In this present generation, information on any personal or financial matters has been at a high risk of theft. This includes credit card fraud. If you have a credit card, you surely are in fear right now. But lessen your agitation, for we are here to give you the smartest ways to avoid credit card fraud. Through a series of credit card frauds becomes more prevalent, you can understand how this will work, and you can gather information about how you can protect yourself against this.
This guide will nourish awareness of how and where you can be a victim of Fraud incorporated with the idea on how you can secure your card, how the companies of credit card treat Fraud and your rights and responsibilities to unauthorized charges.
About Credit Card Fraud
Credit card fraud is unauthorized and illegal use of your credit card to purchase goods or to have funds from your account through cash withdrawal done by another person. Usually, this Fraud includes theft of your identity and personal information that a person will use to use for new loans or other lines of credit under your name.
Credit Card Fraud Vs. Identity Theft
Credit card fraud is a certain type of identity theft. This can eventually be a part of a larger fraud scheme. Here are the differences between Credit card fraud and Identity theft that you must be aware of:
With Credit card fraud, most of the companies will not oblige you to be liable for the charges made using your account if it verified that your information was stolen. But since identity theft involves many points of entry to your personal life, this can be difficult to get the full compensation for all the damages done.
Scope and Size
A credit card fraud is as small as one or two extra charges made into your account using the stolen information. While identity theft is broader. This can involve multiple pieces of information theft, which gives criminals a way to impersonate you.
Easy to Clear
Credit card fraud is easy to clear once you discovered it. This can be done in a few days by contacting the issuer of your card. An unauthorized transaction made will be reversed. And the card will be canceled. The issuer can give you a replacement for the card revoked. But with Identity theft, clearing your account, including your personal information, takes years. You can deal with this with the bank, debt collection agencies, insurance companies, and law enforcement.
Credit card fraud is limited to the stolen information of your account. While identity theft can cause more considerable damage that can last a lifetime.
Prevent Credit Card Fraud from Anywhere
When you are using PayPal, this number-402-935-7733 will appear on your account, and later on, you will recognize that this is with regards to PayPal. Having this inspection in this situation must also be done regularly to your credit card. Keep an eye on your account and your credit card reports is an effective way of detecting Fraud. You can do this through several credit monitoring services like Chase.com-verify Card, Credit Card Sesame, Quizzle, and much other online access to verify and check your account. You can also join other comprehensive services which have a fee to monitor your credit card for you. This investment is worth it, especially when you experienced this traumatizing event to your account.
Though Fraud has become a typical incident, there are plenty of ways you can do to protect yourself. Here are the techniques that you can use to reduce the risk of being a victim of credit card fraud:
At Your Home
- If your card was lost or was stolen, sign new cards immediately. Establish your signature on your map to make it a difficult thing for someone else to remove or cover to forge it in using their own handwriting.
- Separate the place where you put your cash and your cards. Most of us carry cards and cash in just one wallet, which makes us more prone to having nothing when your wallet robbed.
- Keep your card on your sight as much as you can when you hand it over to pay your bill.
- Make sure to void all your incorrect receipts and carbon copies.
- Gather all your receipts in a safe place. Then, keep it.
- If you don’t intend to authorize an additional charge on your card, do not sign blank receipts. Draw a line in any space above the total amount.
- Fix your car accounts every month and always open your billing statements as you receive them.
- In case you observed suspicious activities on your card, report it to your issuer immediately.
- Use a shredder or cut your receipts into small pieces.
- Never trust or give your credit card to anyone.
- Do not leave your receipts lying around where anyone can freely get it.
- Do not put your card number on a postcard, in a photo online, or outside the envelopes.
- Do not give your card number through a phone call unless you are the one who initiates the transaction to a reputable company, you know.
Scammers become bolder in getting the personal information of the people over the phone. This is why telephone credit card fraud rises specifically to the elderly, who are their frequent victims. To avoid this, you must always know who you are speaking with. If this is an unsolicited call, take a call back and get their information first. If a person over the phone is working in a real company, their introduction is their name, department, and a contact number where you can return their call. If this is not the flow of how they introduce themselves, you may be on an incident of catching a victim of Fraud by those people.
You must also be aware of phishing through text messages. Do not bite this kind of strategy of getting your personal information using SMS, even if you think that you know the person you are replying with. Scammers can impersonate contact numbers now. That you might think you are communicating with your relatives or friends when the truth is that a criminal is taking advantage of you on the other line.
When on a Vacation
When you are traveling, the risk of credit card fraud increases as you use your card in an unfamiliar environment. Make sure that you notify your card company if you are traveling or changing your residence. The company might flag a charge when you are in an unfamiliar location if you don’t do these tips. This may cause you to lose your access to your account. Use a hidden pouch that you can wear inside your clothes when you travel. This is better than carrying a large pocketbook or purse.
Online Shopping is a trending activity online nowadays. And with this activity, you must understand how you can protect your personal information when having shopped online. Here are the tips for you to avoid credit card fraud online:
- Avoid clicking links on your email. Mainly from that individual or companies that you can’t recognize having a transaction.
- Use your card to purchase the things you want to a legitimate website only.
- Never give your card information such as a social security number or account number when you respond to an email or a link you receive through your email. Go directly to the site of the company rather than typing the address.
- Check the page and the feedbacks of its clients to secure it when you enter your card information.
- Do not use a debit card, but use your credit card instead to limit your liabilities for any fraud that may happen.
- If you use a public computer or a public WiFi network, do not open or enter your personal information.
- To prevent hacking, keep your anti-virus software updated.
- Always have time to check your transaction history to make sure that your transactions match the receipts that you receive and watch out the unfamiliar transaction that might happen.
- Ask if your card issuer offer a one-time use card number or disposable card number.
These tips are simple, but this could save you from tons of fraud incidents along the road.
Credit card fraud becomes a common crime for every citizen. But this must not put your buttons to red alert as long as you are aware of the things you must do to avoid or prevent such cases. Awareness is like having an eagle eye to watch out for the enemies who only want to gather victims of the crime they indulge in doing.
Have you ever been in an incident of detecting a credit card fraud on your account? What did you do? Tell us your story to know better the actions that we must take when we are in the same situation you’ve been to.