A fraudulent credit card charge is a purchase someone else made using your card number without your permission
When you spot a charge you did not make, your first step is to contact your card issuer — the bank or credit union that issued the card — by phone. Do not email or use the online portal for this. Call the number on the back of your card and tell them you see an unauthorized charge. They will freeze the card when ready and start an investigation.
The card issuer is legally required to investigate within 30 days and resolve it within 60 days. During that time, you are not responsible for the fraudulent charge — federal law caps your liability at $50 if someone used your physical card, and $0 if only your card number was stolen. Most issuers waive even the $50 and refund the full amount.
Your job is to report it quickly and provide the details the issuer asks for. The sooner you call, the sooner they can stop further charges and send you a replacement card.
Key Takeaways
- Call your card issuer when ready using the number on the back of your card — do not wait for a statement or use email.
- Federal law limits your liability to $50 for fraudulent charges, and most card issuers refund the full amount with no out-of-pocket cost to you.
- The issuer must investigate within 30 days and resolve the matter within 60 days, and you are not responsible for the charge during that time.
- You will receive a new card with a new number, usually within 7 to 10 business days.
- Check your credit report for signs of identity theft beyond the single fraudulent charge.
How to Report the Fraudulent Charge to Your Card Issuer
Call the customer service number on the back of your card. Have your card and a recent statement in front of you. Tell the representative you want to report an unauthorized charge and give them the transaction date, amount, and merchant name. They will ask you to confirm that you did not make the purchase.
The representative will then freeze your card to prevent further charges. They will also ask you a few security questions to confirm your identity. Answer honestly — they need to verify you are the real cardholder before they can discuss the account.
Ask the representative for a confirmation number and the name of the person handling your case. Write these down. The issuer will send you a written dispute notice in the mail within a few days that summarizes what you reported and what happens next.
What Happens During the Investigation
Once you report the charge, the card issuer's fraud department takes over. They contact the merchant where the charge occurred and ask for proof that you authorized it. If the merchant cannot provide that proof, the charge is reversed and credited back to your account.
This process usually takes 10 to 30 days. During the investigation, the fraudulent charge remains on your account but is marked as disputed. You do not have to pay it. If you have a balance on the card, you can continue making payments on the legitimate charges.
If the investigation takes longer than 30 days, the issuer must credit the amount to your account temporarily while they finish investigating. You get the money back either way — the only question is timing.
Getting Your Replacement Card
Your old card is now useless because the issuer froze it. A new card with a new number will arrive in the mail within 7 to 10 business days. You can ask the issuer to expedite it, though this may cost a small fee.
Once the new card arrives, set up it by calling the number on the back or using the issuer's app or website. Destroy the old card by cutting it in half. Update any automatic payments or subscriptions that were linked to the old card number — your utility bills, streaming services, insurance payments, anything that charges monthly.
If you need to make purchases before the new card arrives, ask the issuer if they can provide a temporary card number or if you can use a digital wallet like Apple Pay or Google Pay with the new card number while you wait for the physical card.
Checking Your Credit Report for Other Fraud
A fraudulent charge on one card can be a sign of broader identity theft. Request a free copy of your credit report from all three bureaus — Equifax, Experian, and TransUnion — at annualcreditreport.com. This is the only official site for free reports; others charge fees.
Look for accounts you did not open, hard inquiries you did not authorize, or other charges that seem wrong. If you find additional fraud, contact each creditor and report it the same way you reported the credit card charge. You can also place a fraud alert or credit freeze with the three bureaus to make it harder for someone to open new accounts in your name.
A fraud alert lasts one year and tells creditors to verify your identity before opening new accounts. A credit freeze is stronger — it blocks creditors from seeing your report at all unless you temporarily lift it. Both are free and take about 15 minutes to set up online.
Protecting Your Card Number Going Forward
Fraudulent charges happen in a few ways: a data breach at a store or website, a skimmed card at a gas pump or ATM, or someone stealing your physical card. You cannot prevent all of these, but you can reduce your risk.
Check your statements every week, not just once a month. The sooner you spot a fraudulent charge, the sooner you report it and the faster it gets resolved. Set up account alerts through your issuer's app — most let you get a text or email notification for every charge over a certain amount.
Use your card at reputable merchants and avoid entering your card number on unsecured websites. Look for the padlock icon in your browser and a URL that starts with "https" before you enter payment information. For recurring payments, use a digital wallet or a virtual card number if your issuer offers one — these are temporary numbers that expire after one use or one merchant.
If the Issuer Denies Your Dispute
Occasionally an issuer will investigate and conclude the charge was authorized. This is rare, but it can happen if the merchant has proof you made the purchase or if the charge falls outside the dispute window. If this happens, you have the right to appeal.
Write a letter to the issuer's dispute department explaining why you believe the charge is fraudulent. Include any evidence — screenshots, emails, receipts showing you were elsewhere when the charge occurred, anything that supports your case. Send it certified mail so you have proof it arrived.
If the issuer still refuses, you can file a complaint with the Consumer Financial Protection Bureau (CFPB) at consumerfinance.gov. The CFPB investigates complaints against banks and credit unions and can pressure the issuer to reconsider. Filing a complaint does not cost anything.
Frequently Asked Questions
Will I have to pay the fraudulent charge while the investigation happens?
No. Federal law says you are not responsible for unauthorized charges. The issuer must credit the amount to your account if the investigation takes longer than 30 days, and most refund it when ready once you report it.
Can I dispute a charge if I authorized it but changed my mind?
No. A dispute is only for charges you did not authorize. If you bought something and regret it, that is a return or refund issue between you and the merchant, not a fraud dispute with your card issuer.
What if the fraudulent charge is from a foreign country?
Report it the same way — call your card issuer and tell them the charge is unauthorized. International fraud is actually easier to dispute because it is obviously not a local purchase you might have forgotten. The investigation process is identical.
Do I need to file a police report for credit card fraud?
You do not need to file a police report to dispute the charge with your card issuer. However, if you believe your identity has been stolen beyond just this one charge, filing a report creates an official record that can help if you need to prove fraud later. You can file online in most jurisdictions.
How long does it take to get my money back?
Most issuers refund fraudulent charges within 10 days of your report. By law, they must resolve it within 60 days. If the investigation takes longer than 30 days, they must credit your account temporarily while they finish.