Finding and Fixing Errors on Your Credit Card Bill

Everyone makes mistakes sometimes, and credit card companies are certainly no exception. It's important that you go over your monthly statement and credit card bill very carefully each month to be sure that you're only paying what you really owe. In order to do that, it's important that you know how to read your bill. Many credit card companies actually include a little 'How to read your bill' leaflet with your bill, and it's worth your while to go over it so that you recognize how the different charges and fees on your account are noted. In general, though, you should look for the following things:

1. Compare your credit card bill with your receipts and records. Look for any charges that you can't account for.
2. Check your finance charges and other fees to be sure that they're accurate.
3. Check the math - though that's the least likely place to find an error, it has been known to happen.

If you find an error on your credit card bill, the Fair Credit Billing Act gives you certain rights to defend against unfair charges, provided that you make notification in the appropriate way. You can use this act to help you take care of billing errors, unauthorized use of your account, things charged to your account that you didn't receive, and charges that you dispute. Here's what you should do if you find errors on your bill.

1. Write to the credit card issuer within 60 DAYS of the first time the disputed charge appeared on the bill. It's possible to dispute a charge after 60 days if you were only recently made aware of the problem, but the circumstances must be extenuating.
2. Your letter should include your NAME, ADDRESS, ACCOUNT NUMBER, AMOUNT and DATE of the DISPUTED CHARGE, and a FULL EXPLANATION of why you are disputing the charge.
3. Be sure to send the letter of dispute to the right address. Do not include it with your bill payment. Look for the address on your bill to which disputes or problems with your bill should be sent. If you want to be certain that it's received, you can send it by certified mail, return receipt requested.
4. If you notify the credit card company properly, they must:
   a) acknowledge receipt of your letter within 30 days
   b) investigate the charge within 90 days
   c) make no attempt to collect the disputed amount till the investigation is complete
5. Specifically, while the amount is in dispute, the credit care company can not:
   a) report the amount as delinquent
   b) take action to collect the amount
   c) restrict or close your account