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4 Simple Steps to Make a Credit Card Claim


Predictions show that by 2026, 60 million card payments will be made per day. With such exponential growth in card transactions, erroneous fees and charges are inevitable. As a customer, you have the right to refuse incorrect credit charges and subsequently, claim compensation. So, if you ever find yourself in such a situation, this article will outline all you need to know!

Types of Credit Card Charges 

The main credit card costs include the following:

  • Annual or monthly fees for holding the card
  • Interest
  • Fees for services like ATM withdrawals, using the card abroad or transferring money to your bank account
  • Fees for spending more than your credit limit
  • Charges for missing a repayment

It can be stressful to discover you’re the victim of an inaccurate credit card charge.  But this stress can increase if you have to make a claim. If you fail to make a successful claim with your credit card provider, you may need to seek the services of a credible claims company. Look for one that has positive feedback and utilises the latest claims management software. These are the companies more likely to complete your claim efficiently.

Which Charges Can I Reclaim?

You can reclaim the following charges:

Fees Charged by Mistake

Unfortunately, human and technical errors can occur, meaning your card company may charge you an inaccurate fee, such as additional interest charges.

Contact your provider and request an immediate refund of the fee. Don’t forget to demand repayment of the following costs, too:

  • Interest charged on a fee amount
  • Repeated charges for a wrongfully applied fee that encroached upon your credit limit

Excessive Fees  

Unless they are charged in error, it’s unlikely you’ll receive refunds for annual fees, cash withdrawal charges, balance transfer fees or interest rates. The reason for this is because your card’s terms and conditions will have clearly outlined potential charges.

However, if your provider has charged excessive penalty fees for missed payments or credit limit issues, you may be entitled to reclaim some money.

Previously, credit cards charged £35 for exceeding your credit card limit or for missing payments. However, in 2006, the Office of Fair Trading (OFT) decided charges over £12 were not fair, meaning customers could reclaim charges above £12.

If you have been charged fees above £12, follow these four simple steps to reclaim your money:

#1. Calculate How Much You Can Reclaim

Sift through your old credit card statements to find penalty charges you could reclaim. If you can’t access all your statements, ask your provider for a complete list of charges on your account for the past six years. Note: Under the Data Protection Act, your provider must reply within 40 days and cannot charge you over £10 for providing the information.

Calculate the total charges for:

  • Late payments
  • Exceeding your credit limit

#2. Decide How Much You Want to Reclaim

You can request the following:

  • A full refund. For instance,  if you were charged £35 five times, you would ask for £175.
  • A refund of anything above £12. For example, if you were charged £35 once, you would ask for £23.

You may also add 8% annual interest to the amount you request as this would be your entitlement if you took your claim to court.

#3. Contact Your Provider

Once you’ve calculated the amount you can reclaim, contact your provider to inform them of:

  • The amount you’re requesting
  • The dates and amounts of the charges
  • Reasons why the charges are unfairly high

If your claim is accepted, your provider will contact you with a repayment offer. This offer will either be for the full amount or part of it, and you’ll need to accept it or dispute. However, if your provider fails to acknowledge your claim or offers you an unsatisfactory refund amount, you should raise a complaint.

#4. Make an Official Complaint

If you do need to make a formal complaint, you should contact your provider to inform them you are taking them to the small claims court or the Financial Ombudsman Service (FOS).

The FOS will review the claim, free of charge, and then decide whether you should be reimbursed. If the FOS rules against you, you could contact the County Court instead. For more information, visit the HM Courts & Tribunals Service website.

To avoid being charged excessive fees, it’s best to stay on top of your financial repayments. Try setting up a direct debit for at least the minimum amount each month

to avoid missed payments. Additionally, keep track of your payments through your online statements or a phone app so you can easily remain within your credit limit.

Once you practice a healthy and efficient repayment strategy, you can avoid the stresses that come with making a claim.


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