The 60-day rule can be applied to claims in which recurring transactions are being disputed.
Regulation E diagram:
Cardholders may still have dispute rights on outdated transactions if the claim meets certain conditions. In order to apply the 60-day rule, we have to be able to show that subsequent errors could have been prevented if the member had notified us.
Know that the 60-day rule is applied at the card-level.
See the table below.
| Regulation | Claim type | Rules |
|---|---|---|
| Regulation E | Non-fraud | The 60-Day Rule applies to Cancelled Recurring claims. For these claims, we can fire-off a chargeback or a stop payment. We cannot apply the 60-day rule in situations where we couldn't have done anything to prevent another issue from happening later on (example Wrong Amount Posted, Paid by Other Means). |
| Regulation E | Fraud | The recurring transaction that is on the statement where fraud first appeared, and recurring transactions that occurred in the following 60 days, are covered. Any recurring transactions that occurred after are the member's responsibility, however, we will attempt a chargeback if rights exist. |
| Regulation Z | Non-fraud | The member must notify us no later than 60 days after the statement date in which the first cancelled recurring transaction occurred. If the member doesn't report the activity within 60 days of the statement, they will be wholly responsible for the charges. That said, we will attempt a chargeback if rights exist. |
| Regulation Z | Fraud | The 60-day Rule does not apply. |
Use the 60-day sheet to calculate which transactions are covered.
Covered transactions calculation is below. Copy/paste the calculation into the body of your notes.
Date of first transaction:
Date of statement:
Statement date + 60:
| Scenario | Example | Next steps |
|---|---|---|
| The recurring charges are under limit. | Pay the transactions that are covered by the 60-day rule and deny the charges that aren't covered using the Past Timeframes reason. | |
| The recurring charges are over limit. | Pay the transactions that are covered by the 60-day rule and grant provisional credit to the other transactions that have chargeback rights. Deny charges that don't have rights. | |
| The member is disputing recurring charges from the same merchant on two separate cards and two individual claims. | Apply the 60-day rule to each claim independently of each other. | |
| The first recurring charge is over a year old. | Anything over a year old is not covered. |