8 Effective Tips to Prevent Credit Card Fraud

Credit Card Fraud Prevention

Identity theft takes place when your personal information is stolen by someone. Sensitive data such

as your Social Security number (SSN), mail and physical address, phone number, or financial

details can be used by hackers to open up credit lines in your name. Then the criminal can take out a

mortgage, buy a house or obtain credit/debit cards to go on a shopping spree.

Credit card fraud occur when someone illegally gains access to an individual's legitimate credit card

account and uses it to purchase items, draw cash advances, and commit other illegal schemes.

It is not just the individuals that suffer from credit card scams. Credit card fraud also costs credit

card firms millions of dollars per year. But most often the consumer is not responsible for any of it,

as many firms follow zero dollar fraud liability guarantees. Credit card theft also poses a long-term

risk, since basic personal data rarely changes. Once personal details are stolen, hackers can use it to

open up new credit lines for months and even, years to come.

Tips to Prevent Credit Card Fraud

Your credit card data is always at risk of being stolen. Following are few important steps safeguard

your credit card information.

1. Keep Credit Cards Very Safe

Keep credit cards in a wallet close to your body. That way it would be difficult for thieves

to steal if from you.

Carry only the cards you need, and do not keep your SSN, driver's license, and passport

with you all the time.

Always zip the purse. When shopping in a heavily crowded area, carry a smaller purse.

Hackers can take snaps of your credit card with a mobile camera, so do not leave your

card exposed any longer than required.

Put away your card immediately into your purse, once the billing is done. Also, confirm

you have the card in your possession before leaving any store or restaurant.

2. Keep Credit Card Safe Online

Never click on mail links that look suspicious. It could be from anyone pretending to be

your credit card firm or bank who uses your personal data for sinister schemes.

Even if the mail claims to be from a “person” you know, do not click on it. These links are most often phishing links and hackers use them to trick you into giving your login

credentials on their fake site.

Exercise caution when you are using credit cards online. Enter your credit number on

sites that are secured by an SSL certificate.

You can be 100 percent sure that sites guarded by SSL are legitimate. To ensure a site is

protected by an SSL certificate and used HTTPS connection, check out for a closed padlock

sign in the address bar.

3. Create Strong Passwords and Change Them Regularly

Change your passwords on a regular basis on your various financial accounts.

Use strong passwords to defeat cyber criminals and protect your on the Web. Do not use

your birth date, address, friend's/pet's name, or any easily guessable words,

Ensure your passwords contain alphabets, numbers, and special characters.

Clear your logins and passwords regularly and change them for every two months.

4. Shred Documents with Your Credit Card Number On It

Shredding sensitive documents is one of the best ways to safeguard yourself from credit

card fraud.

Shred all your outdated credit card bills, bank statements, and anything with your

personal information instead of tossing it into the trash bin.

Shred old credit cards that have been either expired or canceled. Dispose them in different

trash bags to defeat clever con artists who can easily put the shredded strips back together.

5. Never Sign Blank Credit Card Receipts

Before signing your credit card receipt, make sure to verify the amount on it.

If the receipt has blank spaces in it, do not sign. Inform the cashier about it and ask

him/her to write in the amount and send the buy to your credit card provider.

6. Do not Give Away Your Credit Card Information

Only provide your credit card number on calls you make to customer service using the

phone number given on the back of your card.

Do not call back to a number left on your answering machine and never give your credit

card to anyone calling you requesting the same.

In the past, credit card thieves have posed as credit card issuers to trick you into giving

your credit card information.

7. Report Lost or Stolen Credit Cards

The sooner you report the loss or theft of a missing credit card the less chances it is that

you will have to necessarily pay for any fraudulent charges on your card.

Call you credit card issuer immediately and inform the situation.

Freeze your card so that the thieves cannot use it.

For example, if a hacker applies for a loan under your name, the creditor is unlikely to

approve it if the he/she cannot see the credit file.

8. Monitor Your Billing Statements on a Regular Basis

Keep a close watch on your credit card statements. If you come across any unauthorized

charges on your card, it is the first indicator of a credit card theft.

If you notice the change, regardless of how small or big it is, report the charge to your

credit card provider immediately.

Do not wait for the hard copy to come by. Check your latest account activity online.

Apart from the tips mentioned above, you can do the following tips to protect your credit cards from

being stolen.

Beware of post-breach scams

Verify your mail address with financial institutions

Protect you credit card PIN numbers. Do not share it with anyone other than your bank.

According to a recent study, 23 percent of consumers hardly notice a security breach on their credit

cards, like the one that occurred at Target and Home Depot. Instead of panicking in such situations,

act astute because this problem is now a part of life. Until banks, retailers, and payment card brands

bolster the payment processing system, credit card frauds are likely to continue.

Always remember to take a credit card breach seriously and take action to safeguard yourself from

card frauds. You may have other important things to attend to but take some time to protect

yourself. This will save enormous trouble, time, and money in the future. No credit card theft

protection is 100 percent bulletproof, so consider the factors above while giving your card

information online.

Get more details about security Tips on Card Fraud at Security Tips