How a credit card dispute works
When you dispute a charge, your card issuer investigates whether the transaction was authorized and legitimate. You contact your bank or credit card company, report the charge as fraudulent or incorrect, and they assign the case a reference number. During the investigation — which typically lasts 30 to 90 days — the issuer requests documentation from you and from the merchant, then makes a decision about whether to refund you.
The process is not instantaneous. Your bank may provisionally credit your account within a few days while the investigation continues, but that credit can be reversed if the merchant provides proof the charge was valid. You remain responsible for the full amount until the dispute is resolved.
Key Takeaways
- You have 60 days from the date the charge appeared on your statement to file a dispute with your card issuer.
- Your bank will likely provisionally credit your account within a few days, but the investigation can take 30 to 90 days and the credit may be reversed.
- You must provide documentation supporting your claim — proof you did not authorize the charge, evidence the item never arrived, or a receipt showing a different amount.
- If the merchant provides proof the charge was valid, your bank will remove the provisional credit and you will owe the full amount again.
- Disputing a charge does not automatically remove it from your credit report, though a resolved dispute in your favor will not harm your score.
The 60-day window and how to start a dispute
You must report the charge within 60 days of the date it appears on your statement. This important date is set by the Fair Credit Billing Act and applies to all credit card issuers. If you miss the important date, your bank is not required to investigate, though some issuers may still help you if you contact them shortly after.
To start a dispute, call the customer service number on the back of your card or log into your online account. Have your statement in front of you with the transaction date, merchant name, and amount. Tell the representative you want to dispute the charge and explain why — that you did not authorize it, that the charge is a duplicate, that the amount is wrong, or that you returned the item and were not refunded.
The bank will ask you to describe what happened and may request documentation when ready or after they open the case. Write down the case or reference number they give you and ask when you can expect an update.
What documentation you need to provide
The type of proof you need depends on why you are disputing the charge. If you claim you did not authorize it, provide any evidence showing the transaction was fraudulent — a police report if your card was stolen, a statement that you were not in that location, or proof that someone else made the charge. If the merchant is claiming you authorized it, your documentation needs to contradict that claim directly.
For a charge you say was a duplicate, show both transactions on your statement and explain why they should not both be there. For an incorrect amount, provide a receipt showing what you actually paid. For an item that never arrived or was returned, provide tracking information, a delivery confirmation showing it was not received, or a return receipt from the merchant.
If you do not have documentation, tell the bank what you do have. Some disputes are resolved on your account history alone — for instance, if you have never disputed a charge before and the amount is small, the bank may side with you without extensive proof. But merchants can also provide documentation, and if theirs is stronger than yours, you will lose the dispute.
The provisional credit and the investigation period
Within two to five business days of filing a dispute, many banks will provisionally credit your account for the disputed amount. This credit is temporary and is meant to let you use the money while the investigation continues. The provisional credit does not mean you have won the dispute — it means the bank is holding the money while they gather facts.
During the investigation, the bank contacts the merchant and asks for proof that the charge was valid. The merchant may provide a signed receipt, a delivery confirmation, or evidence that you used the service. The bank reviews both your evidence and theirs, then makes a final decision.
The investigation usually takes 30 to 90 days. Some banks finish faster; others take the full time allowed. If the bank rules in your favor, the provisional credit becomes permanent and the charge is removed. If the bank rules against you, they remove the provisional credit and you owe the full amount again.
What happens if you lose the dispute
If the merchant provides proof that the charge was valid and authorized, your bank will deny the dispute and remove any provisional credit from your account. You will owe the full amount, and it will remain on your statement. The bank will notify you in writing with an explanation of why the dispute was denied.
At this point, your options are limited. You can contact the merchant directly to negotiate a refund, but you have no further recourse with your bank. If you believe the bank made an error in their investigation, you can file a complaint with the Consumer Financial Protection Bureau, though this does not overturn the decision.
A denied dispute does not appear on your credit report as a separate item, and it does not affect your credit score. Only the original charge remains on your statement.
How disputes affect your credit report and score
A disputed charge does not automatically appear on your credit report while the investigation is ongoing. Once the dispute is resolved, the outcome determines what happens next. If you win the dispute, the charge is removed from your statement and does not appear on your credit report. If you lose, the charge stays on your statement as a regular transaction and does not create a separate negative mark.
A resolved dispute in your favor will not harm your credit score. Your payment history, credit utilization, and other factors remain unchanged. The dispute itself is not reported to the credit bureaus as a negative event.
If the disputed charge was part of a late payment or a high balance, those factors may have already affected your score before you filed the dispute. Winning the dispute removes the charge but does not retroactively repair damage from the time it was on your account.
Disputes for fraud versus billing errors
Credit card companies treat fraudulent charges and billing errors differently, though the process is similar. A fraudulent charge is one you did not authorize — someone used your card number without permission. A billing error is a charge you authorized but that is wrong in some way: the amount is incorrect, the charge is a duplicate, or the merchant failed to credit a return.
For fraud, the bank may cancel your card and issue a replacement when ready, even before the investigation concludes. For billing errors, the bank investigates but does not usually cancel the card. In both cases, you are protected from liability for the disputed amount under federal law, meaning you cannot be forced to pay while the investigation is ongoing.
If fraud is involved, consider whether your card was compromised in other ways. Check your full statement for other unauthorized charges and report them all at once. Ask the bank whether they recommend canceling the card entirely or just disputing individual charges.
What to do while the dispute is being investigated
Keep all documentation related to the dispute in one place — emails, receipts, tracking numbers, photos, and the case reference number from your bank. Do not throw away anything that might be relevant, even if it seems minor.
If the merchant contacts you about the charge, do not agree to anything without consulting your bank first. Some merchants will offer a partial refund to settle the dispute, which can complicate the investigation. Tell the merchant you have filed a dispute and ask them to work with your bank.
Check your account regularly to see whether the provisional credit has been applied and to watch for any updates from the bank. If you do not hear anything after 45 days, call the bank and ask for a status update using your case reference number.
Frequently Asked Questions
Can I dispute a charge after more than 60 days?
The law requires banks to investigate disputes filed within 60 days of the charge appearing on your statement. After 60 days, your bank is not required to investigate, though some issuers may still help if you contact them shortly after the important date. Do not wait — file as soon as you notice the problem.
What if the merchant says I authorized the charge?
If the merchant provides a signed receipt or other proof you authorized the transaction, your dispute will likely be denied. The burden is on you to prove you did not authorize it. If someone else used your card, provide evidence of fraud. If you authorized it but changed your mind, that is not grounds for a dispute — you would need to negotiate a refund directly with the merchant.
Do I have to pay the disputed charge while the investigation is ongoing?
No. Under federal law, you cannot be required to pay a disputed amount while the bank is investigating. If the bank issued a provisional credit, you can use that money. If they did not, the charge does not count toward your minimum payment. Once the investigation concludes, you must pay if the dispute is denied.
Will disputing a charge hurt my credit score?
Filing a dispute itself does not affect your credit score. A resolved dispute in your favor will not harm your score. If you lose the dispute, the charge remains on your statement as a regular transaction, which does not create a separate negative mark. However, if the charge was late or contributed to a high balance, those factors may have already affected your score.
What if the merchant goes out of business before the dispute is resolved?
Your bank will still investigate the dispute even if the merchant is no longer operating. If the merchant cannot be reached or does not respond, the bank may rule in your favor based on the lack of evidence supporting the charge. The investigation may take longer in this situation, but you are still protected.