Credit cards are not something to be messing around with. Every year, tons of companies lose billions of dollars to credit card theft. Credit card fraud is the unauthorized use of a credit card to fraudulently obtain money.
In order to help minimize the damage, companies such as Visa, Mastercard, and Discover offer different protection services to card users. You can learn how to avoid becoming a victim to fraud. If you would like to find out the different Types of Credit Card Fraud Protection, continue reading this post to learn more.
Table of Contents
1. Fraud Detection Through Suspicious Activity Monitoring
If you bank with Visa, cardholders will get automatic activity monitoring. Then, the company can analyzes the data for credit card fraud detection, to see if the charges match your previous spending habits. The bank will ask you to verify the charges or freeze your account if fraud is confirmed.
2. Location Detection to Prevent Credit Card Scams
Some credit cards have geo-location services that help track where you are and what purchases were made outside of your typical location. If you were outside of the country or something, the company can use this service to verify your location and authorize the purchase.
If the purchase looks off, the credit card company will freeze your account and report fraud to your bank. Check to see if your bank or mobile banking app offers this service.
3. Identity Theft Protection Service
While thieves will steal your credit card information to use for their own personal pleasure, they will also sell your information on the internet. To identity theft, some companies will monitor black market sales of credit card numbers. If your bank offers this free service, you can simply opt-in.
4. Enhanced Account Verification for Identity Protection
To add an extra step of protection, Discover monitors log-in locations and devices. If someone tries to access your account from an new device or do certain actions, the company will send a code to confirm the activity with you that allows you to continue.
5. Help With Recovery From Identity Theft
Even with all of these preventive measures, identity theft still happens. You can report it to the Federal Trade Commission and place a free fraud alert if you find yourself falling victim to identity theft.
If you own a credit card, it is important to protect yourself from the different Types of Credit Card Fraud. To learn more about this, simply bookmark this page to read on
For more information on banking, check out more bank guides right here on HMB!