Your Rights Matter: Understanding Credit Card Fraud Protection in Miami
Discovering unauthorized charges on your credit card statement can trigger immediate panic—that sinking feeling when you realize someone has stolen your financial information and is spending your hard-earned money. Credit card fraud often involves using stolen or fake credit card information to obtain something of value, and it’s an illegal way of getting something without paying for it, much like shoplifting. Whether you’ve noticed mysterious charges from businesses you’ve never heard of, or your entire card has been compromised through a data breach, you’re not alone in this struggle. Miami residents face these challenges daily, and understanding your legal rights and protections can mean the difference between recovering your losses quickly or fighting an uphill battle with financial institutions.
???? Pro Tip: As soon as you discover a disputed charge on your credit card bill, call the card company immediately and let them know about the problem—then follow up with written notice to protect your rights under federal law.
If you’re facing the frustration of unauthorized charges on your credit card, don’t let your financial worries snowball. At Dimond Kaplan & Rothstein, P.A., we’re ready to step in and help you untangle the complexities of credit card fraud and reclaim your peace of mind. Get in touch today at (888) 578-6255 or contact us to start finding the solutions you deserve.
Federal and Florida Laws That Shield You From Fraudulent Charges
The good news for Miami consumers is that robust legal protections exist at both federal and state levels. Under federal law, your responsibility for unauthorized charges is limited to just $50, providing significant relief when criminals target your accounts. The Fair Credit Billing Act requires creditors to give consumers 60 days to challenge certain disputed charges over $50, including wrong amounts, inaccurate statements, undelivered or unacceptable goods, and transactions by unauthorized users. When you work with a consumer protection lawyer in Miami area, they can help you understand how these protections apply to your specific situation, especially when dealing with complex cases involving identity theft or merchant disputes. As of January 15, 2025, the CFPB issued new guidance clarifying that transfers initiated by fraudsters using stolen credentials or fraudulently obtained account access information are considered unauthorized Electronic Fund Transfers (EFTs), strengthening consumer protections even further.
???? Pro Tip: Consumer negligence cannot be used as the basis for imposing greater liability than is permissible under Regulation E—even if you accidentally shared your PIN or password, your liability remains capped.
The Critical Timeline for Disputing Fraudulent Charges
Time is your most valuable asset when fighting credit card fraud, and understanding the specific deadlines can save you thousands of dollars. Consumer liability for unauthorized electronic fund transfers is limited to $50 if reported within 2 business days of learning about the loss or theft, but increases to $500 if reported after 2 days but within 60 days. After seeking help from a consumer protection lawyer in Miami area, you’ll learn that missing the 60-day window could result in potentially unlimited liability for unauthorized transfers. Here’s what you need to know about the dispute process timeline:
- Within 2 business days of discovery: Report to limit liability to $50
- Days 3-60 after discovery: Liability increases to $500 maximum
- Within 30 days of your complaint: Credit card companies must acknowledge receipt
- Within two billing cycles (not exceeding 90 days): The issuer must conduct and complete their investigation
- During investigation: The issuer cannot collect payment on the disputed amount or report it to credit bureaus as defaulted debt
- After 60 days from statement date: You lose federal protection for disputing billing errors if not reported
???? Pro Tip: You have to tell your credit or debit card company about any error you’re disputing within 60 days of when the first statement with the charge was sent to you—mark this date on your calendar immediately.
Taking Action: How Dimond Kaplan & Rothstein, P.A. Helps Miami Fraud Victims
When fraudulent charges appear on your statement, swift action combined with legal knowledge makes all the difference. At Dimond Kaplan & Rothstein, P.A., we understand that both non-bank P2P payment providers and depository institutions have error resolution obligations under Regulation E for unauthorized transfers, meaning multiple parties may be responsible for making you whole. Our team helps Miami consumers navigate the complex landscape of Credit Card Fraud Laws to ensure financial institutions meet their legal obligations. We guide clients through filing complaints with the CFPB online at consumerfinance.gov/complaint or by calling (855) 411-CFPB (2372), while simultaneously pursuing all available remedies. A consumer protection lawyer in Miami area from our firm can also help you understand that consumers may file private lawsuits to recover actual damages, and courts may require creditors to pay double the finance charge if the billing amount ranges between $500 to $5,000, plus attorney’s fees.
