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Whether you found a billing error on your credit card statement, suspect a fraudulent charge or simply aren’t satisfied with a product you purchased, the Fair Credit Billing Act of 1974 (FCBA) gives cardholders recourse to dispute charges and get their money back. But that grace period comes with a time limit, as disputes must be submitted in writing no later than 60 days after your credit card statement is issued.
Here’s what you need to know about the FCBA, including credit card dispute time limits, valid reasons for filing a dispute and how long credit card disputes take once they are filed.
» MORE: How to dispute a credit card charge
Understand your legal rights
The ability to dispute false charges isn’t just a courtesy extended by credit card issuers; it’s a legal right protected by the FCBA. In accordance with that federal law, you have 60 days from the date your credit card statement is issued to dispute a billing error. To comply with this policy, your dispute must be submitted in writing.
🤓Nerdy Tip
The legal minimum time frame for filing a dispute is 60 days,but some credit card processors allow for a longer window. For example, Visa, Mastercard and American Express each allow chargeback requests up to 120 days from the date of the transaction in certain cases. If it’s been longer than 60 days, check with your issuer directly to determine whether you can still file a dispute.
Once you’ve filed your dispute, the FCBA provides that the credit card issuer must acknowledge receipt of your dispute and launch an investigation within 30 days. From there, it has 90 days to either resolve the dispute with a credit to your account or provide a written explanation of why the charges stand.
Before you dispute a credit card charge
Although all cardholders have the legal right to dispute unfair credit card charges, the process can be complicated, so it’s best to make sure your dispute is valid before filing it.
🤓Nerdy Tip
Disputes can’t be filed on pending charges, so if you see a suspicious transaction, you’ll have to wait until it has fully processed. Note that pending transactions can sometimes be caused by credit card holds, meaning they don’t match the final amount that will be charged.
To save yourself from unnecessary paperwork, take these steps before you follow through with initiating a dispute:
Run a search on the name of the company. Some companies operate under multiple names, using one name for customer-facing purposes and a different one for operations and logistics. If you see a transaction from a company name you don’t recognize, a quick online search may help you realize what the charge is.
Check your email, past statements and other payment records. Do you have a free trial or subscription that you forgot to cancel? Or do you have recurring but infrequent charges, like an annual bill? If you take a few minutes to check through your email for order confirmations and review past credit card statements, that will help ensure this isn’t a charge you simply forgot about.
Talk to authorized users to see if they recognize the charge. If your spouse, child, employee or anyone else is an authorized user on your credit card or has access to use the card, they may be the source of the unrecognized transaction.
Contact the merchant directly. If you’re certain there was a billing error — or alternatively, if you’re simply not satisfied with a product you purchased — contact the merchant directly. Explain the issue with the transaction and request a chargeback. If the chargeback is approved, the transaction will be reversed and funds will be returned. And even if the merchant is uncooperative, that documentation will help speed up the investigation once your dispute is filed.
Put your dispute in writing
Although it may make sense to initiate a credit card dispute online or by phone, full compliance with the FCBA requires that you follow up that initial contact in writing within that 60-day window. This ensures that both you and your credit card issuer have record of the dispute and that an investigation can be conducted with accurate information.
🤓Nerdy Tip
Many major issuers offer options to dispute a charge in writing from your online account. Simply go to your account activity, select the charge in question and look for a link that says “report a problem,” “dispute charge” or similar. Then follow the prompts to complete your written dispute.
Your written dispute should include your name and account number, the date you’re filing the dispute, the date of the transaction in question and an explanation of why you’re disputing the transaction. If you’re dissatisfied with the quality of a product and have already reached out to the merchant, include that information as well. And make sure to include copies of any supporting documentation.
» MORE: When credit card disputes become 'friendly fraud'
FAQs
Found a billing error on your credit card statement? You have 60 days to dispute it. Here's how to do it and what to expect. Jaime Hanson is a writer for the credit cards team at NerdWallet.
Is there a time limit to dispute a credit card charge? ›
However, there's a catch: you need to dispute charges within 60 days from when the purchase appeared on your statement. Since that's a relatively small timeline, make sure you regularly review your credit card account for signs of billing errors.
