9 Things to Do If You Find a Fraudulent or Suspicious Charge on Your Credit Card Statement

Any consumer would expect for the best credit card programs to deploy numerous safety features to help protect them from unauthorized transactions. Providers that claim to have the safest credit card in the market today also adhere to world-class security standards such as the Payment Card Industry Data Security Standard (PCI-DSS) 4.0 to keep user data private and ensure the integrity of every transaction. A credit card that can be linked to mobile banking apps should also present the cardholder with the ability to use dynamic CVVs and to lock and unlock the card at any time—options that provide an additional layer of protection against fraudulent transactions and exploitation from bad actors. 

However, no system is foolproof, and fraudulent or suspicious charges can still occasionally slip through. That’s why it’s important to have a plan in place for when you discover unauthorized activity on your statement. If you find a suspicious charge on your credit card, acting quickly can minimize potential damage and help you avoid similar issues in the future. To that end, here are practical steps to take when you spot a fraudulent or suspicious charge on your statement:

1) Keep Calm and Verify the Charge

Before panicking, first confirm whether or not the charge is legitimate. Backtrack your transactions and double-check your receipts, subscriptions, or recent purchases to confirm whether the transaction might be linked to something you forgot. Sometimes, merchants use different names on credit card statements, which can cause confusion and make a transaction suspicious at first glance. If you’re unsure, contact the merchant directly to inquire about the charge.

2) Notify Your Card Issuer Immediately

If the charge is indeed fraudulent or unrecognizable, you should contact your credit card issuer as soon as possible. Most credit card companies have 24/7 customer service hotlines specifically for handling disputes and fraud reports. 

Inform them about the unauthorized charge and provide any relevant details. Reporting the incident quickly can be one of the most effective ways to prevent further unauthorized transactions and protect your account.

3) Lock or Freeze Your Card to Prevent Further Use

As mentioned before, many credit card issuers now offer the option to temporarily lock or freeze your card through their mobile apps or online banking platforms. Make use of this capability to ensure that no additional charges can be made while the investigation is ongoing. Once the issue is resolved, you can unlock your card and resume its normal use.

4) Dispute the Charge and Present Credible Evidence

After locking down your account, the next move would be to file a dispute with your card issuer for the fraudulent transaction. The issuer will typically reverse the charge temporarily while they investigate. 

Be prepared to provide documentation, such as receipts or transaction records, to support your claim. Most card issuers have specific timelines for filing disputes, so make it a point to act promptly.

5) Continue to Monitor Your Account Closely 

While your card issuer investigates, keep an eye on your account for any additional suspicious activity. Review your statements regularly and consider enabling real-time transaction alerts, which are designed to notify you whenever a charge is made to your account. This can help you catch unauthorized transactions sooner in the future.

6) Change Your Account Details to Prevent Further Issues

If the fraud appears to be part of a larger breach, your card issuer may recommend canceling your card and issuing a new one with a different number. This may be inconvenient for a while, but it’s a vital step to prevent further unauthorized transactions from eating away at your finances. Once you’ve canceled the card, update any automatic payments or subscriptions linked to your card to avoid service disruptions.

7) Strengthen Your Security Measures Further

Now would also be a good time to take additional steps to protect your account from future incidents. Make sure to use strong, unique passwords for your online banking and credit card accounts, and enable two-factor authentication if your card issuer presents you with this option. 

Avoid sharing your credit card details over unsecured networks or with unfamiliar merchants, too. Staying extra vigilant about your online and offline security habits in this way can make a significant difference towards securing your financial information and preventing others from using it without your consent. 

8) Report the Incident to Law Enforcement Authorities

In some cases, it’s a good idea to report the fraud to local law enforcement, especially if the amount involved is significant or if you think the event is a part of a larger scam. Having a police report can support your case when dealing with your card issuer and be of great help to authorities who are tracking down the perpetrators.

9) Educate Yourself About Fraud Prevention

Fraud is a crime that changes forms all the time, and it’s in your best interest to learn how to recognize it. Familiarize yourself with what phishing attempts and fake websites look like so that you can avoid them. Also, make every effort to protect your credit card information and which details you shouldn’t share with anyone. Only by staying fully informed about the latest fraud trends and schemes will you be able to identify and avoid potential threats.

Knowing how to respond to a fraudulent or suspicious charge on your credit card will give you the confidence to act quickly and decisively, which will make all the difference when it comes to your finances. Follow these steps to minimize the impact of unauthorized transactions, safeguard your financial information, and prevent future incidents—and seek the support of a reliable issuer, like Maya for your Landers Cashback Everywhere Credit Card, to keep you safe as a cardholder.