Credit Card frauds: 5 Ways to protect your hard-earned money from offline & online scams

Credit Card frauds: 5 Ways to protect your hard-earned money from offline & online scams

Mangalore Today News Network/News18

New Delhi, April 24, 2024: Cash transactions are considerably declining and people are increasingly comfortable with digital payments. Credit cards are among such options that offer a convenient and secure way to pay online and in stores with contactless options.

 

More merchants are now accepting credit cards, making them a more versatile payment method. This is especially true in metros and for bigger purchases.

Many credit cards offer attractive reward programs, cashback offers, and other benefits like travel insurance or lounge access. These perks incentivise people to use their cards more often.

However, credit card fraud can be a real hassle, but there are steps you can take to protect yourself. Preventing fraud requires a combination of personal vigilance, technological measures, and regulatory safeguards. By implementing a few proactive measures, you can safeguard yourself against potential threats.

Here are 5 ways to prevent credit card fraud:

1. Guard Your Card Details: This is rule number one. Never share your PIN, CVV code, or full credit card number with anyone, not even over email or phone. Banks will never ask for this information through these channels. Be cautious of phishing attempts that try to lure you into revealing this data.

Regularly monitor your credit card transactions through online banking or mobile apps. Report any unauthorised transactions immediately to your bank. Be cautious while using card readers, ensuring they are legitimate and not tampered with. Shield your PIN while entering it at point-of-sale terminals.

2. Secure Online Transactions: When shopping online, make sure the website is legitimate and uses a secure connection. Avoid using public Wi-Fi for credit card transactions, as these networks can be less secure. Follow guidelines issued by your bank related to cyber security.

When making online purchases, use secure payment gateways or trusted platforms. Avoid entering your credit card details on suspicious websites or responding to unsolicited emails or calls requesting your card information. Look for secure websites with HTTPS encryption and consider using virtual credit cards for online transactions to minimise exposure of your actual card details.

3. Monitor Your Statements: Regularly review your credit card statements for any unfamiliar transactions. Many banks offer SMS or email alerts for transactions, so you can be notified immediately of any suspicious activity.

4. Embrace Secure Features & Enable Transaction Alerts: Take advantage of security features offered by your bank. This might include setting spending limits, enabling two-factor authentication, or using mobile wallets that don’t require sharing your actual card details. Enable the alerts to receive notifications for every transaction made with your credit card. This allows you to quickly identify any unauthorised activity and report it to your bank for investigation.

Keep your credit card information updated with your bank, including your contact details. Take advantage of any security features offered by your bank, such as two-factor authentication or biometric authentication for card transactions. Consider opting for cards with EMV chip technology or the latest available with your bank, which provides an added layer of security compared to traditional magnetic stripe cards.

5. Be Smart About Physical Cards: Keep your cards safe and don’t let them out of your sight at stores or restaurants. Be aware of skimming devices that can steal your card information. Shred old credit card statements and receipts before discarding them.

Stay informed about common types of credit card fraud and the latest scams targeting cardholders. Educate yourself and your family members about safe card usage practices, such as not sharing card details over the phone or online unless you are certain of the recipient’s legitimacy. Encourage them to regularly review their credit card statements and report any suspicious activity promptly.