My travel companion and I were going to travel throughout Europe but plans changed due to Coronavirus. We contacted the credit card company Citibank Visa (through Costco) to notify them since we were not getting refunds and shortly thereafter they started to show up on the statements but not for the full amounts. Do the credit card companies now charge a fee (about 10 percent) to process these disputes/transactions? Thanks!
Do credit card companies charge a fee to do a process a dispute?
- Thread starter eduardo1
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They don't have fees. It could be based on some information you gave them or what you said in the dispute. What information have you gotten from your credit card regarding the disputes?
Be ware that the credits are temporary and could be reversed depending upon why you're disputing it.
Be ware that the credits are temporary and could be reversed depending upon why you're disputing it.
Can you explain what type of credit you got? and if you filed a chargeback claim to Citi?
If you get a refund from a company in Europe, maybe the rate USD/EUR changed, maybe there were some penalities fees.
If you made a chargeback claim to Citibank, they will just reversed 100% of the amount, investigate, and then decide what to do.
If you get a refund from a company in Europe, maybe the rate USD/EUR changed, maybe there were some penalities fees.
If you made a chargeback claim to Citibank, they will just reversed 100% of the amount, investigate, and then decide what to do.
The Fair Credit Reporting Act does not authorize any fee to process a dispute.
If funds had to be converted from a foreign currency, a bank will typically charge a conversion fee. I've seen such fees as high as 3% off an exchange rate not available to us. (Typically, it's off the rate for $100,000 or more at a time.)
If funds had to be converted from a foreign currency, a bank will typically charge a conversion fee. I've seen such fees as high as 3% off an exchange rate not available to us. (Typically, it's off the rate for $100,000 or more at a time.)
My experience with Bank of America suggests that if the Euro is trading at $1.16 (as reported in the WSJ or at XE.Com), B of A will charge me $1.20. The currency trading office a few steps from my office (and 18 miles from my kitchen table) would charge me $1.22, and would reluctantly match B of A. The rate B of A charged me was similar to Wells Fargo. Thus, I don't believe a 10% difference can be explained by currency differences unless the refund was priced in a very thinly traded currency.
If they are obtaining refunds from a European hotel, there might be two conversions- one from the hotel and another from the bank itself or the bank might have a foreign transaction fee. I don’t know that Citi offers free foreign transactions on their cards.
UPDATE: We found out it was the exchange rate that caused the difference. Thanks to everyone who provided thoughts/comments!!!