credit card statement error
An incorrect charge on a credit card statement — must be disputed within 60 days under the Fair Credit Billing Act.
Example
“She noticed a duplicate charge and disputed the credit card statement error within the 60-day window.”
Memory Tip
ERROR — dispute billing errors within 60 days. The law requires investigation.
Why It Matters
Understanding credit card statement errors is crucial because incorrect charges can damage your credit score and cost you money if not addressed promptly. The 60-day dispute window is a legal protection that requires you to act quickly, making awareness of this deadline essential for protecting your financial rights and maintaining accurate account records.
Common Misconception
Many people believe that if they simply refuse to pay a disputed charge, the problem will resolve itself or that the credit card company will automatically investigate without formal action. In reality, you must actively dispute the error in writing within 60 days, or you may lose your legal protections and be required to pay the incorrect amount.
In Practice
Suppose you receive your credit card statement and notice a charge of $127.50 for a restaurant you never visited on March 15th. You must contact your credit card issuer and formally dispute the charge by May 14th (within 60 days). The card issuer then investigates and typically credits your account while they review the transaction, and if they confirm the error, the incorrect charge is permanently removed from your bill.
Etymology
From the Fair Credit Billing Act — consumer rights to dispute billing errors.
Common Misspellings
Check your credit score free — no impact
Related Terms
More in credit
Other credit terms you should know
See Also
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