As more and more consumers stick to their credit cards to pay for everyday expenses, fraudsters are wasting no time and are finding ways to exploit failures and carelessness in using this convenient means of payment.
Do you feel safe with your credit card? Wouldn’t you rather check out the tips we posted here to prevent scams? Just keep reading.
New technologies, new forms of fraud
The famous card cloning is a thing of the past. Replacing magnetic stripe with chips (which already reaches 95% of active cards in the country) and the use of passwords to unlock transactions made that traditional form of fraud unfeasible.
But the fraudsters did not give up and today they no longer have to have their card in hand to make purchases and hang the bill on their bill. Just capture the data from the card. Where? On the Internet.
With the expansion of e-commerce, what is not lacking in the internet is credit card data being entered, trafficked and stored. In possession of a card’s data, the fraudster first makes a low-value purchase just to test its validity and limit. The cardholder may not even notice this slight movement. After the first purchase is completed, the fraudster will have another limit available for immediate use.
How to defend against this type of fraud?
One (not so innovative) step taken by credit card companies is to verify that each purchase in progress is within the respective card’s historical purchase pattern. If not, the cardholder contacts the cardholder to confirm that they are making the purchase themselves.
Another widely used measure is to send a message via MMS to the cardholder after each transaction performed. It’s a way for him to be notified (almost) in real time if someone is shopping on your behalf.
Some measures are being tested to require the consumer to validate the purchase, which could be via biometrics, face reading or token. While the level of credit card security does not reach this high level, some basic recommendations for protection are still valid.
15 Basic Recommendations That Remain Valid to Avoid Credit Card Fraud
- Do not pass your card details to others, even if they are close to you;
- Do not use the card on unfamiliar websites;
- If you notice unusual movements on your card, ie purchases you do not recognize, contact the cardholder as soon as possible;
- Stay tuned for emails requesting personal data; This is not the communication channel used by card managers when they really need to talk to you;
- Avoid keeping passwords on paper or even on your computer; prefer to memorize them (but be careful not to forget or confuse the codes);
- Do not use your card’s data storage facilities offered by certain websites or software;
- Use highly secure payment intermediation services like PayPal;
- Enter your credit card details only at the time of payment; There is no reason to provide them outside this context;
- When you shop online, use your access device, be it a personal computer, a tablet, a notebook, or a smartphone. no filling in confidential data on third party machines;
- keep your internet access devices protected; install only trusted software, keep antivirus and other defense mechaniMMS active;
- Use the services of card companies that send notifications via MMS or email for transactions made;
- do not post images of your credit card on the internet;
- consider adopting a virtual credit card; your real card data is preserved;
- If your card is lost or stolen, contact your institution immediately. Making a newsletter can be interesting;
- always check the amounts posted on the invoice.
Commercial establishments are also victims of fraud
Here are some ways we consumers can prevent ourselves from avoiding credit card fraud. But if you are a shopkeeper or service provider and accept credit card payments, you know that there are also frauds and fraudsters across the counter.
Among the many forms of fraud against merchants that accept credit card payments, one of the most common is the exchange of little machines.
In a moment of distraction, the fraudster simply exchanges his credit card processing machine for another, which will record all sales in favor of an account that is not his own.
To avoid these and other scams, the best solution is to keep tight control of credit card sales in order to detect any abnormality as soon as possible.
Avoiding credit card fraud is better
Taking steps to prevent credit card fraud is better than giving up the facilities a credit card can offer.
Taking steps to prevent credit card fraud is also better than bearing the headaches and possible post-fraud losses.
It is quite true that preventive measures do not completely eliminate the possibility of fraud, but still do not cost to adopt them, they are basically habits to acquire. Good habits, by the way.