If you discover unauthorized charges on your credit card, the first step is to call your issuing bank immediately to freeze the card (reporting card loss 「掛失」 for lost or stolen cards, or freezing and reissuing 「停卡換卡」 if card details were compromised online or by phone), and submit a dispute statement before the payment deadline of the current billing cycle. Under Article 17 of the Financial Supervisory Commission (FSC) Standard Form Contract for Credit Cards, fraudulent usage losses incurred after reporting loss are borne by the bank; the cardholder deductible prior to reporting is capped at NT$3,000, and fraudulent charges incurred within 24 hours prior to reporting carry zero deductible. For "special transactions" not requiring a signature—such as online, phone, or mail-order transactions—under Article 18 of the model contract, losses prior to freezing and replacing the card are in principle also borne by the bank, unless the cardholder knew of the compromise but failed to notify promptly, refused card replacement, or failed to cooperate with investigations.
Reminder: Both the "Credit Card Standard Form Contract Template" and "Mandatory and Prohibitory Provisions of Credit Card Standard Contracts" were last amended on September 12, 2014 (ROC Year 103), with no new revisions observed on the FSC regulatory database up to 2026-11-02. In the template, the cardholder deductible, card reporting fee, and retrieval fee are all "maximum ceilings"; individual banks may agree on lower fees or waive them entirely, so terms are governed by your specific card agreement. If unsatisfied with the bank handling result, you may apply for dispute evaluation at the Financial Ombudsman Institution under the Financial Consumer Protection Act.
5 Steps Upon Discovering Credit Card Fraud
- Freeze the Card Immediately: Call the customer service hotline on the back of the card or in the banking app. Physical loss, theft, or robbery falls under Article 17 "Reporting Loss"; if the physical card is still with you but card details were used fraudulently in online transactions, it falls under Article 18 "Card Freezing and Replacement".
- Preserve Evidence (Editorial Suggestion): Take screenshots to save transaction SMS alerts, app push notifications, emails, and proof of your physical location at that time.
- File a Transaction Dispute Before Billing Due Date: Submit documentation and reasons required by the bank to process the dispute; you may request the bank to retrieve sales slips from acquiring institutions and suspend payment for disputed transactions (Article 13 of the template).
- Cooperate with Police Reports or Written Notices: When deemed necessary, the bank will notify you within 10 days after receiving the loss report or card freezing request; you must file a police report with local police authorities or provide written confirmation to the bank within 3 days of receiving notice.
- Pay Other Regular Charges as Scheduled (Editorial Suggestion): Payment suspension applies only to the specific disputed transactions; pay all regular charges on time to avoid revolving credit interest.
If the unauthorized charge involves scam phone calls or fake websites, please dial the 165 Anti-Fraud Consultation Hotline or 110 police report line. For identification methods, see How to Identify Scam SMS and Calls.
Who Bears the Loss: Before and After Reporting, and Online Fraud
| Scenario | Responsible Party | Legal Basis (Credit Card Standard Contract Template) |
|---|
| Misuse occurred "after" reporting card loss | Issuing bank | Article 17, Paragraph 2 |
| Misuse after reporting loss, but cardholder permitted or deliberately gave card to others, acted with intent or gross negligence regarding passwords/credentials, or colluded in fraudulent transactions | Cardholder | Article 17, Paragraph 2 Proviso |
| Misuse occurred "before" reporting card loss (physical card lost and swiped) | Cardholder bears deductible, capped at NT$3,000 (subject to contractual terms, may be lower) | Article 17, Paragraph 3 |
| Misuse within 24 hours prior to reporting loss | Cardholder exempt from deductible | Article 17, Paragraph 3, Subparagraph 1 |
| Fraudulent signature visibly differs from cardholder's with naked eye | Cardholder exempt from deductible | Article 17, Paragraph 3, Subparagraph 2 |
| Cardholder failed to sign back of physical card causing unauthorized usage | Cardholder bears loss; NT$3,000 deductible cap does not apply | Article 17, Paragraph 3, Subparagraph 3 Item 1 |
| Cardholder failed to report loss immediately upon knowing card was lost or stolen, or failed to notify within 20 days after current billing cycle payment due date | Cardholder bears loss; NT$3,000 deductible cap does not apply | Article 17, Paragraph 3, Subparagraph 3 Item 2 |
| Cardholder refused to sign loss reporting confirmation documents, refused police report, or refused investigation | Cardholder bears loss; NT$3,000 deductible cap does not apply | Article 17, Paragraph 3, Subparagraph 3 Item 5 |
| Online, telephone, or mail-order transactions without signature (Special Transactions) misused before freezing and replacement | Issuing bank bears losses in principle | Article 18, Paragraph 1 |
Note: Fraudulent ATM cash advances made using an ATM before reporting loss are entirely borne by the cardholder (Article 17, Paragraph 4 of the template). In addition, consumer disputes between cardholders and merchants regarding goods quality, quantity, or delivery cannot be used as reasons to refuse payment to the issuing bank; however, if qualified under Article 11, payment may be temporarily suspended.
