Fair Credit Billing Act (FCBA)
Understand your rights under federal law to dispute billing errors and remove unfair late payments
What is the Fair Credit Billing Act?
The Fair Credit Billing Act (FCBA) is a federal consumer protection law that provides a mechanism for consumers to dispute billing errors on their credit card accounts and protect their credit scores from unfair late payments.
CFPB Official Interpretation
"The FCBA provides a specific process for resolving billing errors on credit card accounts and other 'open end' credit accounts. This process gives consumers important rights and imposes strict deadlines on creditors."
Source: CFPB Supervision and Examination Manual, Section 1026.13
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Unauthorized charges
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Charges with wrong amounts
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Mathematical or accounting errors
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Failure to credit payments or returns
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Failure to send statements to correct address
Reference: 15 U.S.C. § 1666(b)
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60-day dispute window
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Creditor must acknowledge within 30 days
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Resolution required within 90 days
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No negative credit reporting during investigation
Reference: Regulation Z, 12 CFR § 1026.13(c)
Dispute Resolution Process
Step 1: Written Notice Required
​Send written notice to creditor's designated address within 60 days of the first bill containing the error.
​CFPB Guidance: Notice must be received at "designated address" - 12 CFR § 1026.13(b)
Step 2: Creditor's Investigation
Creditor must complete investigation and either correct error or explain why they believe bill is correct.
CFPB Interpretation: Commentary to 12 CFR § 1026.13(c)(2)
Step 3: Removal of Late Payments
If billing error is confirmed, related late payments must be removed from credit reports.
FCBA Section 161(b), 15 U.S.C. § 1666(b)
CFPB Enforcement Actions
The Consumer Financial Protection Bureau actively enforces the FCBA and has issued numerous enforcement actions against creditors for:
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Failing to properly investigate disputes
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Not removing unauthorized charges
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Improper late fee assessment
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Failure to follow proper dispute procedures
Source: CFPB Supervisory Highlights, Consumer Credit Card Market Report
Empowering Consumers with Credlocity's Credit Repair Services
Credlocity, under the leadership of CEO Joeziel Joey Vazquez, is committed to championing consumer rights within the fintech industry. As a rapidly growing credit repair company, our goal is to become the leading resource for consumers in all credit, financial, fintech, and credtech fields.
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With a deep understanding of the Fair Credit Billing Act and the Fair Credit Reporting Act (FCRA), Credlocity offers tailored credit repair services that comply with the provisions of these laws. Whether you are grappling with late payments, seeking credit restoration, or require credit repair services in Philadelphia or beyond, Credlocity is here to guide you.
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Contact us today to leverage our expertise and secure the credit repair services you need, all while prioritizing your consumer rights and helping you achieve your financial goals.