I just finished watching Fyre Fraud, the Hulu documentary about the infamous Fyre Festival. Tickets were sold ranging from $500 to $12,000, with some packages being listed at $250k. I wasn’t able to get full details on the amount of tickets sold, but a lawsuit was filed for $100 million in damages.
The reason we’re talking about this documentary, is one, because it’s become a huge meme and a term used for any epic failure, and also as a learning lesson.
If you purchased a ticket for Fyre Festival or ever get scammed in the future by a shady merchant, you have a way to get all of your money back, almost immediately, and that’s by filing a chargeback with your credit card.
Now let’s dig into how chargebacks work, what are the rules, and what’s the best card for chargeback protection.
— Hey guys, my name is Andrew Wise with Lifetailored and we talk about everything that makes your life great. Please like, subscribe and comment down below to get notified whenever we have something awesome for you.
First of all, for any major purchase, the number one rule for staying protected is using your credit card, not your debit card for purchases. They have a much higher chance of fighting for you since it’s technically they’re money that’s been stolen.
++ There are 4 situations to dispute credit card charges
– A billing error or duplicate charge
– When someone uses your account without your permission
– When if you’ve already made a good-faith attempt to resolve the situation with the merchant — say, they delivered something, it was broken and they won’t issue you a refund.
– If you receive goods that are damaged, defective, or not as described — or you didn’t receive the promised goods or services at all
++ Rules for Chargebacks
According to the Fair Credit Billing Act
– Disputes must be within 60 days of bill
– American Express has no time limit on chargebacks
– Charges must be over $50
– The credit card company has 30 days to respond to your claim and 2 billing cycles to resolve the dispute
*You technically can do a chargeback on a debit card for fraudulent charges
++ How to File a Chargeback
1. Always reach out to the merchant first before disputing the charge
2. Then call or login to your credit card issuer’s website and file a charge or dispute
++ Best Credit Card for Chargebacks?
– American Express, since it is a bank and a credit card issuer, they control all the transactions, and they offer no time limit for chargebacks, unlike the 60 day period from other providers
– In my experience, AMEX has always sided with me on disputes
So let me know, have you had any experience with chargebacks? Have you seen the documentary? What did you think?