With 84% of American adults holding at least one credit card and over 572 million accounts open in the US (according to WalletHub.com), credit cards have become a prime target for scammers. We’ve all received sketchy phone calls or emails from people we don’t recognize asking for money or to update our account information. And they’re getting increasingly creative, making it hard to know what’s real
and what’s fake. In 2024, the Federal Trade Commission states the average person who succumbs to a fraudster loses $7,000 a year, up from $3,000 in 2018!
From skimming to identity theft, we want to help you protect yourself from fraud, and the best way to do that is by learning their tricks. Here are some common fraud techniques and how to keep your hard-earned money safe from credit card scams. If you’re ever unsure about a transaction or request, give us a call; we can help. Better to be safe than sorry!
COMMON TYPES OF CREDIT CARD FRAUD
Phishing – Scammers send an email, text, or message on social media that appears to be from a business, government agency, financial institution, or trustworthy organization. They lure you to a website that looks almost identical to the real one and asks you to verify or input sensitive information, like your social security number, login credentials, place of birth, and credit card information. Once the information is provided, scammers use it to access your accounts, steal money, or sell your information to other scammers.
Vishing – Scammers call you directly disguised as a business, government agency, financial institution, or organization, often with an automated voice, asking you to verify information over the phone. It’s the phone version of phishing.
Credit Card Skimming – Skimming occurs when devices are illegally installed on or inside ATMs, point-of-sale (POS) terminals at stores, or fuel pumps, and criminals use them to capture your card data and record PIN entries. They use the data to create fake payment cards to make unauthorized purchases or steal money from your account.
PROTECTING YOURSELF FROM FRAUD
DO NOT Share Information Online or Over the Phone – Legitimate businesses, government agencies, financial institutions, or organizations will never call you to verify your account information or to ask for sensitive data. Call the organization directly or visit their official website to verify the situation.
DO NOT Click Links in Emails or Messages – Search up the business yourself online and check out the page. Ensure the URL has no extra characters, that the contact information is where the business is located, and the company details match. Better yet, call them directly to confirm.
DO NOT Use Card Readers that Look Damaged – Inspect ATMS, POS terminals, and card readers before using them; look for anything loose, crooked, or damaged. Look for terminals in well-lit areas that are indoors or at your financial institution.
Routinely Check Your Accounts and Credit Report – Look for unauthorized transactions and notify us quickly if you see something you don’t recognize. Members can get their credit score anytime for FREE through our mobile app.
