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💰 Financial

Credit Card Fraud

Unauthorized charges on your card must be disputed quickly — and federal law is on your side.

Prepare

  • Enable transaction alerts on all cards — most issuers offer instant push notifications or texts for every charge. You cannot dispute what you don't notice.
  • Know your card issuer's fraud reporting number — it's on the back of your card and on the issuer's app. Save it in your phone.
  • Keep a list of all active cards and their issuers somewhere secure — you may need to cancel and reissue multiple cards quickly.

Prevent

  • Never use a debit card online — credit cards have stronger fraud protections and your bank account balance is not directly at risk.
  • Use virtual card numbers for online purchases when your issuer offers them (many do — check your card's app).
  • Do not save card numbers on retail websites unless necessary.
  • Check for card skimmers at gas pumps and ATMs — wiggle the card reader before inserting your card.
  • Regularly review your statements — at least monthly.

Respond

  1. Report the fraud to your card issuer immediately — call the number on the back of your card or use the app. They will cancel the card and issue a new one.
  2. Request a chargeback for all unauthorized transactions — under the Fair Credit Billing Act, your liability for credit card fraud is capped at $50 (and most issuers charge $0).
  3. Review recent transactions carefully — sometimes fraudsters make small test charges ($1–$5) before larger ones.
  4. Update any recurring payments linked to the compromised card number once your new card arrives.
  5. Check your other accounts — if one card is compromised, it may indicate a broader breach of your email or saved passwords. Change passwords on any accounts that had that card saved.
  6. Debit card fraud has weaker protections: report within 2 days to limit liability to $50; after 60 days you may be liable for the full amount.

Resources

  • Your card issuer's fraud line — on the back of your card
  • Fair Credit Billing Act (FCBA): consumerfinance.gov/consumer-tools/credit-cards
  • CFPB dispute guidance: consumerfinance.gov/ask-cfpb/what-do-i-do-if-i-find-an-error-on-my-credit-card-statement
  • FTC Report Fraud: reportfraud.ftc.gov