How to Dispute a Credit Card Transaction

By the Aussie Credit Guide editorial team · Reviewed 5 October 2026

A charge you don’t recognise and a purchase that went wrong are handled differently. One is an unauthorised transaction; the other is a dispute with a merchant, which may qualify for a chargeback.

Unauthorised transactions

An unauthorised transaction is one made without your permission, such as when card details are stolen.

1. Contact your card provider immediately and ask for the card to be blocked. Moneysmart’s point is simple: the sooner you contact your bank, the more likely you are to get your money back.
2. Get a reference number.
3. Check recent statements for other transactions you don’t recognise.
4. Change passwords for accounts where the card was saved.

Providers that subscribe to ASIC’s ePayments Code have to take steps to help. Under the Code you are generally not liable for losses from unauthorised transactions you didn’t contribute to, for example where the card was forged or the transaction happened after you reported the card lost. You can be liable for some or all of the loss if you contributed to it, such as by sharing a PIN or delaying a report unreasonably.

Disputes with a merchant: chargebacks

A chargeback reverses a card transaction through the card scheme. It can be requested through your card provider for reasons set by the scheme, including:

• Goods or services paid for but not provided, including when a business has stopped trading.
• Goods that are not as described or are defective.
• Being charged twice or for the wrong amount.
• A cancelled subscription that keeps charging.
• A refund that was promised but not processed.

Before asking for one

Try to resolve it with the merchant first, in writing, and keep the correspondence. Card providers usually ask what you did to resolve it.

Time limits

Chargeback time limits are set by the card schemes and vary with the reason. They are commonly around 120 days from the transaction or from the date the goods or services were due. Ask as soon as it is clear the merchant won’t fix the problem.

What to provide

• The transaction date, amount and merchant name.
• Receipts, order confirmations and any terms shown at purchase.
• Your correspondence with the merchant.

If the provider says no

Ask for the reason in writing, then complain through the provider’s internal dispute resolution process. If you are still not satisfied, you can complain to the Australian Financial Complaints Authority (AFCA) on 1800 931 678. AFCA is free and independent, and time limits apply to lodging a complaint.

Your rights against the merchant

A chargeback is separate from your rights under the Australian Consumer Law. If a chargeback isn’t available, you may still be entitled to a repair, replacement or refund from the business, and your state or territory consumer protection agency can help.

Scams

If you were tricked into authorising a payment, tell your provider straight away and report it to Scamwatch. Payments you authorised are treated differently from unauthorised transactions, so recovery is less certain, and speed matters.

Related guides