How to Dispute a Transaction

How to dispute a transaction depends on what happened, whether the transaction was authorised and what steps you have already taken with your bank or financial provider. If you are dealing with an unauthorised transaction, disputed payment or another transaction issue, putting your concerns clearly in writing can help create a useful record of the matter.

How to Dispute a Transaction

If you need to dispute a transaction, the first step is to gather the relevant details and contact the bank or financial provider involved. This may include the transaction date, amount, account or card details, what happened and why you believe the transaction should be reviewed.

For an unauthorised transaction, it is important to explain clearly that you did not authorise the transaction and provide any information or supporting documents that may help the financial provider investigate what occurred.

When Can You Dispute a Transaction?

There are different circumstances in which a customer may need to raise a transaction dispute. These can include an unauthorised transaction, a payment you do not recognise, a transaction processed incorrectly, or another banking or payment issue that you believe requires investigation.

Not every disputed payment has the same process or outcome. The circumstances surrounding the transaction and the information available to the financial provider can be important when the matter is reviewed.

What Information Should You Provide?

A clear written dispute should set out the relevant facts without unnecessary detail. Depending on your circumstances, useful information may include:

• the date and amount of the disputed transaction
• the account, card or payment method involved
• why you believe the transaction should be disputed
• when you first became aware of the transaction
• any steps you have already taken with your bank or financial provider
• responses you have received
• relevant statements, screenshots, correspondence or other supporting documents
• the outcome you are seeking.

Providing the relevant information in a logical order can make your correspondence easier for the recipient to understand and respond to.

How to Dispute a Transaction With Your Bank or Financial Provider

If you are disputing a transaction, check your bank or financial provider’s complaint process and follow any applicable instructions. You may be able to raise the issue by phone, online, by email or in writing, depending on the organisation.

Where appropriate, it can also be useful to keep a written record of your complaint, including when you contacted the financial provider, what you explained and what response you received.

The Australian Financial Complaints Authority (AFCA) guidance on internal dispute resolution explains that consumers should generally raise their concerns with their financial firm first and keep relevant details available when making a complaint.

Unauthorised Transactions and Transaction Disputes

An unauthorised transaction is different from a payment that you personally made but later want to challenge for another reason. The circumstances surrounding the transaction can affect how the matter is assessed.

AFCA’s guidance on unauthorised transactions explains that the circumstances surrounding a disputed transaction, including the available information and evidence, can be relevant when determining whether a transaction was authorised or unauthorised.

If you believe someone made a transaction without your knowledge or consent, contact your financial provider as soon as possible and follow its process for reporting the transaction.

What If Your Transaction Dispute Is Not Resolved?

If you have already raised the issue with your financial provider and remain dissatisfied with the response, you may have further complaint options depending on the organisation involved and the nature of the dispute.

For eligible complaints involving financial firms, AFCA provides an independent external dispute resolution service. AFCA advises consumers to contact their financial firm first before making a complaint to AFCA.

Keeping copies of your original complaint, supporting documents and responses can help you maintain a clear record if the matter progresses.

How to Put a Transaction Dispute in Writing

A written transaction dispute letter should be clear, factual and specific to the circumstances. Rather than relying on a generic template, the correspondence can set out what happened, identify the transaction being disputed, explain the basis of the dispute and clearly state what you are asking the recipient to do.

Good correspondence should also distinguish between facts you can establish and matters that may require further investigation by the bank or financial provider.

Need a Professionally Written Transaction Dispute?

If you need to dispute a transaction and want your circumstances set out clearly in professional correspondence, WhatLetter can prepare a tailored dispute letter based on the information you provide.

Our service is designed for matters where you want a professionally drafted document to review and send yourself. We can organise the relevant information into clear Australian correspondence without requiring you to start with a generic template.

For more complex matters requiring ongoing correspondence and administrative assistance, you can also consider our Full Matter VIP Service.

Explore More Professional Services

• Data Breach Compensation Letter
• Local Council Complaint Letter

Frequently Asked Questions: How to Dispute a Transaction

How do I dispute a transaction?

Start by checking the transaction details, contacting the relevant bank or financial provider and explaining why you believe the transaction should be disputed. Keep a record of your complaint and any response you receive.

What is an unauthorised transaction?

An unauthorised transaction is generally a transaction made by another person without the customer’s knowledge or consent. The circumstances of each transaction can affect how it is assessed.

Can I dispute a transaction with my bank?

Yes, you can raise a transaction issue with your bank or financial provider. The appropriate process depends on the type of transaction and the circumstances involved.

What if my bank does not resolve the transaction dispute?

If you remain dissatisfied after raising the issue with your financial provider, you may have access to an external dispute resolution process such as AFCA, depending on the organisation and the nature of your complaint.

Can WhatLetter provide legal advice?

No. WhatLetter provides professional correspondence drafting and administrative assistance based on the information you provide. We do not provide legal advice or legal representation.