???? Pro Tip: Keep detailed records of all communications with your bank or credit card company, including dates, times, and names of representatives—this documentation becomes crucial evidence if you need to escalate your dispute.
Understanding Criminal Prosecution of Credit Card Fraud in Florida
While your immediate concern is recovering your money, understanding the criminal side of credit card fraud helps you appreciate the seriousness of these crimes and may provide additional avenues for recovery. In Florida, fraudulent use of a credit card can be charged as either a misdemeanor or felony depending on the value of goods obtained and frequency of use within a 6-month period. The distinction matters because it affects how law enforcement prioritizes your case. When someone uses a credit card fraudulently two or fewer times in six months, or obtains less than $100 in value, it’s a first-degree misdemeanor carrying up to one year in jail and a $1,000 fine. However, felony credit card fraud—involving more than $100 in value or more than 2 uses in 6 months—is a third-degree felony punishable by up to 5 years in prison, 5 years of probation, and a $5,000 fine. Working with a consumer protection lawyer in Miami area ensures you understand how criminal prosecution might support your civil recovery efforts.
The Intent Element in Florida Fraud Cases
Florida law requires proof of intent to defraud for a credit card fraud conviction, meaning the state must prove the defendant knowingly used the card with the purpose of deceiving the merchant or issuer. This high burden of proof in criminal cases doesn’t affect your civil remedies, but it explains why prosecutors may be selective about which cases they pursue. Interestingly, Florida law treats multiple fraudulent uses of a credit card within a six-month period as a single crime rather than multiple discrete crimes, which can impact both criminal prosecution and your strategy for how to dispute a credit card charge. Understanding these nuances helps you set realistic expectations about law enforcement involvement while focusing on the civil remedies that offer the best chance for recovery.
???? Pro Tip: File a police report even if you doubt criminal prosecution will occur—many financial institutions require this documentation to process fraud claims, and it creates an official record of the crime.
New CFPB Protections and Electronic Fund Transfer Rights
The Consumer Financial Protection Bureau’s January 15, 2025 guidance represents a significant victory for consumers facing sophisticated fraud schemes. When a consumer’s account access information is obtained from a third party through fraudulent means such as computer hacking, and a hacker uses that information to make an EFT from the consumer’s account, the transfer is now clearly defined as an unauthorized EFT under Regulation E. This means even if you were tricked into sharing your login credentials through a phishing scam, you still have protection. A consumer protection lawyer in Miami area can help you leverage these new interpretations to challenge denials from banks that previously blamed consumers for falling victim to sophisticated scams. Financial institutions must investigate unauthorized EFT claims within 10 business days and resolve the issue within 45 days, or up to 90 days for certain foreign transactions.
The Power of Regulation E in Your Corner
Once you notify your bank or credit union about an unauthorized transaction, it generally has ten business days to investigate the issue, and the institution must then resolve it within 45 days. During this investigation period, many banks provide provisional credit to your account, ensuring you’re not left without access to your funds. The CFPB’s recent clarification that both the non-bank P2P payment provider and the depository institution holding the consumer’s account have error resolution obligations means you have multiple avenues for recovery if fraud occurs through payment apps. Before you consult a lawyer, gather all documentation related to the unauthorized transfers, including screenshots of the fraudulent transactions and any communication with the fraudster if applicable.
???? Pro Tip: If your bank denies your claim initially, don’t give up—request their investigation findings in writing and consider filing a CFPB complaint, as this often prompts a more thorough review of your case.
Local Resources and Miami-Dade County Consumer Protection
Miami residents have unique local resources beyond federal protections that can strengthen their position against fraud. If you have a dispute with a business in Miami-Dade County, you can file a consumer complaint through the county’s consumer complaint process. The Consumer Protection offices have moved to the Permitting and Inspection Center (PIC), located at 11805 SW 26th Street, offering the same services that have helped thousands of residents resolve disputes. Additionally, Miami-Dade County conducts free sessions on how to file small claims court cases for consumer disputes, providing an alternative path for recovering smaller amounts without necessarily hiring an attorney. It’s worth noting that effective August 1, 2024, the Consumer Protection office merged with the Neighborhood Code Compliance Division to form the Consumer and Neighborhood Protection Division, streamlining services for residents.
