If you see a transaction on your Varo Bank Visa® Debit Card you don’t agree with, go to FAQ How do I reach customer service? so we may assist you.
When you first contact us, we’ll ask a few questions about what happened. If the transaction has already been posted to your Varo Bank Debit Card, we can file the dispute when you contact us.
If the authorization is still pending, we’ll need to wait for it to post to your account before filing a dispute. In that case, we’ll ask you to keep an eye on your transaction history in the Accounts section of the Varo Bank app and let us know if the transaction settles.
Typically, pending transactions will settle in about 2 days, but in some cases they may remain pending on your card for longer.
Car rental authorizations may remain pending for up to 19 business days; hotel and cruise authorizations may show pending for up to 10 business days.
If the transactions were unauthorized, we’ll cancel your debit card and send you a new one in order to prevent more unauthorized charges.
After contacting Customer Service, you can also protect your Varo Bank Debit Card by locking it in the Varo Bank app.
Why is the card required to be blocked for unauthorized activity?
If there is unauthorized activity on your account, we are required to immediately block your card and send you a replacement in the mail. This replacement card should be to you in 6 to 9 business days. This prevents unauthorized card transactions from occurring as you indicated that your information has been compromised.
Why would I dispute a transaction?
There are a lot of reasons to dispute a transaction, and our dedicated disputes team will figure out the best reason based on the information you provide us.
Unauthorized charges or billing errors:
- There are transactions on your Varo Bank Debit Card you didn’t authorize.
- A transaction posted to your Varo Bank Debit Card for more than you agreed to.
- You were double billed for the same transaction.
- You canceled a transaction but were billed anyway.
Consumer Disputes for Quality or Service:
- You returned merchandise, but the merchant never credited your Varo Bank Debit Card.
- You never received the merchandise you ordered.
- You received damaged or defective merchandise.
- You made a purchase using a card issued by another financial institution or with cash, but the merchant also charged your Varo Bank Debit Card.
- A merchant promised to refund a partial or full amount of a purchase, but the credit never posted to your Varo Bank Debit Card.
Can I dispute unauthorized deposits?
If you see an unauthorized deposit has posted to your account, contact our Customer Service team immediately by going to FAQ How do I reach customer service?.
How can I resolve my dispute faster?
- If you’ve done business with the merchant before, try contacting them directly to see if they can solve your issue. Often, this process goes quicker than the formal dispute process.
- Please provide us with as many details as you can when you contact us to file the dispute. Helpful details could include how you contacted the merchant, what the merchant said, confirmation or cancellation numbers you received, a copy of a police report you may have filed, or anything else that you feel could help us in supporting your dispute.
- Provide us with any documents you think could support your case. We might also request you provide other documentation to support your dispute, such as receipt copies, communication with the merchant, confirmation or cancellation numbers, police reports, or anything else we believe may be helpful. You can send these documents to firstname.lastname@example.org.
What happens when I file a dispute?
The dispute process can be complex. However, our goal is to make it as simple as possible as we investigate your issue.
Here’s what the dispute process looks like:
- (If you see an unauthorized transaction on your account, you should use your Varo Bank app to “lock” your card. When you contact Varo Bank to initiate a dispute, we will help you replace your card.)
- As soon as you notice an error, contact us as soon as possible.
- Once you’ve reported the error to us, our team will send the information you gave us to our disputes team. We may reach out to you for additional details or documents.
- Our disputes team will then evaluate your case and decide if you qualify for a provisional credit.
- Our disputes team may attempt to process a chargeback according to Visa’s rules and guidelines. During this process, the merchant will have an opportunity to respond to your case. Our disputes team will evaluate the merchant’s response and take action accordingly as we work toward a final resolution to your case.
- If the dispute is resolved in your favor, we’ll issue a final credit to your deposit account. If we already issued a provisional credit, it’s now permanent.
- If the dispute isn’t resolved in your favor, we will reverse any provisional credits that were issued towards your card. You may still have the following options for resolution:
- You can always continue working with the merchant directly for resolution.
- You have the right to ask for a copy of any documents we used to investigate and resolve your dispute. We’ll give you these if you need them.
Generally, most disputes are resolved within 90 days. However, more complex cases may require additional time. In all cases you will be notified of any actions taken on your dispute, from the posting of provisional credit to the final resolution of your case.
How long will my dispute take?
- We will determine if your dispute can be resolved within the first 10 business days. If not, a provisional credit may be issued within 10 business days of the dispute being filed if you claim qualifies.
- If a provisional credit is issued, it may take up to 90 calendar days for the case to reach a final resolution. We will notify you if more time is required to finalize your dispute.
