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What is credit card fraud?

What would you do if your credit cards were stolen?

Or if goods that you did not purchase were charged to your account? Or if unauthorised credit accounts were opened in your name?

Lost or stolen cards can be reported and cancelled quickly and easily. However, if your credit card account information has been compromised, it can be difficult to identify the source.

If your credit card data has been used fraudulently, it means that a criminal has stolen or copied the name on your credit card, the account number, expiration date and verification (CVV) code.

Scams to watch out for

  • Skimming - The information on your credit card's magnetic strip is electronically copied using a 'skimmer' machine. The skimmer produces a counterfeit or cloned card that is then used to make fraudulent purchases. It is typically an inside job carried out by dishonest employees in restaurants, shops and petrol stations.
  • ATM scams - Some ATMs have been fitted with a skimmer. They are so cleverly disguised that it is difficult to notice unless you know what to look for. If you think an ATM has been tampered with or something doesn't look right, don't use it. Most ATMs are branded with the name of a known financial institution like banks and building societies. If you come across one that you are unfamiliar with and not sure about, don't use it.
  • Identity fraud - Typical examples of identity fraud are when a criminal uses your identity to take out loans, mortgages, credit cards or open new accounts. They can do this by stealing your personal information on utility bills and accounts.
  • Stolen or lost credit cards - If your credit card had been lost or stolen, report it immediately

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