- Jan 1, 1970
Basically, yes, there's nothing to stop a merchant fraudulently claiming
that purchase have been made when they haven't.
But the merchant should also expect the card holder to deny having
authorised those transactions, and get them reversed.
Unless it's for a small amount, of course. I suspect there's a degree of
fraud along these lines based on the assumption that the consumer won't
do anything about a small debit they don't recognise.
Ok,so does this mean that once a card holder has denied authorizing
the transactions, the bank has no choice but to reverse them, ie there
is a legal obligation to do so, and the bank cannot refuse.