An unfamiliar charge on your credit card statement is unsettling - but in Pakistan you have clear, layered remedies. The State Bank of Pakistan (SBP) obliges every bank to run a complaint and dispute mechanism, sets firm deadlines, and pins liability on the bank where a transaction results from a security breach, control failure or negligence. Beyond your bank sit the Banking Mohtasib, the banking courts and the cybercrime law. This guide walks you through each step, in order, so you know exactly what to do and by when.
Types of credit card disputes
Not every wrong charge is fraud. Knowing which kind you have decides the route you take:
- Unauthorised / fraudulent transactions - charges made without your consent, typically from a lost or stolen card, skimming, cloning or phishing.
- Billing errors - duplicate charges, wrong amounts, a payment not credited, or a charge for a cancelled subscription.
- Merchant disputes (chargebacks) - goods or services paid for but not delivered, defective, or not as described.
- Processing and fee disputes - incorrect mark-up on foreign transactions, wrongful late fees, or charges applied during an ongoing dispute.
First steps: what to do immediately
Time matters. The sooner you report, the stronger your position on liability. Take these steps in order:
| Step | Action | Why it matters |
|---|---|---|
| 1 | Call the bank helpline and block the card | Stops further misuse; timely loss reports shift liability to the bank |
| 2 | Note the reference number and time of your report | Proves when you notified the bank |
| 3 | Submit the Dispute Resolution Form in writing | Formally starts the dispute clock and the investigation |
| 4 | Attach evidence - statement, SMS alerts, receipts | Supports your claim and speeds resolution |
| 5 | State you will escalate to the Banking Mohtasib if unresolved | Preserves your escalation rights on the record |
Do not admit fault and never share OTPs, PINs or card numbers - not even with someone claiming to be from the bank. Genuine bank staff will never ask for your full PIN or one-time password.
The bank chargeback and dispute process
Your bank is the first and often the fastest remedy. Under SBP's payment-card and consumer-protection framework, once you lodge a disputed transaction the bank must investigate and, where the charge originated within Pakistan, resolve it within 45 days of your complaint. Critically, the bank cannot charge you interest on the disputed amount during the investigation; it may recover that interest only if the dispute is finally decided in the bank's favour.
For card-scheme transactions, the bank raises a chargeback through Visa or Mastercard, which claws the money back from the merchant's bank while the claim is examined. Cross-border chargebacks routed through the scheme can take longer than the domestic 45-day limit. Keep your dispute reference and follow up in writing at each stage.
When is the bank liable?
This is the heart of most credit card disputes. Under SBP regulations - including the liability framework in BPRD Circular No. 04 of 2023 and the Regulations for Payment Card Security - a bank is liable to refund the customer for unauthorised transactions that result from security breaches, control failures or negligence on the bank's side. That expressly includes failing to block a card promptly after you report it lost or compromised.
The flip side: liability can shift to the customer where the loss flows from the customer's own negligence - for example, sharing an OTP or PIN, or delaying the loss report. This is why the timing and written record of your report are decisive. The general position is summarised below.
| Scenario | Who typically bears the loss |
|---|---|
| Fraud after you reported the card lost/blocked | Bank |
| Breach of the bank's systems, skimming at bank ATM | Bank |
| Bank failed to act on your loss report | Bank |
| Customer shared OTP / PIN / card details | Customer |
| Unreasonable delay in reporting the loss | Customer (in part) |
Escalating to the Banking Mohtasib
If the bank does not resolve your complaint within 45 days, or its reply does not satisfy you, you can escalate - free of charge - to the Banking Mohtasib Pakistan, the banking ombudsman established under the Banking Companies Ordinance 1962. The Mohtasib is appointed by the President in consultation with the Governor of the SBP, and can inquire into unauthorised transactions, banking malpractices, wrongful charges and inordinate delay.
The process:
- First complain to the bank in writing, stating you will refer the matter to the Banking Mohtasib if unresolved.
- Allow the bank 45 days. If there is no reply, an unsatisfactory reply, or a decline letter, you may file with the Mohtasib within the next 45 days.
- Submit the prescribed complaint form, signed and attested by an Oath Commissioner, with copies of statements, emails, SMS alerts and receipts.
- The service is free and you do not need a lawyer. The office aims to resolve most complaints within about two months.
Either party may make a representation to the President of Pakistan within 30 days of the Mohtasib's order. If no representation is filed in that window, the order becomes binding on both sides. See our detailed guide to banking complaints and the Mohtasib.
Reporting fraud: PECA, cybercrime and the courts
Where your card was cloned, skimmed or compromised through phishing, you are dealing with a criminal offence as well as a banking dispute. Online and electronic card fraud falls under the Prevention of Electronic Crimes Act (PECA) 2016, which criminalises unauthorised access, electronic fraud, phishing and identity theft. Investigation of these offences now sits with the National Cyber Crime Investigation Agency (NCCIA), which has taken over the role previously performed by the FIA Cybercrime Wing.
Your bank complaint and a cybercrime complaint run in parallel - pursue both. Preserve digital evidence such as SMS alerts, screenshots and emails; the Electronic Transactions Ordinance 2002 gives electronic records legal recognition, and courts accept properly-preserved digital evidence. Where a cheque tied to card settlement is dishonoured, section 489-F of the Pakistan Penal Code may also apply. For unresolved civil banking claims, the banking courts under the Financial Institutions (Recovery of Finances) Ordinance 2001 provide the litigation route.
Protecting yourself going forward
- Enable SMS and app alerts for every transaction so you spot unauthorised charges within hours, not weeks.
- Set sensible daily and online limits, and disable international or e-commerce use when not needed.
- Never share OTPs, PINs or CVV - and treat any call demanding them as a scam.
- Review statements monthly and raise disputes promptly, while you are well inside the deadlines.
Frequently asked questions
How long does a bank have to resolve my card dispute?
SBP rules require resolution of a domestic disputed transaction within 45 days of the complaint, and the bank cannot charge interest on the disputed amount during the investigation. Cross-border scheme chargebacks can take longer.
Will I get my money back for a fraudulent charge?
If the loss resulted from a bank security breach, control failure or negligence - including failure to block a reported card - the bank is liable to refund you. Sharing your OTP or PIN can shift liability to you.
Is complaining to the Banking Mohtasib free?
Yes. The service is free and you do not need a lawyer. Submit the signed complaint form, attested by an Oath Commissioner, with supporting documents.
Do I still complain to the bank first?
Yes. You must give the bank a written complaint and allow it 45 days before you can escalate to the Banking Mohtasib, unless the bank issues a decline letter earlier.
Where do I report card fraud in Pakistan?
Lodge a cybercrime complaint with the National Cyber Crime Investigation Agency under PECA 2016, alongside your bank complaint. Preserve all SMS alerts, screenshots and receipts as evidence.
Can I go to court over a credit card dispute?
Yes. Unresolved civil banking claims can be pursued in the banking courts under the Financial Institutions (Recovery of Finances) Ordinance 2001, though the bank and Mohtasib routes are usually faster and cheaper.