Credit Card Frauds

Credit card market has increased greatly and it continues to rise as new users join the credit card ownership community. Among reasons of getting credit cards, the majority of them are based on the convenience of readily available money. As much as they are easy to use, a complexity resides with that users are easily prone to a fraud without their even realizing it. Often in online banking, complications are likely to occur.

To make sure you are not an unconscious target to a seemingly hard to spot credit card fraud, below are ways to find out if you are a current potential target or on the way to becoming one.

Stolen and Lost Cards

The most common trouble a credit card holder may face is either the credit card being stolen or misplaced. If it is stolen, it is confirmed that the credit card will eventually be violated and used by the individual who is in possession of it. The moment you realize your credit card is missing or stolen, it is strongly recommended to instantly report it to the credit card company in order to avoid damages.

Applications Fraud

An application fraud happens when an individual uses your information to apply for a credit pretending to be you. Banks usually require original documents for application and call employers for getting a background check.

Do not share your personal information with people and be wary of sending off your CV’s to various organizations that might use your information to conduct a fraud.

Account Hacking

By accessing the information such as passwords and other bits of basic identity information, scammers will be able to hack your account and use it as they want. By doing this, they will pretend to be you and report the card being stolen, asking for a new one.


ATM Fraudsters

This type of fraud has become common as people access ATM’s for transactions. In this fraud, people set up ATM’s to collect information on a credit card holder as they enter it into the ATM. This stolen information is sent back to the fraudsters behind the ATM and used for illegal transactions.


CNP Fraud

CNP stands for Card Not Present fraud, which explains the type of fraud, conducted without the fraudster being in physical possession of the credit card. If the fraudster is aware of your card’s expiry date and account number, by accessing this information, they can use it to make transactions very conveniently through phone, internet, or email. If the person has your account number, chances are they are most likely aware of the card verification number as well.

In case, they are unaware of the number, the fraudster will begin a guessing game and order low-cost products. This is why it is greatly advised to scrutinize your credit card statements and look up for any purchases that recede your memory.


Fake Cards

Creating a card with anonymous information will easily allow the fraudster to make transactions using their fake card. As the card will not be linked to any account, the bank will not be able to find the user, as they never assigned the card to anyone in exchange for information.

The credit card frauds are targeted towards both individual credit card owners as well as banks. Since information is required to get cards, in the first place it is considerably easy for someone to provide fake information and get access to a credit card. Therefore, it is advised to keep your information safe and share it with people after running background checks on whom you are sharing it with.