What to Do if you Fall Victim to Credit Card Fraud
Using and guarding your credit card wisely is the name of the game as fraudsters are always on the lookout for any chance to claim your cards for their own.
More from Credit Fraud and Protecting Your Credit Cards
7 January 2009
What to do if you fear you are a victim of credit card fraud
Credit card fraud is on the rise despite the introduction of chip and PIN to the UK in 2006.”
Card watching
Using and guarding your credit card wisely is the name of the game as fraudsters are always on the lookout for any chance to claim your cards for their own.
According to APACS, the UK Payments Association, "the card fraud landscape is changing" due to the continued success of chip and PIN in the UK.
Fraudsters are focusing their attention on environments where chip and PIN does not apply, such as the Internet and countries yet to convert to this system.
Sadly, the introduction of chip and PIN to the UK in 2006 has not eradicated card fraud. In 2007, total card fraud losses actually increased by 25% to £535 million.
If you fall victim to credit card fraud, it can be very stressful and worrying. But you can – and must – take action if you become prey to fraud. This will also help you gain some control over the situation.
Different varieties of fraud
Fraudsters can obtain your cards through a variety of different methods. They may steal your cards or discover your details through a statement that was mislaid. Or, if you let your card out of sight in a retail outlet, they may even clone your details.
Whatever the method, once you discover that you are a victim of fraud you must take certain steps straight away.
Contact your card issuer
It is essential you contact your provider immediately to ensure the card is cancelled and that no further fraud can be carried out.
Under the terms of the Consumer Credit Act and the Banking Code you are liable for damages only up to a maximum of £50, and often, this is waived by providers.
However if you are shown to have acted without reasonable care, such as keeping your PIN with your cards, you may have to meet all the losses.
Report it to the police
It is important to report the fraud to the police, who may help with recovering the losses on your card. You may also need to give your provider a crime number, which the police will give you. Call your local police station to report the fraud.
Identity theft
A more serious outcome of fraud is identity theft. In the most severe cases it can make cancelling a card seem like a small task, as identity theft can intrude into all areas of your personal and financial matters. Click here to learn more.
Guard your cards
Always keep your card in sight when making a transaction.
Confirm the amount being debited from your card.
Shred any unwanted receipts and documents.
Check your receipts against your statement carefully to ensure that there aren’t unfamiliar transactions. If this ever happens contact your provider immediately.
Never write down your personal identification number (PIN), never disclose it to anyone, ever. If anyone claiming to be from your card provider calls asking for this or any other card details don’t give them out. Do call your card provider back however, to report that someone has called to ask about your card details.
If you use a cash machine don’t get distracted and keep an eye out for anyone watching you.
Report lost or stolen cards straight away. It can be handy to keep your provider’s emergency number in your mobile telephone, just in case, especially if you are going abroad. The number will also be on your statement.
See also what to do if your credit card is stolen, identity theft, how to protect your card from cyber crime.