Cash Payment Rights and Additional Miami Protections
Interestingly, Miami-Dade County prohibits businesses or entities offering retail goods and services from refusing cash as a form of payment for sales, which can be relevant if you’re avoiding credit cards after fraud. This local ordinance ensures you always have payment alternatives while resolving credit issues. According to the Federal Bureau of Investigation’s 2007 Mortgage Fraud Report, Florida was among the top 10 mortgage fraud areas in the country, with Miami-Dade County leading the state in fraud loans, demonstrating the ongoing need for vigilant consumer protection. Over 500,000 Americans become victims of identity theft annually, costing them and financial institutions approximately $750 million, making the role of a consumer protection lawyer in Miami area more crucial than ever in protecting local residents from evolving fraud schemes.
???? Pro Tip: Take advantage of Miami-Dade County’s free consumer protection resources before paying for services—many issues can be resolved through their mediation programs at no cost to you.
Frequently Asked Questions
Understanding Your Rights and Next Steps
Navigating credit card fraud can feel overwhelming, but knowing the answers to common questions empowers you to take decisive action. These frequently asked questions address the concerns we hear most often from Miami consumers dealing with unauthorized charges.
???? Pro Tip: Write down all your questions before contacting your bank or attorney—having a prepared list ensures you don’t forget important concerns during stressful conversations.
Taking Action Against Fraud
The path forward after discovering fraud involves multiple steps, but each action you take strengthens your position for recovery. Understanding the process helps reduce anxiety and ensures you meet all critical deadlines.
???? Pro Tip: Create a dedicated folder (physical or digital) for all fraud-related documents—organization is key when dealing with multiple institutions and potential legal proceedings.
1. What’s the maximum I could be liable for if someone steals my credit card in Miami?
Federal law limits your responsibility for unauthorized credit card charges to just $50, regardless of how much the thief charges. However, this protection requires prompt reporting—if you wait more than 60 days after receiving your statement to report the fraud, you could lose these protections entirely. For debit cards and electronic transfers, the limits are different: $50 if reported within 2 business days, $500 if reported within 60 days, and potentially unlimited liability after that.
2. Can I sue my credit card company if they refuse to remove fraudulent charges?
Yes, the Fair Credit Billing Act allows consumers to file private lawsuits against creditors for violations. You may recover actual damages, statutory damages of double the erroneous finance charge (between $500-$5,000), and attorney’s fees. The Act also prohibits creditors from taking actions that adversely affect your credit standing until an investigation is completed, giving you additional grounds for legal action if they report disputed charges to credit bureaus.
3. How long does a credit card company have to investigate my fraud claim?
Once the card issuer receives your complaint letter, they must issue an acknowledgment receipt within 30 days. The issuer then has two billing cycles (not exceeding 90 days) to conduct their investigation. During this investigation period, they cannot collect payment on the disputed amount or report it to a credit bureau as defaulted debt, protecting your credit score while the matter is resolved.
4. What if the fraud happened through Venmo, Zelle, or another payment app?
The CFPB’s January 2025 guidance clarifies that both non-bank P2P payment providers and your bank have error resolution obligations under Regulation E. This means if someone fraudulently accesses your payment app account, both the app provider and your linked bank must investigate and potentially reimburse you. The same time limits apply—report within 2 business days for maximum protection.
5. Should I close my credit card account immediately after discovering fraud?
Not necessarily. First, report the fraud and have the card frozen or replaced with a new number. Closing the account immediately might complicate the dispute process and could negatively impact your credit score if it’s an older account. Work with your card issuer to secure the account while maintaining your dispute rights, and consider consulting a consumer protection lawyer in Miami area if the issuer isn’t cooperative.
Work with a Trusted Consumer Protection/Fraud Lawyer
Credit card fraud can derail your financial stability and peace of mind, but you don’t have to face these challenges alone. Understanding your rights under federal laws like the Fair Credit Billing Act and new CFPB protections, combined with Florida’s criminal fraud statutes, gives you multiple avenues for recovery. Whether you’re dealing with a few hundred dollars in fraudulent charges or facing identity theft that’s wreaked havoc on your finances, having experienced legal guidance ensures you’re using every available tool to protect your interests. From the moment you discover unauthorized charges through the resolution of your case, the right legal support makes the difference between a quick recovery and a prolonged financial nightmare.
Feeling overwhelmed with credit card fraud worries? Dimond Kaplan & Rothstein, P.A. is here to help you navigate the storm and regain control. Reach out now at (888) 578-6255 or contact us to discover how we can assist in resolving your concerns.