What is a provisional credit?
A provisional credit is a temporary credit that is provided while we investigate your claim if your dispute can’t be resolved within the first 10 business days if your claim qualifies. Once the investigation is completed, if we find no error occurred, the provisional credit previously provided will be revoked from your account. If we find an error occurred, the provisional credit provided will be made final. We will send a letter through email advising you of the final decision, from time to time we may also send you a letter through USPS mail.
Will I be charged fees on a disputed transaction?
No, Varo Bank does not charge any fees to file a dispute. If the dispute involves a charge from a non-Allpoint® ATM and is resolved in your favor, the fee will be refunded to your Varo Bank Account.
If my account is closed, how can I access the funds from my dispute?
If a credit is issued to your account for the disputed transaction(s), we will send the full amount of the credit to you via check. This will be sent to the mailing address we have on file, which can be found in your Varo App by tapping Settings then Personal Info. You can update this address any time by tapping on the edit icon. Please allow fourteen (14) days for processing and mailing of the check.
How soon after being promised a credit from the merchant can I dispute a charge?
It’s best to give the merchant 15 days from the date the merchant promised you a refund to your Varo Bank Debit Card before disputing the transaction.
How will I be notified when my dispute is resolved?
For all actions taken on your Varo Bank Debit Card, from provisional credit to final resolution, you will be notified. Generally, we’ll send a paper letter to the address we have on file, which can be found in your Varo App by tapping Settings then Profile. From time to time we’ll email you the resolution.
Can I cancel a dispute?
Yes. Go to FAQ How do I reach customer service? for ways to contact us so we can complete your request.
What kind of documentation can I provide to support my case?
If you’ve canceled the transaction, you can show any correspondence between you and the merchant to help validate your dispute. Cancellation confirmation numbers help too.
If you were supposed to receive a credit, you can provide a copy of the credit slip or evidence showing the merchant promised to honor your request.
If you’ve returned items to the merchant, you can provide confirmation of return, including the full return address.
What should I do before I return the merchandise?
We always advise you to check the merchant's return policy because every policy can have different requirements. For example, some merchants require a Return Merchandise Authorization (RMA) number.
When you do return a product, we recommend using a service that can provide a delivery confirmation with the full address.
Can a dispute impact my credit score?
No, disputing a transaction has no impact on your credit score.
Can I dispute a transaction because I was inconvenienced, or I didn't receive an expected rebate?
Although the merchant may have not met your expectations, the transaction cannot be disputed if you received the goods or services you purchased.
Consider working with the merchant directly for resolution.
Why did I only receive a partial credit for the dispute I filed?
Some merchants refuse to refund shipping, restocking fees or handling charges for a transaction. In these circumstances, you would need to work with the merchant directly to recover those funds.
I was told the dispute was resolved in my favor, but now the merchant is requesting the funds from me directly.
Unfortunately, the dispute process is not legally binding and does not have any control over decisions the merchant may make with collection agencies or legal action.
A merchant may choose to pursue the collection of funds outside of the dispute process even if the case was decided in your favor.
Can I block a merchant from charging my card or stop an ACH?
Stop payments are designed to take action on future recurring payments or subscriptions. Stop payments can’t take action on transactions that have already occurred. If you’re asking for help with a transaction that has already occurred or help with unauthorized activity, read the instructions above for how to file a dispute.
Varo Bank will honor any stop payment request made at least 3 business days before the pre authorized debit (the future recurring payment) is scheduled. To request the stop payment of a single future payment or all future recurring payments with a specific merchant, go to FAQ How do I reach customer service? for ways to contact us.
Note: If you are requesting to cancel an ACH Bank Transfer that you initiated from within the Varo Bank app, we are unable to cancel the transfer. If you wish to cancel a pending transfer that was initiated by an external financial institution, you may reach out to that institution for their options.
Why is a pending charge showing for a different amount than I expected?
In some cases, the merchant may authorize a different amount than the actual charge. This happens frequently for gas stations and hotel charges. Typically, the merchant will post the charge for the correct amount and no dispute will be necessary. If the merchant does post the transaction for an incorrect amount and is unwilling to resolve the issue directly with you, feel free to contact us to file a dispute.
What are other options to resolve my issue outside of the dispute process?
There are a few things you can do to protect yourself if the merchant is refusing to help.
We recommend visiting this U.S. government site for filing consumer complaints, which offers information about complaints to:
- Your consumer protection agency
- The Better Business Bureau (BBB)
- The Federal Trade Commission (FTC)
- Your State Attorney General
- Econsumer.gov if the purchase was with a foreign merchant
We know disputes are not fun. Hopefully, one of these options can help you resolve yours.