If credit card fraud hasn’t happened to you already, it probably will at some point. It’s a growing problem, While there is no sure-fire prevention tactic, there are things you can put in place to take the most precaution against it.
What is credit card fraud?
When someone uses your card or its information in order to make purchases, transfers, or withdrawals without your permission, they've committed credit card fraud using your information.
Signs of credit card fraud
The Office of the Comptroller of the Currency (OCC) describes some common warning signs that may mean you've been a victim of credit card fraud:
- Transactions you don't recognize appearing on your card statements
- Smaller unauthorized transactions, typically used to test the likelihood of getting away with a bigger transaction
- Notifications from your bank of suspicious activity
What to do about credit card fraud
If you know you've been a target of credit card fraud, there are a few things you should do to protect yourself right away and alert the appropriate authorities:
- Place a credit freeze. According to the Federal Trade Commission, a credit freeze stops someone from being able to open a new credit card in your name. Contact all three of the credit bureaus to put your credit freeze in place.
- Report the fraud. Contact the FTC to tell them what happened, and get their assistance with next steps.
- Double check all of your other cards. Identify which accounts are affected and which ones aren't.
- Review your bank statements. Identify and keep records of unauthorized, suspicious, and fraudulent transactions, transfers, and withdrawals you may notice.
- Close your affected accounts. While this is a last-resort solution, if your identity's been compromised, your entire account is at risk.
- File a report on the incident with law enforcement.
Above all, the best way to combat credit card fraud is by being cautious, being proactive, and being vigilant.