How to Sue for Credit Card Fraud

You can sue to recover the amount of unauthorized purchases.

Credit card fraud occurs when a person other than the privileged cardholder or authorized buyer(s) makes purchases without the permission and/or knowledge of the account holder. Credit card fraud is a form of identity theft and is criminally punishable. If you are the victim of credit card fraud, the law allows you to file a lawsuit against the individual(s) who used the credit card an amount equal to the unauthorized purchases, plus and court costs and fees. If you have an attorney file, the attorney's fee would be included as well.

Things You'll Need

• Receipt copies of the unauthorized purchases
• Filing documents
• Service processor

Instructions

1. Gather all documents related to the account and unauthorized purchases. These documents will include your credit card statement and the receipts from the unauthorized purchases. If you do not have the receipt(s), go to the establishment where the credit card was used and ask the merchant for a duplicate copy.

2. Determine the venue and the appropriate court to file suit. You must file the lawsuit in the county in which the defendant (the person or persons who made the unauthorized purchase) lives. Depending on the amount, you'll be filing in small claims court or civil circuit court. The amount, known as the jurisdictional amount, will differ among jurisdictions, but in many places the small claims court handles cases involving under $5,000 and cases with amounts above that are filed in civil circuit court.

3. File the lawsuit. Visit or phone the Clerk of the Circuit Court's Office in the appropriate jurisdiction and ask for a schedule of fees and the necessary filing documents. The documents will differ depending on the jurisdiction, but will include forms for your full name and address, the defendant's full name and address, the amount you are seeking to recover, and the facts of the case.

4. Serve the defendant. This informs the defendant of the lawsuit. A service processor or the county sheriff's office can do this for a fee; fees will vary, so get a few quotes for the best price. Once served, the defendant typically has 20 days to respond through the court by filing an answer to the lawsuit. If the defendant does not respond within that time frame, the court will find for the plaintiff by default.

References

• Credit card fraud
• Credit card fraud - it happens all too frequently
• Interview with Bob and Sue Smith, Victims of Debit-Card Fraud

Resources

• FTC Tips: Credit and Consumer Rights