Privacy Virtual Cards
Spending Limits

Set a spending limit and Privacy will decline any transactions that go over the limit

Merchant-Locked Cards

Lock Privacy Cards to the first merchant they’re used at to prevent misuse if stolen

Single-Use Cards

Create Privacy Cards that close automatically after the first purchase is made on them

Pause/Close Cards

Pause or close your Privacy Cards at any time to block future transaction attempts

How To Dispute a Charge and Get Your Money Back

Reviewed by
Feb 17, 2025
 • 
10
 Min Read
Protect Your Payments

Unexpected charges and unresponsive merchants can be frustrating, but as a paying consumer, you have the right to dispute a transaction when something doesn’t seem right. Knowing how to dispute a charge on your card helps you take control of the situation and recover your money. 

To help you navigate the dispute process, this guide breaks down the steps to dispute a charge—from understanding the valid grounds for disputes and gathering evidence to acting within the appropriate timeframe. We’ll also explore how utilizing virtual cards for payments can help minimize disputes by offering enhanced control and security for your online transactions.

What Does It Mean To Dispute a Charge?

A close-up of a person holding a MacBook in their lap and a payment card in one hand
Source: Kaboompics

According to the Fair Credit Billing Act (FCBA)[1] and the Electronic Fund Transfer Act (EFTA)[2], you have the right to dispute charges with your bank or credit card issuer.

When you dispute a charge, you’re claiming that a transaction on your credit or debit card statement is incorrect or unauthorized. The dispute is the initial formal request you send to your card issuer to investigate the charge and, if valid, reverse the transaction.

If your dispute is successful, you receive a chargeback, which is the payment reversal from the merchant.

Common Reasons To Dispute a Charge

A bird’s eye view of a person at a desk with a laptop, phone, papers, and a coffee cup in their hand
Source: Yan Krukau

If you file a charge dispute for the wrong reason, it’s likely to get rejected. To improve your chances of success, it’s important to know the valid grounds for charge disputes, such as:

  • Unauthorized payments—If you didn’t authorize a transaction, it could result from fraudulent activity. This may happen if someone steals your payment card or is impersonating you.
  • Misrepresented products—Sometimes, a product may not match its description or be of poor quality, whether due to physical damage or misleading claims. For example, if you order a jacket advertised as genuine leather but receive one made of synthetic material, you may dispute the charge after returning the item if the merchant doesn't offer a refund.
  • Non-delivery of a product—If a product doesn’t arrive by the promised delivery date and the merchant provides no updates, you may be entitled to get your money back.
  • Billing errors—These errors could be caused by payment processing glitches, a duplicate charge on a single order, or a forced authorization.
  • Recurring charges after cancellation—You might unknowingly continue paying for a subscription after canceling a service. You may not notice these recurring charges until you see them on your statement, leaving you with unexpected costs.

Before deciding to dispute a payment with your bank, card issuer, or payment platform, make sure that the payment was actually illegitimate or incorrect.

How To Dispute a Credit or Debit Card Charge

A bird’s eye view of a woman sitting at a laptop surrounded by open notebooks, holding her head in her hands
Source: energepic

To dispute an unusual charge on your credit or debit card statement, follow these steps:

  1. Review the transaction
  2. Collect sufficient evidence
  3. File the dispute
  4. Follow up and monitor the status

Step 1—Review the Transaction

Before disputing a suspicious transaction, carefully examine it to make sure you have a valid reason for requesting a chargeback. 

Here’s what you can do:

  • Review the merchant information listed on the card statement
  • Check for merchant name variations in case they’re processing payments under a parent company or a different business name, leading you to not recognize the payment.
  • Confirm activities from family members or employees to make sure only authorized users have made transactions.
  • Look out for recurring charges from already canceled subscriptions or ones you may have forgotten about.
  • Consider potential delays in transactions from merchants you might have purchased from in the past. Often, charges from hotels, car rentals, or certain merchants may not appear immediately.

Once you determine the charge isn’t legitimate, try reaching out to the merchant first to potentially resolve the issue without filing a chargeback. If the charge was a mistake on their end, they may be able to fix it quickly. Plus, merchants may prefer issuing refunds over chargebacks since they’re easier and less costly to process.

Step 2—Collect Sufficient Evidence 

When disputing a transaction, providing supporting evidence can significantly strengthen your case. While gathering evidence may not always be feasible for unauthorized or fraudulent transactions, it’s highly recommended for other types of disputes. 

For unauthorized or fraudulent charges, you’ll likely have no receipt, order confirmation, or communication with the merchant to present as evidence. In this case, what you should do is immediately report the issue to your financial institution, which will then initiate a fraud investigation and take corrective actions. 

