with the merchant. If that fails, the FCBA may let you withhold payment for the disputed item if the purchase was more than $50 and made in your home state or within 100 miles of your mailing address — limits that don’t apply when the card issuer and seller are closely related.
• Canceled subscriptions still charging you: Keep proof of cancellation and dispute the charges.

Keep receipts, emails, tracking information, and records of your attempts to resolve the problem with the merchant.

Sample Dispute Letter

I am writing to dispute the following unauthorized charges on my account, number [last four digits]: [date, merchant, amount for each charge]. I did not make or authorize these charges. I reported them to your fraud department by phone on [date], reference number [number]. Please remove these charges and any related finance charges or fees, and send written confirmation of the outcome. I understand I am not required to pay the disputed amounts while this dispute is investigated.

Send it to the billing error address on your statement. If you mail it, use certified mail with return receipt requested and keep a copy.

Recurring Charges and Free Trials

Some of the most common “mystery” charges come from subscriptions and free trials that convert to paid plans. If you signed up but canceled — or never agreed to recurring billing — you can dispute the charges, but gather proof first: cancellation confirmations, emails, and screenshots. Many issuers can also block future charges from a specific merchant. Going forward, set a calendar reminder a few days before any free trial ends.

When a Family Member Made the Charge

If a household member used your card without permission, the charge may still be unauthorized. But if you gave someone your card or made them an authorized user, charges they made are generally considered authorized, even if you didn’t approve that specific purchase. In that situation, your remedy is usually with the person, not the card issuer. If you want to limit what an authorized user can spend, many issuers let you set spending limits or remove them from the account.

What Happens After the Investigation

If the issuer agrees the charges were unauthorized or were billing errors, it must correct your account and remove related finance charges and fees. If it concludes there was no error, it must explain why in writing, and it may ask you to pay the disputed amount plus any finance charges that accrued. If you still disagree, respond in writing right away. If you continue to dispute the charge and haven’t paid, the issuer can report you as delinquent only if it also reports that you dispute the charge and tells you who received that information.

Fraud While Traveling

Card fraud is common while traveling because cards are used in unfamiliar places. Before a trip, check whether your issuer wants travel notifications, carry a backup card kept separately, and turn on real-time alerts. If your card is compromised abroad, lock it in the app and call the international number on the back of the card or on the issuer’s official website.

When Fraud Goes Beyond One Card

A fraudulent charge is sometimes the first sign of broader identity theft. Watch for:

• New credit cards or accounts you didn’t open
• Credit inquiries you don’t recognize
• Bills or collection notices for accounts that aren’t yours
• Password reset emails you didn’t request

If you see any of these, take additional steps:

• Check your credit reports at AnnualCreditReport.com, which currently offers free weekly reports from all three bureaus
• Place a credit freeze with Equifax, Experian, and TransUnion — it’s free and blocks new accounts
• File a report at [IdentityTheft.gov](https://www.identitytheft.gov), which creates an official identity theft report and a recovery plan
• Dispute fraudulent accounts with each credit bureau. With an identity theft report, bureaus must block fraudulent information within four business days of receiving your request.
• Change passwords for your email and financial accounts and turn on two-factor authentication

Our guide on removing hard inquiries from your credit report explains how to dispute inquiries from accounts you never applied for.

Does Disputing a Charge Hurt Your Credit?

No. Disputing a charge doesn’t affect your credit score. During a Fair Credit Billing Act dispute, the issuer can’t report the disputed amount as late. Getting a new card number also doesn’t create a new account on your credit report — it’s the same account with a new number.

What can hurt your credit is ignoring the rest of your bill. Keep paying the undisputed balance on time.

Common Ways Card Information Is Stolen

• Data breaches at retailers or service providers
• Phishing texts, emails, and calls pretending to be your bank
• Card skimmers attached to gas pumps and ATMs
• Fake websites that look like real stores
• Stolen mail, including new cards and statements
• Lost or stolen wallets

Scammers often call pretending to be your card issuer’s fraud department and ask you to “verify” a code sent to your phone. That code is often what they need to take over your account. A real issuer won’t ask you to read back a one-time code to confirm fraud.

How to Protect Your Cards Going Forward

Five habits that make fraud easier to catch — or prevent.

