Can You Go To Jail For Disputing Charges?


Fraudulent disputes are ways people use to file a false chargeback for a particular merchant. 

There isn’t any big deal disputing a charge, probably you found out about a particular transaction that wasn’t authorized by you, and you can file a dispute for a refund of money.


However, while this process won’t lead you to Jail, trying to fraudulently charge a merchant could land you in jail if the merchant decided to take legal action.

If you want to know if you can go to Jail for filing a dispute, then you can keep reading.


Can You Go To Jail For Disputing Charges


Disputing a charge is completely legal, and has been regulated by the Fair Credit Billing Act of 1975, which protects customers from unfair and unfavourable billing practices.

If you had noticed a particular transaction that wasn’t done by you, you can simply request a chargeback from the card issuer.

Therefore, filing a transaction dispute is completely legal, and won’t get you to Jail, but on the other thoughts, people engage in filing false transaction disputes, to receive money as a refund.

If this is your intention, then you can get to jail, because merchants or buyers also have the legal right to take things up, legally, for falsely filing a transaction dispute.


Falsely disputing a transaction, is also a violation of credit card terms, simply, you are using such means to get money from someone.

In order not to file a wrong transaction dispute, it is very necessary to periodically check your transaction history, and make track of all made transactions.

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What Are Valid Reasons for Disputing a Credit Card Charge?


There are several reasons why people dispute ama charge, however, some of the reasons why you will see people requesting a refund of money are as follows:


Buyers – Sellers Dispute

This is a common dispute that does happen between the buyer and the seller, Online shopping work on an order and delivered fashion.

You order something, by making payment for it, and after some working days, you will get your products delivered to your address.

However, sometimes, people do not receive any goods, and therefore, will have to make transactions dispute, requesting a refund of Money, directly from the cardholder.


Failure to Recognize a particular transaction

This is also another frequent reason why most people engage in transaction disputes, times when you are unable to figure out a particular transaction on your bank statement.

You can file a transaction dispute, for such cases, however, in cases like this, you must critically review all transactions, to ensure that you aren’t the one who had made the transaction.



Most payment gateway does have certain errors, that may be a result of network glitches, or probably maintenance, that could cause double debit of the seller’s card.

Therefore, to get a refund of the second money that has been debited from your account, you can simply make a transaction dispute, in the request for a refund of money.


Fraudulent Activities

Most people could fraudulently use your bank card to make a payment online, without authorization from you. If you discover this, you can simply file a transaction dispute with the cardholder.


How to Dispute a Fraudulent Charge?


Fraudulent charges are something you should certainly take seriously, if you had identified a transaction that wasn’t done by you, you are to contact your bank or the financial institution, issuing your card.

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Fraudulent Charge does come in different forms, and whenever you identify such a case(s) of fraud on your card, there are two ways you could dispute a fraudulent charge for that transaction.


Via Online

This is one of the ways you can easily dispute a transaction on your card, either internet banking or mobile banking will work just fine. Therefore, you will have to fill in some information regarding the dispute and so on.

You will be contacted via email, for the next action.


Contacting Your Card Issuer Customer Care

This Method Seems Fast and Likely to Get a Faster Response. You Can Get Your Card Issuer Contact Number from Their Official Website.

Once you call them, you will be asked for certain information, associated with the transaction dispute.


How to File a Credit Card Dispute


The process of filling a card dispute isn’t as difficult as you may think, it is totally simple and easy. All you have to do is to identify the particular disputed transaction and ensure that you aren’t the one getting things wrong.

If everything is right on your side, then you can simply report the case to your bank, this could be done either by filling the dispute online or rather you can contact your bank customer service.

Discuss the issue with them, and you will have to wait for a response, in favour of a monetary refund.


What Happens if I Accidentally Commit Chargeback Fraud?


If you had accidentally, not intentionally, committed a chargeback fraud, you should not be afraid that legal rights will fall upon you.

You can simply contact your bank customer care, and explain things to them, so they could reverse the Chargeback you filed earlier.



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Video Guide






Chargeback is a way to provide total control to credit or debit card users, over the flow of money on their account, therefore, it is completely legal to get a chargeback whenever you identify an unauthorized transaction, or probably when a merchant has refused to deliver the product.


You can request a chargeback, by filling a transaction dispute, and after some time, you will get your money refunded back to you.

However, most customers do engage in a fraudulent charge to get a false money refund, this intent, can, therefore, lead someone to jail, if the merchant decides to employ legal rights.

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