On the other hand, for disputes related to delivery issues, billing errors, or product quality concerns, you can provide tangible evidence, such as receipts, tracking numbers, or correspondence with the merchant.

Here are some examples of proof you can gather to support your claim:

  • Receipts and order confirmation emails that clearly showcase what you purchased, when the transaction took place, and how much money you spent
  • Any written correspondence with the merchant (whether by email, chat, or letter) that demonstrates your effort to resolve the issue directly
  • Shipment tracking information from the courier service that shows whether a product was shipped, delivered, or lost in transit
  • Return tracking information that verifies you’ve fulfilled your obligation to the merchant
  • Pictures of a damaged or defective product
  • Screenshots of false advertisements, in case a product or service doesn’t match its advertised description

Step 3—File the Dispute

Once you gather enough evidence to support your claim, notify your bank or card provider.

To reach your card issuer or bank, you can call the number on the back of your card, send an email to customer support, or report the issue using the mobile app. To initiate the dispute, you may need to complete a dispute form or provide details online through the financial institution’s portal.

When you file your claim, your card issuer or bank may issue a provisional credit to your account to temporarily cover the disputed amount until the situation is resolved.

Step 4—Follow Up and Monitor the Status

Once you’ve filed a dispute with your issuing bank, it’s important to monitor the progress of your claim. Dispute resolutions may take time as they involve multiple parties, such as the card issuer, the card network, the merchant’s bank, and the merchant.

To stay proactive while you wait for the resolution, take these measures:

  • Regularly check for notifications regarding the status of your dispute, including requests for additional information or evidence.
  • If your bank contacts you for further details, respond as quickly as possible.
  • Maintain a record of all interactions with your bank, including dispute confirmation numbers, emails, and notes from phone conversations.
  • Watch for updates on your credit or debit card statement.
  • Follow up if there’s been no progress or communication for an extended period.

How Long Do You Have To Dispute a Charge?

A close-up image of a laptop showing a retail site, with a hand next to it holding a red payment card
Source: Negative Space

While card issuers might allow up to 120 calendar days[3] from the transaction date to dispute a charge, the timeline can vary depending on the nature of the dispute and your card network. If you’re not sure about your financial institution’s deadline for disputing a transaction, check your contract or cardholder agreement or contact customer support for clarification.

For merchants, the standard response time to a charge dispute request is usually 30 days[4], though this timeframe may vary depending on the card network. However, the actual waiting period may be longer as merchants don’t hear directly from the card services but from their banks, and it could take a while for them to be notified of your dispute. 

Can You Cancel a Credit or Debit Card Dispute?

Yes, you can cancel a credit or debit card dispute if the issue is resolved in the meantime—for example, you finally receive the merchandise or service as promised.

A bird’s eye view of a person’s hands typing on a keyboard while holding a black payment card
Source: cottonbro studio

As long as the card issuer hasn’t initiated the chargeback, you can cancel the dispute by contacting them without providing a reason for cancellation. However, if a chargeback has already been processed, the process may take longer.

What To Do if Your Credit or Debit Card Dispute Is Denied

If you don’t win your credit or debit card dispute, you’ll be responsible for paying the disputed charge, and any provisional credit you received will be reversed. You should receive an explanation from your card issuer outlining why the dispute was rejected.

Some common reasons for dispute denial include:

  • Inaccurate information
  • Insufficient evidence of an error or unauthorized charge
  • The charge is too old
  • The charge was made outside the U.S.
  • No proof of returned merchandise
  • Failure to attempt resolution with the merchant

If you disagree with the verdict, you can appeal in writing within ten days of getting the explanation or before the payment deadline, whichever is later[5]. Additionally, you can request documentation supporting the issuer's findings.

If your dispute is still rejected, you can take further action by:

  1. Filing a complaint with the Consumer Financial Protection Bureau (CFPB)[5] or a consumer protection agency
  2. Consulting an attorney for legal advice
  3. Settling the dispute with the merchant through small claims court or arbitration[6] 

Challenges With Filing Card Payment Disputes

While disputing a charge is an important consumer protection tool, several challenges can make the process frustrating for cardholders. These include:

  • Strict and limited timelines for filing disputes
  • Complex filing steps and extensive documentation requirements
  • Prolonged resolution times, which can be weeks or months
  • No guarantee that the dispute will have a favorable outcome

Fortunately, there’s a payment method that puts you in greater control of how much and how often merchants can debit your account—virtual cards.

Virtual cards shield your real card information, reducing the risk of fraud. For comprehensive security and enhanced card control, consider using a reliable virtual card from a dedicated provider like Privacy. With Privacy, you can generate one-off virtual cards and set spending limits to protect yourself from unauthorized charges. You can also enjoy bank-level security and advanced spending controls, avoiding the need for file disputes.

