What is a Fair Credit Billing Act?

The Fair Credit Billing Act is a federal law that protects consumers in Delaware from errors on their credit card statements and gives them the right to challenge charges they believe to be inaccurate or unauthorized. There are certain requirements that must be met for a consumer to invoke the law, such as the amount in dispute must be over $50, the billing must be for goods or services that were not delivered or performed as agreed in the original contract, and the dispute must be submitted in writing to the issuer of the card within 60 days of the date of the statement. Under the Fair Credit Billing Act, consumers have the right to dispute billing errors, including unauthorized charges, incorrect charges, billing for goods not received, incorrect dates or incorrect amounts charged. Disputes can be submitted either in writing or by telephone to the card issuer. If the card issuer cannot resolve the dispute, the consumer may have the right to withhold payment on the disputed amount until the dispute is resolved. The card issuer is then required to investigate the dispute and provide the consumer with a written response. If the dispute is found to be truthful, the card issuer must remove the charge from the consumer’s account and may also be required to provide a refund, depending on the circumstances.

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What is a Fair Credit Billing Act?

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