How to dispute a charge: the basic steps
Contact your card issuer — the bank or company whose name is on your card — and tell them which charge you're disputing. You don't have to wait for a bill or gather documents first. Call the number on the back of your card, or log into your online account and look for a "dispute" or "report a problem" option. Most issuers let you start a dispute in minutes.
The issuer will ask you why you're disputing the charge: you didn't authorize it, the merchant charged you twice, the amount is wrong, or you returned the item but weren't refunded. Be specific about which one applies. The issuer will then open a dispute case and usually give you a reference number.
While the dispute is open, the charge stays on your account, but the issuer is required by federal law to remove it temporarily from what you owe if the charge is more than $50. For smaller amounts, they may still remove it while they investigate. You won't pay interest on a disputed amount during the investigation period.
Key Takeaways
- Contact your card issuer directly by phone or through your online account to report the disputed charge, and you'll receive a case reference number to track the dispute.
- Federal law requires the issuer to remove charges over $50 from your balance temporarily while they investigate, so you won't pay interest on that amount.
- The investigation typically takes 30 to 90 days, and the issuer will contact the merchant to verify whether the charge was legitimate.
- If the issuer rules in your favor, the charge is removed permanently; if they rule against you, you'll owe the amount plus any interest that accrued during the dispute.
- Gather documentation before you dispute — receipts, emails, proof of return — because the issuer may ask for it to support your case.
What happens after you report the dispute
The issuer contacts the merchant and asks them to prove the charge was legitimate. The merchant has a set time — usually 10 business days — to respond with evidence: a signed receipt, a delivery confirmation, or proof that you authorized the charge. If the merchant doesn't respond or can't provide proof, the issuer typically rules in your favor.
The full investigation takes 30 to 90 days. During this time, you can continue using your card normally. The issuer will contact you if they need more information from you, such as a police report (if the charge was fraudulent) or proof that you returned an item.
Once the investigation closes, the issuer will notify you in writing of the outcome. If you won, the charge is removed permanently and any interest charged during the dispute period is reversed. If you lost, you owe the full amount plus interest.
Disputes for unauthorized charges versus billing errors
An unauthorized charge is one you didn't make and didn't allow someone else to make. This includes identity theft, a stolen card number, or a hacked online account. Report unauthorized charges as soon as you notice them. Your liability is capped at $50 under federal law, and most issuers waive even that if you report it quickly.
A billing error is a charge you authorized but something went wrong: the merchant charged you twice, charged the wrong amount, charged you for an item you returned, or posted the charge to your account after you canceled the transaction. These disputes follow the same process as unauthorized charges, but the merchant is more likely to have documentation supporting their side.
If you authorized a charge but later changed your mind about the purchase, that's not a dispute — that's a return or refund request you handle directly with the merchant. The card issuer won't overturn a charge just because you regret buying something.
Documents to gather before you dispute
You don't need documents to start a dispute, but having them ready speeds up the investigation. Gather anything that supports your version of events: the original receipt or order confirmation, emails from the merchant, proof of delivery or non-delivery, a return receipt if you sent something back, or a cancellation confirmation if you canceled a subscription.
If the charge is fraudulent, collect any evidence that your card or account was compromised: a police report, a credit monitoring alert, or a notice from the merchant that their system was breached. If the merchant charged you twice, screenshots of both charges on your statement help.
The issuer will ask for these documents if they need them, so don't feel pressured to send everything at once. Respond promptly when they ask, because delays can extend the investigation timeline.
What happens to your credit score during a dispute
A dispute itself doesn't damage your credit score. The charge stays on your account and may appear on your credit report while the dispute is open, but credit bureaus understand that disputed charges are under investigation.
If the issuer rules against you and you owe the charge, your score could drop if you don't pay it. A late payment or unpaid balance will be reported to the credit bureaus and will lower your score. If the issuer rules in your favor, the charge is removed and your score is unaffected.
