How to monitor your account for fraud and unauthorized transactions
Watch your bank account by logging into your online banking portal or mobile app at least once a week, or by setting up transaction alerts through your bank. Most banks let you receive a text or email notification whenever money leaves your account—either for every transaction or only for amounts above a threshold you choose. The goal is to catch fraud, errors, or unauthorized charges before they compound.
Your bank's website or app shows every transaction in real time or within a few hours of posting. You can also request a paper statement by mail, though this arrives weeks after transactions occur and is less useful for catching problems early. The fastest way to spot trouble is to check your account online or through your phone at least weekly, and to enable push notifications for large withdrawals or transfers.
Key Takeaways
- Check your account online or through your bank's app at least once a week to catch fraud or errors before they spread.
- Set up transaction alerts through your bank's settings so you receive a text or email when money moves, either for all transactions or only large ones.
- If you spot an unauthorized charge, contact your bank within 60 days to dispute it and protect your right to a refund.
- Fraudulent transactions on a debit card are covered by federal law, but your liability depends on how quickly you report the fraud.
- Recurring charges that you no longer want can be stopped by contacting the merchant directly or asking your bank to block future payments.
What to look for when you review your transactions
Look for transactions you do not recognize, charges from merchants you have never heard of, duplicate charges for the same purchase, and withdrawals or transfers you did not authorize. Fraudsters often test stolen card numbers with small charges first—a $1 or $2 purchase—before attempting larger ones. If you see a charge under $5 that you did not make, report it immediately rather than assuming it is too small to matter.
Also watch for recurring charges that should have stopped. If you cancelled a subscription but the merchant kept charging you, or if a service you no longer use is still billing your account, these are not fraud but they are money leaving your account that you did not authorize. Contact the merchant to stop the charge, or ask your bank to block future payments from that merchant.
Setting up alerts so you do not have to check manually
Most banks offer free transaction alerts through their online banking portal or mobile app. Go to your account settings and look for "Alerts," "Notifications," or "Account Monitoring." You can usually set alerts for specific events: any transaction over a certain amount, any withdrawal from an ATM, any transfer to a new payee, or any login from a new device.
Choose alerts that match your spending patterns. If you spend $200 a week on groceries, set your alert threshold at $300 so you catch unusual charges but do not get notified every time you shop. If you rarely use ATMs, set an alert for any ATM withdrawal. The goal is to be notified of things that are actually unusual for you, not to be flooded with alerts for normal spending.
What happens if you spot fraud on a debit card
Call your bank immediately or use the "Report Fraud" option in your mobile app. Federal law (Regulation E) protects you from unauthorized debit card charges, but your liability depends on how fast you report the fraud. If you report it within two business days of discovering the fraud, you are liable for no more than $50 of unauthorized charges. If you wait longer than two business days but report it within 60 days, you may be liable for up to $500. If you wait more than 60 days, you may lose all protection.
Your bank will typically freeze the card immediately and issue a replacement within 5 to 10 business days. They will also open an investigation into the fraudulent charges. During the investigation, the bank may provisionally credit your account so you have access to the money while they investigate. Once they confirm the charges were unauthorized, the credit becomes permanent.
What happens if you spot fraud on a credit card
Credit cards offer stronger fraud protection than debit cards. Federal law (the Fair Credit Billing Act) caps your liability at $50 per card, and most major card issuers offer zero-liability policies that protect you from any fraudulent charges. Report the fraud to your card issuer by calling the number on the back of your card or through your online account.
The card issuer will cancel the card and send a replacement, usually within 5 to 7 business days. They will also remove the fraudulent charges from your account while they investigate. Because credit cards do not draw directly from your bank account, fraud on a credit card does not affect your access to money the way debit card fraud does. This is one reason many people prefer credit cards for everyday purchases.
Disputing charges that are not fraud but are wrong
If a merchant charged you twice for the same purchase, charged you the wrong amount, or charged you after you cancelled an order, this is a billing error rather than fraud. Contact the merchant first and ask them to reverse the charge. Most will do so within a few days if you can show them your order confirmation or receipt.
If the merchant refuses or does not respond within 10 days, contact your bank or credit card issuer and file a dispute. For credit cards, this is called a "chargeback." For debit cards, it is called a "dispute." You will need to provide your bank with documentation: your order confirmation, a screenshot of the charge, and a record of your attempts to contact the merchant. Your bank will investigate and typically refund the money within 30 to 60 days if they find the charge was in error.
Monitoring accounts you do not use regularly
If you have a savings account, money market account, or old checking account that you rarely access, set up at least one alert—usually for any withdrawal or transfer. Fraudsters sometimes target dormant accounts because they know the owner is not watching. A single alert for any movement will catch this immediately.
Check these accounts at least once a month, even if you are not using them. If you find unauthorized activity, report it to your bank right away. The same 60-day window applies: you have 60 days from the statement date to report fraud on any account type, and waiting longer can cost you money.
Frequently Asked Questions
How often should I check my bank account?
At least once a week. Weekly checks let you catch fraud or errors before they spread to multiple transactions. If you have set up transaction alerts, you can check less frequently, but alerts should not replace manual review—sometimes alerts fail or are delayed.
Can my bank reverse a charge I authorized but now regret?
Not usually. If you authorized the charge, your bank will not reverse it. You would need to contact the merchant and ask for a refund. If the merchant refuses, you can file a dispute with your bank, but the bank will likely side with the merchant since you authorized the original charge.
What if I do not notice fraud until after 60 days?
You may lose protection. Federal law gives you 60 days from your statement date to report unauthorized charges. After 60 days, your bank is not required to refund you. Report fraud as soon as you spot it, even if it has been weeks or months.
Do I need to pay a bill while my bank investigates a disputed charge?
No. If you dispute a charge on a credit card, you do not have to pay that portion of your bill while the investigation is ongoing. For debit accounts, your bank may provisionally credit the amount so you have access to the money during the investigation.
What should I do if my bank says a charge was authorized and refuses to refund it?
Ask the bank to explain how they determined it was authorized. Request copies of any documentation they used. If you still disagree, you can file a complaint with the Consumer Financial Protection Bureau (CFPB) or your state's banking regulator. The CFPB has a complaint portal at consumerfinance.gov.