• Turn on transaction alerts so you’re notified of every purchase
• Use virtual card numbers for online shopping, if your issuer offers them
• Use mobile wallets such as tap-to-pay, which don’t share your actual card number with merchants
• Never share one-time codes with anyone who calls you
• Check statements every month, even for cards you rarely use
• Freeze your credit when you’re not applying for new accounts

Credit or Debit: Which Card to Use Where

Because of the difference in legal protections, it’s worth choosing your card deliberately:

• Online shopping: Use a credit card or a virtual card number, so fraud doesn’t touch your bank balance.
• Gas pumps and unattended terminals: Use a credit card or mobile wallet, since skimmers are common at these locations.
• Travel and hotels: Use a credit card. Hotels and car rental companies often place holds, which can tie up debit funds.
• Subscriptions: Use a credit card so disputed or unwanted charges don’t drain your checking account.
• ATMs: Use machines inside bank branches when possible, and cover the keypad when entering your PIN.

Keep a Record of Your Dispute

Create a simple record for each dispute: the date you called, the representative’s name, the reference number, the charges disputed, the date you sent your written dispute, and every response you receive. Save statements showing the provisional credit and the final resolution. If the charge reappears or the issuer later reports the amount as late, this record makes it much easier to fix.

Common Mistakes to Avoid

• Waiting to report fraud. The sooner you report, the easier it is to resolve, and for debit cards it can limit your liability.
• Relying only on a phone call. Follow up in writing within 60 days to preserve your FCBA rights.
• Calling a number from a suspicious message. Use the number on your card or your issuer’s official site.
• Skipping your minimum payment. You only get to withhold the disputed amount.
• Ignoring small charges. Small test charges often come before larger fraud.

If Someone Calls Claiming to Be Your Card Issuer

Fraudsters often call right after a data breach, claiming to be from your issuer’s fraud department. They may already know your name and partial card number. Hang up and call the number on the back of your card. Never read back a one-time code, share your PIN, or confirm your full card number on an incoming call.

Frequently Asked Questions

How long do I have to dispute a fraudulent credit card charge?

Report it as soon as you notice it. To preserve your rights under the Fair Credit Billing Act, send a written dispute so your issuer receives it within 60 days after the first statement showing the charge was sent.

Will I have to pay for fraudulent charges?

Usually not. Federal law caps your credit card liability at $50, and many issuers have zero-liability policies. If only your card number was stolen and you still have the card, you’re generally not liable at all.

How long does a credit card dispute take?

Your issuer must acknowledge a written dispute within 30 days and resolve it within two billing cycles, and no more than 90 days. Many fraud disputes are resolved much faster.

Does disputing a charge hurt my credit score?

No. The issuer can’t report the disputed amount as delinquent while it investigates. Just keep paying the rest of your bill on time.

Are debit cards protected the same way?

No. Debit card protections are weaker and depend on how quickly you report the problem. Reporting within two business days limits liability to $50; waiting longer can increase it.

Can I dispute a charge for something I bought?

Yes, in some cases. Items not delivered, wrong amounts, and duplicate charges are billing errors. For defective goods, try the merchant first; the Fair Credit Billing Act may help if the purchase meets certain requirements.

What if my dispute is denied?

Ask the issuer for the documents it relied on and explain why you disagree, in writing. You can also file a complaint with the Consumer Financial Protection Bureau.

Should I cancel my card after fraud?

Your issuer will usually close the compromised card number and send a new one on the same account. That’s better than closing the account entirely, which could reduce your available credit and affect your credit utilization.

What if the fraudulent charge was on a card I rarely use?

Dispute it the same way. Rarely used cards are common targets because fraud can go unnoticed for months. Set up alerts on every card, and review even inactive accounts regularly.

Can I dispute a charge after 60 days?

You can still report it, and many issuers will still investigate, especially for clear fraud. But the Fair Credit Billing Act’s procedural protections depend on the 60-day window, so act as quickly as possible.

Do I need to file a police report for credit card fraud?

Usually not for a simple unauthorized charge — your card issuer handles it. A police report can help if your wallet was stolen, if the fraud is part of broader identity theft, or if your issuer or another company asks for one.

The Bottom Line

If you spot a charge you didn’t make, lock the card, call your issuer using a trusted number, and follow up in writing within 60 days of the statement. Federal law limits your credit card liability to $50 — and often $0 — and protects your credit while the dispute is investigated. Then check your credit reports to make sure the fraud stopped at one card.

For more on protecting and rebuilding your credit, read our guide to understanding your credit report.

Fraud Showing Up on Your Credit Report?

Strong Credit Report has helped consumers across California and nationwide since [year] with identity theft disputes and credit report corrections. Your first consultation is free, and we’ll tell you honestly which steps you can take yourself — usually most of them.

Schedule a free consultation or call 800-603-8045.

Strong Credit Report is a credit repair organization as defined under the Credit Repair Organizations Act. We cannot guarantee specific results or the removal of accurate information. You have the right to dispute inaccurate information yourself at no cost. This article is general information, not legal advice.