Cards Stolen, Held Responsible

American Express mailed us replacement cards recently. These cards never arrived (they weren’t stolen from our mailbox as they never arrived at the local sorting center either) instead they were used for multiple fraudulent charges. We reported the fraud to Amex with hours of the charges. Amex didn’t seem to understand that such a scenario was even possible. They promptly ruled that we were responsible for the charges as the cards were physically present for the transactions.

Suffice it to say we feel this violates Amex’s credit card agreement and federal law. We certainly will not be continuing doing any business with Amex in the future.

What advice would you give for resolving this properly.