Unauthorised charge on your Credit Card? Don’t know what to do? Here’s everything you need to know about disputable Credit Card transactions and how to get your money back in such cases.
Anjali used to pay her Credit Card dues on time. However, she never bothered to cross check her Credit Card statement. One month she happened to check her statement by chance and was stumped to see an inaccurate, expensive entry. Since Anjali had not made any such transaction, she contacted her Credit Card issuer immediately. And thankfully she checked the statement before making the payment too.
Additional Reading: Managing Credit Cards E-statements
Anjali’s is not an isolated case. There have been many instances when such cases have been reported – be it a fraudulent charge or a duplicate charge or mistakenly charged transaction. This is why we keep telling that you should always review your Credit Card statement without fail. This will make it easy to identify inconsistencies, bring it your issuer’s notice, and reverse the wrong charges.
In the case of lost or stolen cards, make sure that you inform your Credit Card issuer at the earliest so that your account can be frozen to avoid any fraudulent transactions.
Here’s a short list of the transactions that you can dispute and get a reversal:
- Any transaction that wasn’t authorised by you or anyone who has access to your card can be disputed
- Any fraudulent transactions made from your card can be reversed
- Charges on your card statement that do not match with the receipts you hold. For example, if you had made a transaction for Rs. 500 at the market, but your card was charged Rs. 1,000 by the merchant, then you can ask for a reversal of the extra charge
- Duplicate charges can be disputed too. For instance, you bought a product online, but the merchant charged you twice for the same purchase, then you can raise a refund request
- Refunds that have not been processed can be disputed
- If you’ve made a transaction but cancelled within the cancellation period offered by the merchant, you can demand a reversal of the charged amount
- If you’ve enabled auto-payments on your card and then cancelled them, your card isn’t supposed to be billed further. In case it still gets debited post cancellation, you can raise the issue and ask for a reversal
- ATM withdrawals can be disputed if the amount dispensed didn’t match the amount entered, or if the ATM didn’t dispense money but your account was debited
Additional Reading: 10 Smart Ways to Avoid Credit Card Frauds
Now that we know the different transactions that can be disputed for reversal of the deducted amount, let’s consider a few of the common scenarios and how to get your refund as quickly as possible in such situations:
Online Transactions And Refunds
Before seeking refunds for cancelled orders, it is important to understand that each merchant website has its own terms and conditions for refunds. Some websites allow complete refunds of funds for all cancelled orders within a stipulated time period and no questions asked. And a few others do not return the funds as cash but give the users the option to use the funds to buy any other product of the same value from their website.
Before buying goods from any online website, it is necessary to understand their terms and conditions when it comes to refunds and order cancellations. Cool?
A refund usually takes about 7 to 14 working days to reflect.
Additional Reading: 11 Tips To Scam-Proof Your Online Transactions
Cancellation Of Purchase Through Credit Cards
Users can cancel any Credit Card transaction for any purchase online or in brick-and-mortar stores. There are two options to cancel the transaction.
The first one is direct cancellation of the order in which case the purchase made is considered to be null and void, and any payment is reversed to the account.
The second method is the demand for a charge back. Charge back is a protection offered by Credit Card companies allowing users to cancel their purchase if they are unhappy with the product or services. In the case of a charge back request, the card issuer will reverse the amount billed on the Credit Card and not pay the same to the merchant.
Charge back safeguards consumers’ interest for any faulty purchase, although claims must be filed within 180 days of the purchase date.
Double Swiping Of Credit Cards
Rahul purchased some groceries using his Credit Card. The sales executive at the cash counter swiped his card, but the sale charge slip did not emerge from the swipe machine. Rahul, on the other hand, got an SMS text alert on his phone.
Unsure of whether the transaction had gone through or not, the sales executive swiped Rahul’s card again even though he showed the SMS alert. After swiping the card again, another SMS text was received by Rahul and a charge slip emerged from the swipe machine. This was clearly a case of malfunctioning of the POS machine, but Rahul was charged twice.
Double swiping of Credit Cards is quite common. A lot of users do not even realise they have been charged twice. If your card has been swiped twice, check with your bank on the transaction details of both purchases. The banks then forward the details to the merchant for reversal acceptance of one transaction. Some genuine merchants also offer cash reversal to their clients on the spot in case of double swiping of cards in order to help them save their time and effort for reversal.
Additional Reading: Epic Credit Card Frauds And How to Avoid Them
Possible Options In Case Of Non-Reversal Of Funds
In case the online merchants or card companies fail to revert funds after multiple reminders, consumers have the option of approaching the consumer court.
And if the merchant hesitates to refund the money, the consumer can approach a district forum court. In the case of online transactions, get in touch with the online merchant directly using their ‘Contact Us’ page. You can also use their social media handles, and file a formal complaint. Most genuine online merchants try and resolve all consumer complaints at the earliest as any bad publicity can be detrimental to their business in the long run.
We hope you’ve learnt a lot about Credit Card transactions and reversal of funds, haven’t you? Get in touch with us if you have any questions or comments on the same.