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Last reviewed: 6 October 2026

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Unauthorized charges: how credit card and debit card protections differ

Two different federal rules apply. For a credit card, Regulation Z limits your liability for unauthorized use to the lesser of $50 or what the thief obtained before you notify the issuer.[1] For a debit card or other electronic transfer from your bank account, Regulation E sets $50 and $500 tiers that run from learning of the loss or theft of the access device, and a separate 60-day rule for transfers that appear on a statement, with no fixed dollar cap on transfers after that window.[2] This page puts the two side by side. It reports the rules; it does not recommend a card.

The short version

Side by side

Credit card (Regulation Z)Debit card or account transfer (Regulation E)
What counts as unauthorizedUse of the card by a person other than the cardholder who has no actual, implied or apparent authority, and from which the cardholder receives no benefit.[1]An electronic fund transfer from your account started by a person other than you without actual authority, and from which you receive no benefit. The definition has listed exclusions.[3]
Cap on what you can oweThe lesser of $50 or the money, property, labor or services obtained by the unauthorized use before you notify the issuer.[1]Where the access device is lost or stolen. Notice within two business days after learning of the loss or theft: the lesser of $50 or the unauthorized transfers before notice. Otherwise: the lesser of $500 or $50 (or the unauthorized transfers within the two business days, if less) plus later transfers the institution shows would not have occurred with timely notice.[2]
Transfers shown on a statementNot a separate step in the liability section. The billing error process has its own 60-day window (below).[1][4]You must report an unauthorized transfer on a periodic statement within 60 days of the statement being sent. If you do not, your liability for transfers after those 60 days is the amount of unauthorized transfers that the institution establishes would not have occurred had you notified it within the 60 days. This is the operative limit when no lost or stolen device is involved. Where an access device is involved, the $50 and $500 amounts may also apply.[2]
When you can be held liable at allOnly if the card is an accepted credit card, the issuer gave adequate notice of your maximum potential liability and how to report a loss, and the issuer provided a means to identify the cardholder or authorized user.[1]Only if the institution gave the required disclosures. If an access device was involved, it must be an accepted access device and the institution must have provided a means to identify the person it was issued to.[2]
How you can notifyIn person, by telephone or in writing. Notice is given when you take the steps reasonably required in the ordinary course of business, whether or not a particular employee receives it.[1]In person, by telephone or in writing. Written notice is considered given when you mail it or deliver it for transmission by any other usual means.[2]
Late notice for good reasonThe section does not say.[1]If a delay was due to extenuating circumstances, the institution must extend the time limits to a reasonable period.[2]

What happens after you report

Credit card (billing error)Debit card (error resolution)
Is it covered?A “billing error” includes a charge on a statement for credit not made to you or to a person with actual, implied or apparent authority to use your card.[4]An “error” includes an unauthorized electronic fund transfer.[5]
Your noticeMust be in writing and reach the creditor at the address shown on the statement no later than 60 days after it sent the first statement showing the error. It must identify your name and account number and, where possible, say why you believe there is an error and its type, date and amount.[4]May be oral or written, received no later than 60 days after the institution sends the statement showing the error. The institution may require written confirmation within 10 business days of an oral notice, if it tells you so.[5]
TimelineThe creditor must acknowledge in writing within 30 days, and resolve the matter within two complete billing cycles, and in no event later than 90 days.[4]The institution must determine whether an error occurred within 10 business days. If it needs longer, it may take up to 45 days if it provisionally credits your account within 10 business days. It must report results within three business days after finishing and correct an error within one business day after determining it occurred. Longer periods apply in the cases below.[5]
Money during the investigationSee our guide to disputing a credit card charge for what the issuer must and must not do while it investigates.With a provisional credit, you get full use of the funds during the investigation. If the institution has a reasonable basis to believe a transfer was unauthorized and has met the disclosure condition, it may withhold up to $50 from the credit.[5]

Regulation E extends these periods in some cases. The 10 business days becomes 20 business days if the error involves a transfer to or from the account within 30 days after the first deposit to the account. The 45 days becomes 90 days if the transfer was not initiated within a state, resulted from a point-of-sale debit card transaction, or occurred within 30 days after the first deposit.[5]

What these rules do not cover

Your next step

The rules above turn on when and how you notify the issuer or bank: a credit card billing-error dispute needs a written notice; a bank accepts oral notice but may require written confirmation within 10 business days. A record of the date, method and content of each notice shows when you notified. If a company will not fix it, see where to file a credit, debt or scam complaint. If the account was opened or used by an identity thief, see blocking fraudulent information from your credit report. To check a company that offers credit help, use the Register and our guide to checking a company yourself.

When we will update this page

We revisit it when the cited regulation sections change. Sources last read 6 October 2026.

What you can do next

References

  1. 12 C.F.R. § 1026.12, "Special credit card provisions", Legal Information Institute, Cornell Law School (unofficial text), read 6 October 2026.
  2. 12 C.F.R. § 1005.6, "Liability of consumer for unauthorized transfers", Legal Information Institute, Cornell Law School (unofficial text), read 6 October 2026.
  3. 12 C.F.R. § 1005.2, "Definitions", Legal Information Institute, Cornell Law School (unofficial text), read 6 October 2026.
  4. 12 C.F.R. § 1026.13, "Billing error resolution", Legal Information Institute, Cornell Law School (unofficial text), read 6 October 2026.
  5. 12 C.F.R. § 1005.11, "Procedures for resolving errors", Legal Information Institute, Cornell Law School (unofficial text), read 6 October 2026.

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