Shop Securely With Privacy Virtual Cards 

Privacy, a BBB®-accredited virtual card provider trusted by over 250,000 users, offers a secure way to manage online payments. By linking your bank account or debit card, you can generate virtual cards with unique 16-digit numbers, expiration dates, and CVVs that work like regular cards at checkout.

The platform lets you generate three types of cards based on the level of protection you require:

Type of Card Purpose
Single-Use Cards These virtual cards are designed for one-time transactions and automatically deactivate shortly after first use, making them useless to potential hackers. They’re ideal for purchases on unfamiliar or less-trusted websites.
Merchant-Locked Cards These cards “lock” to the first vendor you use them with, ensuring they can only be used for transactions with that merchant. Any attempt to use these cards elsewhere will be declined. They’re excellent for recurring payments, such as bills and subscription services.
Category-Locked Cards Category-Locked Cards are designed for use within a single spending category, such as retail, education, or fitness, which makes them a powerful tool for budgeting and expense management. Any transaction outside the assigned category is automatically rejected, ensuring controlled and purposeful spending.


Privacy allows you to set a custom spending limit to avoid billing errors, such as hidden fees, duplicate charges, and incorrect amounts. Any transaction exceeding the limit is automatically declined. You can also pause or close your virtual card, and Privacy will decline all charges to them. This helps you avoid accidental charges, such as those that may occur when canceling a subscription.

Disputing a Charge on Privacy

If you encounter an issue with a charge made using your Privacy Virtual Card—such as receiving damaged products or being unable to secure a refund from the merchant—you can dispute the charge directly within the platform.

Follow these steps to file a dispute on Privacy:

  1. Select the transaction you want to dispute.
  2. Select the reason for disputing the transaction.
  3. Explain why you’re filing the dispute.
  4. Share supporting evidence, such as screenshots, receipts, or emails.
  5. Sign the application.

Additional Privacy Features

Privacy enhances your virtual card management and online shopping experience with added convenience features, which you can find in the table below:

Feature Description
Privacy Browser Extension The extension effortlessly integrates with your browser, offering quick and secure autofill of your virtual card details during checkout. It's compatible with Edge, Firefox, Chrome, Safari, and Safari for iOS.
Privacy App With our mobile app, available on both iOS and Android, you can easily generate and manage virtual cards, set spending limits, and track transactions.
1Password Integration The 1Password integration allows you to securely store and autofill card details and passwords in the password manager’s browser extension, eliminating the need to memorize or manually input them.
Shared Cards Privacy enables you to share card details securely with trusted individuals—such as family or friends—allowing you to share your budget without exposing your actual card number.
Card Notes This feature lets you attach personalized labels to each virtual card, helping you keep track of its usage. For example, you can add a note like "Gym Membership" to your sports and fitness Category-Locked Card for easy reference.

Getting Started With Privacy

To join Privacy, follow these steps:

  1. Visit the signup page and create an account 
  2. Input the required details to verify your identity
  3. Link the account to a funding source, such as your debit card or bank account
  4. Submit the request to get your first virtual card

You can choose from one of the four plans Privacy offers to cater to different consumer needs:

Plan Price Number of New Virtual Cards per Month Benefits
Personal Free for domestic transactions only 12
  • Single-Use & Merchant-Locked Cards for secure transactions

  • Set spending limits and pause or close cards anytime

  • Quick and secure checkout with the Privacy Browser Extension and Privacy App

Plus $5/month 24
  • All Personal plan features

  • Priority support and Live Chat (Mon–Fri, 9 a.m.–5 p.m. ET)

  • Features like Category-Locked Cards, Shared Cards, and Card Notes

Pro $10/month 36
  • All Plus plan features

  • Zero-fee foreign transaction

  • 1% cashback on eligible purchases (up to $4,500/month)

Premium $25/month 60
  • Everything in Pro

References

[1]Federal Trade Commission. https://www.ftc.gov/legal-library/browse/statutes/fair-credit-billing-act, sourced January 14, 2025
[2]Federal Trade Commission. https://www.ftc.gov/legal-library/browse/statutes/electronic-fund-transfer-act, sourced January 14, 2025
[3]Mastercard https://www.mastercard.us/content/dam/mccom/en-us/documents/rules/chargeback-guide.pdf, sourced Febuary 3, 2025 
[4]Chargeback Gurus https://www.chargebackgurus.com/blog/dont-run-out-the-clock-understanding-chargeback-time-limits, sourced February 3, 2025
[5]Federal Trade Commission. https://consumer.ftc.gov/articles/using-credit-cards-and-disputing-charges, sourced January 14, 2025
[6]Chargebacks911. https://chargebacks911.com/chargeback-legal-process/, sourced February 3, 2025
Privacy — Seamless & Secure Online Card Payments
Sign Up