Can I dispute a transaction from 2 years ago? ›
In most cases, cardholders have a 120-day window after that date in which they may dispute a charge. However, there is also a shorter 75-day window for certain issues. Cardholders have 120 days to file a chargeback for issues related to: Fraud.
What is the 540 days chargeback rule? ›
Within 120 days of the last date, the cardholder expects to receive the goods or services (not to exceed 540 calendar days from transaction). Within 120 days of the date, the cardholder was informed that the goods/services would not be provided (not to exceed 540 calendar days from transaction).
Can I dispute a credit card charge that I willingly paid for? ›
Yes. You can dispute a credit card transaction, even if you willingly approved it at the time. Disputes like this happen frequently when a vendor doesn't deliver the goods or services as promised.
What are the rules for disputing a credit card charge? ›
How long do you have to dispute a credit card charge? For billing errors, you can dispute a charge up to 60 days after the date the transaction took place. The investigation period and decision can take longer — up to 90 days from the date you submit a notice regarding the dispute.
Can you dispute a credit card charge after 180 days? ›
For most disputes the time frame is 120 days (U.S.) and 180 days (International) from the transaction date of the original sale or the date of discovery of the issue (i.e., defective merchandise). However, in some instances the time frame may be longer or shorter depending on the specific reason code.
Can I dispute a charge from 1 year ago? ›
Billing Errors: You can dispute a billing error up to 60 days after the date your bill was issued. Some credit cards give you more time, but make sure you dispute the error as soon as possible. Claims and Defenses: You can assert claims and defenses up to one year after the date your bill was issued.
Can I dispute a charge from 8 months ago chase? ›
Yes, it is possible to dispute a charge from 8 months ago with Chase Bank, but it may be challenging. Chase Bank typically allows customers to dispute charges within 60 days from the statement date [1].
How often are credit card disputes successful? ›
You might not always get a fair outcome when you dispute a chargeback, but you can increase your chances of winning by providing the right documents. Per our experience, if you do everything right, you can expect a 65% to 75% success rate.
Card Company Rules
Typically, they allow customers around 120 days from the date they made a purchase or noticed an issue to file a chargeback. This time frame ensures customers have a fair chance to dispute transactions they believe are incorrect or fraudulent.
What is an illegal chargeback? ›
Chargeback fraud occurs when a customer intentionally disputes a charge in order to receive a refund, while keeping the product or service. The customer may claim they did not receive the product, that the product was defective, or that the transaction was unauthorized.
Can a company sue me for a chargeback? ›
The business can sue the person who issued the chargeback in small claims. Why? Because the business performed the service and they should get paid for their work. In this article, we cover what chargebacks are, what friendly fraud is, how to fight chargeback fraud in small claims, and the chargeback process.
Who loses money when you dispute a charge? ›
If you successfully dispute a charge, the bank will notify the merchant and return funds to the issuing consumer via a chargeback. From here, merchants can decide if they want to dispute the chargeback or not.
What to do if a merchant refuses to refund? ›
If asking the merchant for a refund didn't work, request a chargeback with your credit card issuer. Many card issuers let you dispute transactions by phone, mail or online. You may also be able to submit a dispute directly through your card issuer's mobile app.
What happens if you wrongfully dispute a credit card charge? ›
What happens if you falsely dispute a credit card charge? Purposely making a false dispute is punishable by law and could lead to fines or imprisonment.
Can you dispute a credit card charge 2 years later? ›
How Long Do You Have to Dispute a Credit Card Charge? In most cases, you have 60 days from when a charge appears on your credit card statement to dispute it. However, if fraud is involved, there's not a time limit.
Can you dispute a credit card charge from 3 years ago? ›
The time limit for chargebacks, set by card networks like Visa and Mastercard, usually gives cardholders up to 120 days from the transaction date or the discovery of an issue to dispute a charge.
How late is too late to dispute a charge? ›
You generally have at least 60 days to dispute credit card charges when there's a billing error or fraudulent transaction, and 120 days if you have a complaint about the quality of goods or services.
Can you dispute a credit card charge after 6 months chase? ›
How long do I have to dispute a charge? Submit your dispute within 60 days of the transaction first appearing on your statement.
