Play your cards right
All types of Card fraud, whether it’s Credit or Debit cards, are on the increase. We thought it wouldn’t hurt to give you some hints and tips about protecting yourself as banks worldwide are now increasingly concerned about ATM and debit-card fraud.
Unlike credit-card thieves, who usually charge merchandise and then resell it to come up with money, people who create counterfeit ATM or debit cards by stealing your PIN and other account data can simply pull cold cash from your bank account. Using a technique known as skimming, they set up equipment that captures magnetic stripe and keypad information when you input your PIN at ATM machines, petrol pumps, restaurants, or retailers.
Here are our Top 10 things to be aware of:
Don’t Type in Your Pin at the Pump. Petrol pumps are notorious for skimming because they’re produced by only a couple of manufacturers and, if someone gets the key to one from a disgruntled employee, they can insert a skimming device inside the pump where it can’t be seen. It’s much better to use a credit card but if you have to use a debit card at the petrol pump, choose the screen prompt that identifies it as a credit card so that you do not have to type in your PIN. The purchase amount will still be deducted from your bank account, but it will be processed through a credit-card network, which will give you greater protection from liability because card issuers typically have “zero liability” policies for both debit and credit cards, but sometimes exclude PIN-based transactions from that protection if fraud does occur.
Stick With ATMs Located at Banks. Use machines at banks rather than in local shops, airports, or any isolated locations. Because the thief has to attach and retrieve and skimming device that’s more likely to happen in non bank settings where there’s less traffic and no surveillance cameras.
If you notice a change at an ATM you use regularly, such as a colour difference in the card reader or a gap where something appears to be glued onto the slot where you insert your card, that’s a warning sign you’d want to report to the bank that owns the machine.
Watch out for shoulder-surfers in shops and at cash machines. Once a thief has your PIN, he or she is more likely to steal the card to go with it and can use your card in any shop.
Closely Monitor Your Bank Accounts. Check them regularly – preferably online. If you fail to report unauthorized charges within 60 days of the date your paper statement listing those charges was mailed, you could be liable for any unauthorized withdrawals afterwards, including the full value of credit lines or savings accounts linked to your account for overdraft protection.
Visa and MasterCard have zero liability policies that go beyond local law by exempting debit cardholders from liability in most circumstances when a bank investigation confirms that a transaction is fraudulent. However dealing with debit-card fraud can have a greater impact on your finances than credit-card fraud.
When you’re a victim of unauthorized charges on a credit card, you won’t be out of any money while the disputed charges are being investigated. It’s not the same when a thief steals money from your bank account using a counterfeit debit or ATM card. That cash won’t be restored to your account until the bank conducts its investigation and classifies it as a case of fraud.
If you’re a business that uses credit card readers be aware of another debit card scam involves fake engineers turning up at shops and taking terminals away to be “repaired”. Instead, they set them up to copy and store details of every card that is inserted in the machine.
The information cannot be used to duplicate a chip and PIN-protected UK card but can be encoded on the magnetic stripe of a blank card, which is then used to withdraw cash in countries where chip and PIN security has not been introduced.
Do not let your card out of your sight in shops, restaurants or hotels. If your card is taken away, a member of staff could be copying the information in the magnetic stripe. The data could then be used in exactly the same way as the information captured from dodgy terminals.
Don’t carry a wallet full of plastic if you will not be using it. Pick-pockets and sneak thieves are especially active in busy shopping areas, restaurants and cafés.
Never write down your PIN. Learn it instead. And never share your PIN with anyone else.
Do not use the same PIN for several cards. If it is compromised, it could be the key to your finances.
Always shred your card and bank statements before throwing them away. You could lose your money and your identity if you do not. Thieves raid bins and recycling looking for useful documents.
Use the latest security software on your computer if you shop. Manage your cards or bank online. Do not store card details alongside passwords or PINs. If your PC gets a virus, hackers could acquire everything they need to clean you out.
Do not give too much information away on social networks, especially items such as dates of birth or anniversaries that you use as PINs. Crooks check these sites frequently in the hope that they will find information that can help them.
Comments ( 0 )