Credit Card Fraud

A Brief Description On Credit Card Fraud

Credit Card Fraud

Credit Card Fraud

Are you aware of what is credit card? If you are willing to know more about credit cards then I will recommend you to carry on reading this article. Credit cards are also known as plastic card and these are the medium for payment. Every credit card is issued by the bank though which you can make online payments. You do not have to travel with heavy card in your pocket as these you can make all type of payments through these credit cards. The issuing authority of the credit card set-ups a limit for doing online shopping and credit card holder is supposed to pay money back to the particular bank once in a month.

What is Credit Card fraud?

If you are a credit card holder, then you must be aware of credit card fraud as it is quite common these days. Nowadays many people have faced the problem of credit card fraud. There are several cases where we have to face credit card fraud. You have to be very careful while make online payments through your credit card as sometimes when we have to suffer huge loss while purchasing online products. If you want to avoid such conditions then I must recommend you to make online payment on the websites, which are trusted, and having good reviews of buyers.

Stolen Credit Cards

The first case, which comes in picture, is losing of your credit cards. You must know that if your card is lost then it is usable if you do not register a complaint against it. All the authorities who issue the credit card provide tool free numbers, which are open for 24×7. In case your card is lost, you can register online application against it and your cad will be blocked in next half an hour. If you are not getting information of losing your card then it may happen someone can make wrong use of your credit card. Hence, the first action, which is essential to take, is to register the online complain of losing your credit card so that the issuing authority could lock your credit card and you could save your money.

Credit Card Compromised accounts

All the credit cards contain the information of the used in its magnetic strip, which is pasted in the left side of the card. This information can be leaked in many cases, so we have to be careful while using our credit card. The magnetic strip usually contains the name of cardholder, account number, verification code or CVV number, expiration date as well as back branch code. This information could be same on each card or some card may contain other information too.

Credit Card not present transaction

Wireless media is one of the main routes from where this information is leaked. When card is not present physically then it is called CNP situation. CNP stands for card not present. In case of CNP these information are provided in mails or over telephonic conversation. Most of the times through these medium informations are leaked and people might make wrong used of your credit card.

Credit Card fraud

Identity Theft: if you are carrying a credit card then you should be very careful with its security as these days the thieves can take out the necessary information from your Driving license Number or PAN card number. The technique, which will make you to overcome this problem, is to make yourself update with the credit card score. Whenever you withdraw even a small amount of bucks, you must be aware with the left amount in your bank account, as it will help you to check out the status if any of the theft occurs.

Always avoid giving your personal details to the unknown calls or to the people doing survey for any of the particular company as they can easily withdraw money from your bank account with the info given by you.

Credit Card Application fraud

Application fraud is a part of Identity fraud where fake documents are used by the criminals in order to create a account with some other’s name. They can go for the documents like your Driving license number, bank statement etc and with the help of this information, they create new and fake credit cards. So, always beware before giving your cards at the time of purchase as they use skimmer in order to trace the desired information, which in turns is used for application fraud

Credit Card Skimming

This kind of fraud is very common these days, which was not seen in past years. Skimming is a process where the necessary information of the credit card holder is stored in a machine, which in turn can be used to make a fake card, the machine used for this process is called skimmer. There are several places from where skimmers can take out your details; some of the most common are petrol pumps, shopping malls, restaurants, hotels, bars and many others. Apart from these places, call centers are also a famous place from where theft occurs. Therefore, whenever you use your card, you should be very careful, as we all know that prevention is better than cure. A small mistake of yours can take you into a big loss, which can even affect your future too. Several parts of the world are affected from this issue such as Netherland, south America and others.

Skimming can also be seen in ATM’s where the skimmers put a device within the slot where you insert your ATM card. The device contains a camera, which is used for the checking of your PIN code.

 

Credit Card Cardholder liability

As per the federal law, the liability of cardholders has been limited to $50 despite of the quantity of amount charged on the card.

Thus, if you have a credit card and want to be free from all the problems regarding its theft then do not forget to remember these crucial points, which will not only help you out in making your future safe and secure by saving your precious money.

 

A Brief Description On Credit Card Fraud