Guarding Against Credit Card Fraud
Types of Credit Card Frauds
- Misplaced or stolen cards are still the most significant source of credit card cons.
- Phishing attacks are the second most frequent ways to give effect to a credit card scam. A genuine looking email requires update of some key data by the victimized cardholder and contains a counterfeit link that appears to be coming from a real bank, but belongs to a site of the fraudster. When the user enters the info on this website, it is illicitly gathered in the backend.
- In some cases, the criminals might give a call to the cardholder, claiming to be coming from the issuing bank and request for some key facts for a professed ‘account update’.
- Making use of the cardholder’s data, the scammers may make purchases on the existing card or even, create a new account in the holder’s name.
- Skimming is a comparatively new type of credit card fraud, in which the merchant’s representatives at the billing counters covertly copy the card data using camera mobile phones, photocopiers, etc.
- BIN attack is a method, where random credit card numbers are generated using softwares and later, tested for validity.
- Taking advantage of some legit mail redirecting services, fraudsters redirect information-sensitive emails or snail mails of the victim to their own addresses.
Avoiding Credit Card Frauds
The security-based technologies used by the issuers will probably continue evolving with time in the wake of newer risks, but they always attempt to develop more and more user-friendly solutions. A little bit cognizance and adoption of some simple safety guidelines can decrease the risks to your credit card greatly:
- Do not defer reporting lost credit cards.
- Maintain your credit card info – card number, expiry date and CVV number – with confidentiality. Also, never disclose the login credentials of your online account to anyone.
- Do not reveal any confidential information in answer to a mailer, sms or call. No authentic issuer ever compiles information in this way. This also refers to your personally identifiable information, which is used for your identification by your bank.
- Sign your card instantly on receipt.
- Be mindful at the billing counters and keep a close eye on the person dealing with your card. Take your credit card back immediately after swiping.
- Always scrutinize the amount charged on your card, as stated on the sales slip.
- Activate your bank’s transaction alert services, such that you get information the moment a purchase is completed using your card.
- Take note of all your purchases done in a billing cycle and check it against the bills you get.
- Do not deal online over public computers, including your office computer.
- During the course of an online purchase, verify that the website is legitimate and the connection is secure (the address should begin with https://).
- Look at the security certificate for SSL encryption of the online payment gateway before submitting your credit card information.
- Sign up for for any optional security services available at your bank.
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