If you're disputing a charge because your card was stolen or your account was hacked, monitor your credit report for other fraudulent accounts opened in your name. You can order a free report from each of the three major bureaus — Equifax, Experian, and TransUnion — once per year at annualcreditreport.com.
Disputes for online purchases and subscription services
Online purchases are among the easiest to dispute because merchants usually have clear digital records: order confirmations, IP addresses, and delivery tracking. If you didn't receive an item you paid for, provide the issuer with the tracking number showing it was never delivered or was returned to sender.
Subscription services are trickier. If you canceled a subscription but the merchant kept charging you, the issuer will look for a cancellation confirmation. Some merchants make cancellation deliberately hard to find or require you to call instead of clicking a button online. Save any cancellation email or confirmation page you receive, because the merchant may claim they never received a cancellation request.
For digital goods — software, apps, ebooks, or streaming services — the merchant may argue that you received the product and therefore the charge is valid. The issuer will ask whether you actually accessed or downloaded the item. If you didn't, explain that to the issuer and provide any evidence that the download link didn't work or the service was unavailable.
When the merchant disputes your dispute
If the merchant provides strong evidence that the charge was legitimate — a signed receipt, a delivery confirmation, or proof of authorization — the issuer may rule against you. This happens most often when you authorized the charge but forgot about it, or when the merchant's records clearly show you received the item or service.
If you lose a dispute, you can ask the issuer to review the decision if you have new evidence. Some issuers allow one appeal per dispute. Provide any additional documentation that contradicts the merchant's evidence: a police report if the charge was fraudulent, a return receipt if you sent the item back, or a written statement from the merchant acknowledging an error.
If the issuer still rules against you, you can file a complaint with the Consumer Financial Protection Bureau (CFPB) if you believe the issuer didn't follow the dispute process correctly. The CFPB investigates complaints about banks and credit card companies, though they can't overturn the issuer's decision on the charge itself.
How to prevent disputes in the first place
Review your statement every month, even if you get alerts on your phone. Merchants sometimes use unfamiliar names on statements — a parent company instead of the store name, or an abbreviation you don't recognize. If you see a charge you don't remember, contact the merchant before disputing it; they can often explain what the charge was for.
For subscriptions and recurring charges, set a calendar reminder to check that you're still using the service and that the amount hasn't changed. Many people forget about free trials that convert to paid subscriptions, or services they signed up for once and never used again.
If you shop online frequently, use a virtual card number or a separate debit card for online purchases. Many issuers offer virtual card numbers that are linked to your real account but can be canceled or limited to a single merchant, reducing the risk of fraud if a merchant's system is breached.
Frequently Asked Questions
How long does a credit card dispute take?
The investigation typically takes 30 to 90 days from the date you report the dispute. The issuer must contact the merchant within 10 business days and give them time to respond. You'll receive written notice of the outcome once the investigation closes.
Do I have to pay the disputed charge while the dispute is open?
No. For charges over $50, federal law requires the issuer to remove the amount from your balance temporarily. For smaller amounts, most issuers remove them as well. You won't pay interest on a disputed amount during the investigation.
What if the merchant goes out of business before the dispute is resolved?
The issuer will still investigate and attempt to contact the merchant. If the merchant is unreachable or no longer in business, the issuer typically rules in your favor because the merchant can't provide proof of the charge. The investigation may take longer in this case.
Can I dispute a charge if I used a debit card instead of a credit card?
Yes, but the process and protections are different. Debit card disputes are governed by the Electronic Funds Transfer Act, which gives you 60 days to report unauthorized charges. The bank must investigate within 10 business days. Contact your bank's debit card customer service to start a dispute.
What if I authorized the charge but the merchant never delivered the item?
That's a legitimate dispute. Provide the issuer with the tracking number showing the item was never delivered, or proof that you requested a refund from the merchant and they didn't respond. The issuer will contact the merchant to verify whether they shipped the item.