What Your Bank Must Actually Do After You Dispute a Charge

Provisional credit, investigation windows, and what a denial has to include. Your bank's obligations after you file are specific and written down — here is what they are and how to hold them to it.

Filing is the part you control; this is the part they owe you

Most dispute advice stops at "call your bank." What happens next is governed by specific, written obligations with dates attached. Knowing them changes the conversation from asking a favour to asking for compliance.

Debit and other electronic transfers — Regulation E

The investigation window

Once you notify the bank of an error, it must promptly investigate and generally determine within 10 business days whether an error occurred.

If it cannot finish in that time, it may take longer — but taking longer is what triggers the provisional-credit obligation.

  • 20 business days instead of 10 where the notice concerns a transfer on an account open less than 30 days.
  • 45 days total for a standard investigation once extended.
  • 90 days total where the transfer was point-of-sale, foreign-initiated, or on an account open less than 30 days.

Provisional credit

Where the bank takes the extended time, it must generally credit the disputed amount — including any lost interest — within 10 business days of receiving your notice, so that you have use of the money while the investigation runs.

Two conditions to know. The bank may require you to give written confirmation of an oral notice within 10 business days, and if it asked and you do not, the provisional-credit obligation may not apply. And the credit is provisional in the literal sense: it can be reversed.

When the investigation ends

  • Error found: correct it within 1 business day of the determination.
  • Report: the bank must tell you the result within 3 business days of finishing.
  • No error found: it must send a written explanation and tell you that you may request the documents it relied on. Ask for them. Always.
  • Reversing provisional credit: it must notify you of the date and amount, and for a short window afterwards honour items that would not have bounced had the funds remained.

Credit cards — Fair Credit Billing Act

Acknowledgement and resolution

  • 30 days to acknowledge your written billing-error notice.
  • Two complete billing cycles, and never more than 90 days, to resolve it.

While it is pending

The creditor may not require you to pay the disputed amount, may not treat it as delinquent, and may not report it as such to credit bureaus on the basis of the dispute. You do still have to pay the undisputed rest of the balance — a point worth reading twice, because paying nothing is a common and costly mistake.

When it concludes

If a billing error occurred, the creditor corrects it and credits any related finance charges. If it concludes there was no error, it must explain in writing, and you may request the supporting documentation.

The three things that most often go wrong

"We already closed it." A closure without a written explanation, on a Regulation E error, is not a completed process. Ask for the written determination and the documents relied on, in writing, and reference the section.

The merchant's rebuttal you never saw. Most denials rest on evidence the merchant supplied — a signed receipt, an IP log, a delivery confirmation, a cancellation policy. It is frequently answerable, and sometimes plainly about a different transaction. You cannot rebut what you have not read, which is why requesting the documents matters more than restating your case.

Filing under the wrong theory. "I did not authorize this" and "I authorized it but never received the goods" travel down different tracks with different evidence. Claiming fraud on a charge you did make, because it feels faster, tends to end in a denial that is harder to reopen than the accurate claim would have been.

Practical record-keeping

Keep, in one place: the date the statement was sent, the descriptor exactly as printed, the amount and date, the date and channel of every contact, the name of whoever you spoke to, the case or claim reference, and copies of everything you sent. If the dispute goes to a regulator, this file *is* the case.

If it stalls

Escalate in writing to the bank's complaints function first, citing the specific obligation and date missed. If that does not resolve it, complain to the CFPB, and to your state banking regulator or attorney general. Complaints citing a specific missed obligation — "provisional credit was not issued within 10 business days and no written determination was provided" — get further than complaints describing frustration.

Sources

  1. Regulation E § 1005.11 — Procedures for resolving errors — Consumer Financial Protection Bureau
  2. Regulation Z § 1026.13 — Billing error resolution — Consumer Financial Protection Bureau
  3. 12 CFR Part 1005 — Electronic Fund Transfers (Regulation E) — Electronic Code of Federal Regulations
  4. 12 CFR Part 1026 — Truth in Lending (Regulation Z) — Electronic Code of Federal Regulations
  5. Using Credit Cards and Disputing Charges — Federal Trade Commission

Frequently Asked Questions

Am I always entitled to provisional credit?

No. Provisional credit is a Regulation E mechanism that applies when the bank cannot complete its investigation within the initial 10-business-day window and chooses to take the extended time. A bank that finishes inside 10 business days and finds no error owes no provisional credit. It is also conditional — a bank may require your written confirmation of an oral notice before it is obliged to provide it.

Can the bank take provisional credit back?

Yes. If the investigation concludes no error occurred, the bank may reverse provisional credit — but it must notify you first, explain the finding in writing, and honour for a short period afterwards items that would not have bounced had the credit remained. Reversal without that notice is not compliant.

What can I do if the bank simply denies it?

Ask in writing for the documents it relied on — you are entitled to an explanation and to copies of the evidence behind the determination. Very often the denial rests on a merchant rebuttal you have never seen, and reading it tells you exactly what to rebut. If that route stalls, complaints to the CFPB and your state regulator are the next step.

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