We have a customer who placed an order through a grocery store app and then cancelled the order. The customer did not receive any of the items in the original order, however, the charge cleared his account. He did call the merchant and was told that they do not see a charge was initiated on their side. Would this be considered a Reg E claim since the customer did not benefit even though he did initially authorize the charge before cancelling the order?

I feel like it would be but get confused in situations like this.

Thanks!

Any thoughts?

Probably covered under the card issuer rules rather than Regulation E. She authorized the original charge and she is not missing a credit since the merchant has not sent one.

Thanks Randy! I appreciate the input.