What should you do if you are billed for merchandise you did not buy?

The Fair Credit Billing Act is designed to protect consumers from unfair billing practices and to provide a process for disputing incorrect charges. If you receive a bill for merchandise you did not purchase, reporting it under the Fair Credit Billing Act is the appropriate course of action. This act allows consumers to formally dispute the charges and requires creditors to investigate the issue.

By reporting the discrepancy, you not only take a step towards resolving the erroneous charge but also ensure that your rights as a consumer are protected. This process is essential for maintaining accurate credit reports and preventing potential harm to your credit score from unjust charges.

In contrast, ignoring the bill does not address the issue and may lead to further complications, such as late fees or damage to your credit score. Contacting your bank might be part of resolving the issue, but it’s important to follow the structured dispute process outlined by the Fair Credit Billing Act for formal recourse. Filing for bankruptcy is an extreme measure that is not warranted in the case of a billing error and should only be considered under significant financial distress.