How to Cancel Credit Card Transactions
Credit cards are commonly used by consumers to purchase a variety of goods and services. In situations of fraudulent use or errors from a merchant, you can dispute charges on a credit card. Canceling a credit card transaction is something you want to address as soon as possible. In many cases, the payment is already set up or has gone through, but you have several options.
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Instructions
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1
Consider the type of transaction you made on the card. If you purchased goods at a store, the best thing to do is return to the store. Make sure you have your receipt in hand, along with the purchase. Go to customer service, where an associate can assist you. Explain that you want to return your purchase. The card is then credited by the store, with the amount originally charged to it.
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2
Avoid a transaction "void" if you need the funds quickly. Request that a merchandise "return" is done instead, anytime you return merchandise to a store. Often with a void, it may take days or longer for you to have the money credited to your card.
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3
Call the business to cancel an automatic draft. People set up automatic drafts for utilities, auto payments and countless other services. If the company you have the automatic draft with is not receptive to the cancellation, call the issuing bank for your card and discuss the situation with them. They can provide you with specific information on your complaint and instruct you on the best course of action.
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4
Contact your "issuing bank" directly. The transaction has to post to your account for the issuing bank to know what charge you are citing as an issue. Request a "chargeback" from the merchant. Chargebacks are done in situations where a "billing error" has happened. Billing errors include unauthorized online transactions or purchases that are never delivered to you. Other billing errors are charges for items not representative of what your ordered, and charges for items well beyond a stated date of delivery. In many cases, these chargebacks are performed for items like furniture purchases.
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5
Review specifics on the website for the Office of the Attorney General. The site covers specific details on chargebacks covered in step 4. It also provides valuable information on restrictions on "claims and defenses" chargeback rights. (See link in Resources for the Office of the Attorney General in California.) Check on regulations for Office of the Attorney General, per your specific state in case they differ.
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Tips & Warnings
Always keep your receipts so you can return merchandise or dispute unauthorized charges.
Enroll in online banking with your issuing bank, where you can view account details without waiting for a statement in the mail.
If you perform a chargeback, you may end up on a "blacklist." Some people who request chargebacks are committing fraud. The blacklist is to protect merchants from fraudulent claims by consumers. After placement on a blacklist, any merchant can deny your credit card. You must pay $99 for removal from the list. Always go through the business first to request their assistance with a billing issue. A chargeback is a last resort if a business refuses to help you. See Resources for details.
References
Resources
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