Lost or Stolen Credit Cards

What to Do if Your Credit Card is Lost or Stolen

Both the The Fair Credit Billing Act (FCBA) and the Electronic Fund Transfer Act (EFTA) have measures in place that decrease your liability under federal law for unauthorized use of your credit card. Referencing these two acts, the Federal Trade Commission has a detailed list of procedures for you to use if your credit card is lost or stolen.

Did you know that …

- Your maximum liability for unauthorized use of your credit card is $50.
- If you report the loss before your credit card is used, you are not responsible for any
  unauthorized charges.
- If a thief uses your card before you report it, the most you will owe for unauthorized
  charges is $50 per card.
- If your credit card number – but not the credit card itself – is stolen, you have no liability
  for unauthorized use.

In the event of unauthorized activity on your account, the FTC recommends sending a letter to the credit card issuer describing each and every questionable charge. In addition, the FTC recommends sending the aforementioned letter to an address provided specifically for billing errors, not the address to which you send your monthly payment.

See the FTC article: Credit, ATM and Debit Cards: What to do if They’re Lost or Stolen

Posted in Credit Cards, Personal Finance

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