San Diego Consumer Protection Attorneys Giving You the Representation for Credit Card Billing Errors

Billing errors on credit cards will happen to most people over the course of their lives. Many times it’s being charged the same amount multiple times for the same product or service. Other times a transaction you may have canceled will still be processed. Other errors may be the result of malicious activity such as fraud or identity theft. Under US law, no one is financially responsible for purchases they did not make.

Credit card companies have fraud and consumer protection departments whose entire purpose is to make sure you really made all the charges on your account. Disputing a charge should be a simple process. However, some credit card companies may not believe you if you dispute a charge. This can make it difficult to have the charges changed or removed. Other companies may have a difficult process for disputing charges that takes a considerable amount of time and effort. This may mean you end up paying money you don’t owe just to avoid the stress. The company may be relying on this response.

If you or a loved one have noticed errors on your credit card statements, there are steps you can take to dispute the amount. There are also actions you can take if your credit card company refuses to change or remove the errors.

What is Considered a Billing Error in California?

Billing errors are any charges made to your account that you did not authorize, or charges that are greater than the amount you authorized. Billing errors can include but are not limited to:

• Charges for Purchases You Did Not Make
• Charges for Purchases You Did Not Receive
• Being Charged Multiple Times for the Same Product or Service
• Charges for Products or Services that were Damaged, Faulty, or Poor
• A Failure to Post Payments to Your Account
• A Failure to Post Refunds to Your Account

Other errors can include mathematical errors, or fraudulent charges as the result of identity theft. It’s important you review your credit statement every month to make sure all of the charges are accurate and that any refunds or payments have been posted to the account. It’s also important to make sure the charges add up properly. Under the law, you are not liable to pay any amount that was posted to your account as the result of a billing error.

What Should I Do if I Notice a Billing Error on my Account?

The first step to take is to contact your credit card company yourself. Most companies have a consumer protection and fraud department. This department is meant to ensure all of the charges posted to your account are accurate. Many times, the company will take your word and quickly and easily resolve the disputed charge or amount. This is especially true if you have been a customer for many years, and/or if you don’t often dispute charges. If you have a high credit score, the company may also be more likely to believe you and simply remove or change the charges.

However, this is not always the case. If you are a newer customer, or you don’t have a high credit score, the company may be suspicious you are trying to get out of paying for something you really bought. This is especially true if the charge is for a high dollar amount. If you have recently reported a dispute, or have a history of reporting them, the company might suspect a pattern of fraud. The company may also be generally suspicious, or have very stringent policies in place for how disputed charges are treated. If this is the case, you may find yourself in an uphill battle to have the charges changed or removed.

What Do I Do if the Dispute Department Won’t Fix a Billing Error on my Account?

If calling your credit card company doesn’t work, you will have to escalate the case. This involves writing them a letter requesting a formal investigation into the charges. The company has thirty days to acknowledge to you that they received your request. They then have either ninety days or two billing cycles to conduct the investigation. During this period, you are obliged to continue making payments on your account, but not for the disputed charges.

If your credit card company decides the charges are accurate, they will try and hold you responsible. If you refuse or are not timely in making payment, they may decide to take action against you to collect the disputed amount. This includes sending the amount to a collection agency or taking you to court. A lawsuit is a higher likelihood if the disputed amount is very high. In addition to being held financially liable, your credit score may be impacted if the credit company sues you and wins.

What Should I Do to Handle a Dispute With My Credit Card Company Over a Billing Error?

While you can try and handle disputes yourself, you may be facing an uphill battle. This is especially true over large amounts or multiple large amounts. Your credit card company can make it difficult to dispute the charges. You may find yourself in court facing attorneys for a major credit card company. This can have a long-term impact both on your personal finances and your credit score.

The Fair Credit Billing Act (FCBA) protects consumers from actions that could affect their credit until a full investigation has been completed by the creditor. The FCBA covers billing errors with credit cards and store charge accounts. Under the law, creditors must respond to consumer complaints within a timely manner and launch an investigation into these complaints before a consumer’s credit can be impacted.

Billing errors might include:

• Unauthorized charges
• Charges for items that were not delivered
• A failure to credit your account
• Bills mailed to the wrong address
• Charges that list the wrong amount or the wrong date

If you believe you’ve found a billing error in your credit card statement, you must send a letter to your creditor within 60 days after the bill was mailed. The creditor must then acknowledge the letter within 30 days. If an error is found, the credit card company must repay you within 90 days and notify you with a correction notice.

If you or a loved one have found a billing error on your credit statement, don’t hesitate to contact the attorneys at Khosroabadi & Hill, APC. We’re experienced in consumer protection law and know how to navigate disputes with card companies. We can help you avoid having to pay for goods or services you didn’t purchase. We can also help if a credit card company is suing you for money you don’t owe, or if you need to file suit against them.

Getting errors removed from your credit statement shouldn’t be a hassle. If you or a loved one are struggling with your credit card company over a billing error, call Khosroabadi & Hill, APC today at 858-240-2093 or email us for a free consultation. We’ll deal with your credit card company so you don’t have to, and make sure you only have to pay what you owe.