CREDIT CARD PROTECTIONS ?

Federal law protects consumers when they use credit cards.

Protections include the following items:

Prompt Credit for Payments. A card issuer must credit your

account on the day the issuer receives your payment, unless the

payment is not made according to the creditor's requirements or the

delay in crediting your account does not result in a charge.

Refunds of Credit Balances. When you return merchandise or pay

more than you owe, you have the option of keeping the credit

balance on your account or requesting a refund. To obtain a refund,

write the card issuer. The card issuer must send you the refund

within seven business days of receiving your request. Also if a credit

balance remains on your account for more than six months, the card

issuer must make a good faith effort to refund the credit balance.

Errors on Your Bill. There are specific rules that the card issuer

must follow for promptly correcting billing errors. The issuer must

furnish you a statement describing the rules when you open a credit

card account and at least once a year after that. Many issuers print

your rights on their monthly billing statements. You must notify the

issuer in writing at the address specified for billing errors within 60

days after the first bill containing the error was mailed to you. The

issuer must look into the problem and either correct the error or

explain to you why the bill is correct not later than 90 days after the

issuer receives your billing error notice. During that period you do

not have to pay the disputed amount or interest on that amount.

Unauthorized Charges. If your credit card is used without your

authorization, you can be held liable for up to $50 per card. If you

report the loss before the card is used, federal law says the card

issuer cannot hold you responsible for any unauthorized charges. If

you have a lost or stolen credit card, report the loss as soon as

possible. Most issuers have a toll-free number in service 24 hours.

You should follow-up your phone call with a letter.

Disputes About Merchandise or Services. If you have a problem

with merchandise or services that you charged to a credit card and

have made a good faith effort to work out the problem with the

seller, you have the right to withhold from the card issuer payment

for the merchandise or services. If the card you used is a bank card

or another card not issued by the seller of the defective

merchandise, you can withhold payment only if the purchase

exceeded $50 and occurred in your home state or within 100 miles

of your billing address.