How to Report Unfair Billing Practices
When to Report
| Situation | Where to Report |
|---|---|
| Single billing error under $50 | Dispute with card issuer (FCBA) |
| Multiple complaints, same company | FTC + CFPB (patterns matter) |
| Billing after cancellation | FTC + CFPB + State AG |
| Arbitration + class waiver abuse | FTC + State AG |
| Hidden surcharge > 3% | Visa/Mastercard rules complaint |
| Debit card surcharged | EFTA violation — CFPB + State AG |
Where to File
Federal Trade Commission (FTC)
Handles: Deceptive or unfair business practices — hidden fees, fake cancellations, billing traps
Website: reportfraud.ftc.gov
Phone: 1-877-FTC-HELP
The FTC cannot resolve your individual dispute, but your complaint adds to the public record. If enough people complain about the same company, the FTC investigates and takes enforcement action.
Consumer Financial Protection Bureau (CFPB)
Handles: Credit cards, billing errors, loan servicing, financial contract terms
Website: consumerfinance.gov/complaint
The CFPB sends your complaint to the company and requires a response within 15 days. Companies must respond. If they don't, it's publicly noted.
Your State Attorney General
Handles: Violations of state consumer protection (UDAP) laws
Website: usa.gov/state-attorney-general
State AGs can sue companies under state law. Particularly effective for: false advertising, hidden fees, one-sided contract terms.
Sample Complaint Letter
To: [FTC / CFPB / State AG] Company: [Name] Company URL: [URL] Account: [number] Nature: Unfair billing practice I subscribed to [service] on [date] at $[amount]/[period]. The terms contain this clause: [Quote the exact T&C clause] This clause is deceptive/unconscionable because: [Explain — e.g. "Phone-only cancel after online sign-up violates FTC Click-to-Cancel."] I attempted to resolve this on [dates] without success. [Attach correspondence] Documents attached: 1. T&C excerpt 2. Pricing page screenshot 3. Subscription confirmation 4. Billing statement 5. Correspondence with company
The Escalation Path
Merchant → (7 days) Card issuer FCBA dispute → (30 days) CFPB complaint → (60 days) State AG consumer complaint → FTC report (adds to enforcement database) → Consumer protection attorney
What to Document Before Reporting
- T&C page (screenshot or PDF)
- Pricing page at sign-up
- Cancellation confirmation (if applicable)
- Billing statements showing erroneous charges
- Communication with the company
- Card issuer dispute response
One Dispute Is Data. Many Disputes Are Action.
If you're the only person complaining, it's a customer service issue. If 100 people file FTC complaints about the same practice, it becomes an enforcement case. Report every time.