Can I Block a Charge on My Credit Card?

While you cannot directly “block” a charge on your credit card statement, you can initiate a dispute process with your credit card issuer to challenge the transaction’s validity. This formal procedure, often referred to as a chargeback, allows consumers to seek resolution for problematic purchases or unauthorized activity.

Valid Reasons for Disputing a Charge

Several scenarios allow for a credit card charge dispute. Unauthorized charges, such as those from fraud or identity theft, are a primary reason. Federal law limits a consumer’s responsibility for unauthorized charges to $50, though many card issuers offer zero-liability policies.

Disputes also arise from issues with goods or services received. This includes items never delivered, or those that are damaged, defective, or significantly different from what was described. If a service was canceled, not rendered as agreed, or a promised refund was not issued, these situations also qualify. Billing errors, such as incorrect amounts, duplicated charges, or mathematical errors, are also valid reasons to initiate a dispute.

Steps Before Initiating a Dispute

Before contacting your credit card issuer, gather all relevant documentation. This includes transaction details like the date, amount, merchant’s name, and any associated order numbers or receipts. Keeping records of purchase confirmations, delivery tracking information, and evidence related to the condition of goods, such as photos of damaged items, can strengthen your case.

First, attempt to resolve the issue directly with the merchant. Many credit card issuers suggest or require that you first try to work out the problem with the seller. This direct communication can lead to a quicker resolution, as merchants may correct errors or issue refunds without involving the card issuer.

Document all attempts at resolution, including dates and times of contact, names of individuals spoken to, and summaries of conversations or emails exchanged. This documentation demonstrates a good-faith effort to resolve the issue and can be submitted as evidence to your card issuer.

The Fair Credit Billing Act (FCBA) outlines specific timelines for initiating a dispute. To preserve your rights under the FCBA, you must send a written notice of a billing error to your credit card company within 60 days after the first bill containing the error was sent to you. While some card issuers may offer more time or accept verbal disputes, adhering to the 60-day written notification requirement is recommended to ensure your legal protections. This written notice to the card issuer within the specified timeframe is a distinct and important step, even if you have attempted to resolve the matter with the merchant.

Initiating the Dispute with Your Card Issuer

Once you have gathered all necessary documentation and, if applicable, attempted to resolve the issue directly with the merchant, you are ready to formally initiate the dispute with your credit card issuer. This process typically involves contacting their customer service department via phone, through an online portal, or by mail. When you contact them, clearly state your intention to dispute a specific charge and be prepared to provide the transaction details you’ve already collected.

Most credit card companies have dedicated procedures for handling disputes, and they will guide you through their specific submission requirements. You will likely be asked to provide the information and documentation you prepared, such as receipts, communication records with the merchant, and any evidence of the issue. Sending a written dispute notice, especially for billing errors covered by the Fair Credit Billing Act, is often recommended to protect your rights. This written notice should be sent to the address designated for billing inquiries or errors, not the payment address.

What Happens After You File a Dispute

After you file a dispute with your credit card issuer, an investigation process begins. The card issuer is required to acknowledge your complaint in writing, typically within 30 days of receiving it. The issuer then investigates the disputed charge, which may involve contacting the merchant and reviewing any evidence provided by both parties.

During this investigation period, which can last up to two complete billing cycles or a maximum of 90 days, the credit card company cannot attempt to collect the disputed amount or report it as delinquent to credit bureaus. The card issuer may provide a provisional credit to your account for the disputed amount while the investigation is ongoing. This temporary credit ensures you do not have to pay the charge or accrue interest on it during the review process.

Upon completion of the investigation, the credit card issuer will notify you of their findings. If the dispute is resolved in your favor, the charge will be permanently removed from your account, and the provisional credit, if issued, will become permanent. If the issuer determines the charge is valid, they will explain their findings in writing, and you will be responsible for paying the amount. You typically have a short period, such as 10 days, to appeal the decision if you disagree with the outcome.