Disputed Transaction Procedures: Fees and Deductibles
| Item | Standard Template Regulation | Notes |
|---|
| Reporting loss handling fee | Maximum NT$200 per card | Article 17, Paragraph 1; many banks waive this in cardholder agreements |
| Dispute filing deadline | Before current billing cycle payment due date | Article 13, Paragraph 1; notify issuing bank with reasons and required forms |
| Sales slip retrieval fee | Capped at NT$100 per slip | Article 13, Paragraph 2; cardholder pays only if transaction was verified as authorized |
| Suspension of payment during dispute | Cardholder may request temporary suspension of payment | Article 13, Paragraph 2; if verified genuine, interest and fees accrue from original due date |
| Pre-reporting loss deductible | Capped at NT$3,000 | Article 17, Paragraph 3; 0 liability within 24 hours prior to reporting |
| Investigation and notification | Bank may request police report within 10 days; cardholder files within 3 days | Article 17, Paragraph 3 Subparagraph 3 Item 5 |
Regarding sales slip retrieval fees: under Article 13 of the template, when a cardholder requests retrieval of sales slips, the bank may charge a fee of up to NT$100 per slip. If the investigation confirms the transaction was not made by the cardholder, the bank bears the retrieval fee and refunds any previously withheld amounts.
Bank Denies Fraud Claim: Complaint and Ombudsman Deadlines
| Step | Time Limit | Channel |
|---|
| 1. Formal Complaint to Bank | Bank must respond within 30 days of receiving complaint | Issuing bank customer service, complaint hotline |
| 2. Apply for Ombudsman Evaluation | Within 60 days after receiving reply or after expiration of 30 days | Financial Ombudsman Institution, toll-free hotline 0800-789-885, online application available on official website |
| Consultation | — | FSC Financial Services Hotline 1998 |
Everyday Practices to Minimize Fraud Losses (Suggestions and Official Tips)
- Enable SMS or App Push Notifications for Transactions: The Banking Bureau explains that issuing institutions provide real-time alerts for online transactions exceeding set thresholds; keep mobile phone numbers and email addresses updated.
- Verify OTP Details: When receiving an OTP SMS, check currency, amount, and merchant name carefully; do not enter codes if discrepancies exist. If you receive card-binding notifications without attempting to bind a card, contact the bank immediately (Banking Bureau guidance).
- Sign the Back of Physical Cards: The standard contract specifies that failing to sign physical cards may invalidate the NT$3,000 deductible ceiling if misused.
- Disable Cash Advances If Not Needed: Article 10 of the template allows cardholders to stop the cash advance function at any time, noting that ATM cash advance fraud before reporting loss is borne entirely by cardholders.
- If your entire wallet is lost, check the sequence for handling credentials and cards in the Lost Wallet Checklist.
Frequently Asked Questions
Do I have to pay fraudulent charges first?
By filing a transaction dispute before the payment due date of the current billing cycle, you may suspend payment for those specific charges. If payment was already made, the bank refunds the amount upon confirming fraud. Other regular expenses must still be paid on time.
Is the deductible before reporting loss always NT$3,000?
Not necessarily. NT$3,000 is the regulatory ceiling; individual banks may set lower deductibles or waive them, depending on your card terms. Furthermore, unauthorized transactions within 24 hours prior to reporting loss, or where signatures visibly differ to the naked eye, carry zero deductible.
Does reporting credit card loss incur fees?
Under Article 17 of the template, banks may charge a loss reporting fee not exceeding NT$200, or choose not to charge; actual fees depend on your contractual agreement.
What if my physical card is with me but card details were compromised online?
This qualifies as special transaction misuse under Article 18 of the template. Contact the bank immediately to freeze and replace the card. Losses before freezing and replacement are in principle borne by the bank; however, if you knew of misuse but failed to notify promptly, refused card replacement, or refused cooperation, you bear the entire loss.
What can I do if the bank refuses to recognize the transaction as fraud?
First file a formal complaint with the bank, which must respond within 30 days. If unsatisfied or if the bank fails to respond within the deadline, apply within 60 days to the Financial Ombudsman Institution (0800-789-885) under Article 13 of the Financial Consumer Protection Act.
Last updated: 2026-11-03
This article has been compiled by SOSfix from public information for general reference only. For specific cases, consult your issuing bank, the Financial Ombudsman Institution, or FSC Financial Service Hotline 1998.
Sources
- Financial Supervisory Commission Regulations Database: Credit Card Standard Contract Template (Amended September 12, 2014, verified 2026-11-02): Article 9 special transactions, Article 10 cash advance disabling, Article 11 payment suspension, Article 13 dispute filing and NT$100 slip retrieval fee ceiling, Article 17 loss reporting fee NT$200 cap, pre- and post-reporting liabilities, NT$3,000 deductible ceiling, 24-hour exemption, ATM cash advance, Article 18 special transaction card replacement.
- Financial Supervisory Commission Regulations Database: Mandatory and Prohibitory Provisions of Credit Card Standard Contracts (Amended September 12, 2014, verified 2026-11-02): Mandatory item 8 disputed accounts, item 9 loss of card possession (consistent with Articles 13 and 17), pursuant to Article 17 of Consumer Protection Act.
- FSC Banking Bureau: Guidance on Proper Credit Card Usage (2024-05-28, verified 2026-11-02): Real-time alerts for online transactions, OTP verification, dispute payment suspension or refunds.
- Laws & Regulations Database of the Republic of China: Financial Consumer Protection Act (Amended December 6, 2023, verified 2026-11-02): Article 13, Paragraph 2 filing complaints with financial services enterprises, 30-day processing, 60-day ombudsman application deadline.
- Financial Ombudsman Institution: Official Website (Verified 2026-11-02): Free dispute resolution toll-free hotline 0800-789-885, online ombudsman application, FSC 1998 financial hotline.
