Credit card security
is your responsibility... Credit cards
can be a blessing - or a curse. If you're the victim of identity theft, you're
financial future could be ruined. Depending on how much damage occurs, it could
take years to correct your financial reputation. Even a lost or stolen credit
card can cause major headaches. Here's some simple ways to protect yourself and
avoid these unfortunate situations: -
Sign
your credit card right now!
To help protect yourself against fraudulent
use of a lost or stolen credit card, sign the back of your credit card immediately.
Although not all merchants will look for your signature, this limits how (and
where) a thief can use your card.
-
Examine your monthly statement
Examining your statement is the single most important thing you can do to protect
your credit. Keep your receipts and check your monthly statements carefully, comparing
your your purchases with new charges. Notify the issuer immediately if you notice
discrepancies.
-
Report
lost or stolen cards immediately
Although you have some financial protection
from fraudulent use, lost credit cards can cause major headaches if not handled
properly. Report the loss to the credit card company, as soon as possible. The
card issuer cannot hold you responsible for any unauthorized charges, if you report
the loss before your credit card is used. If the card is used before you have
a chance to report it missing, the most you'll owe for any unauthorized use is
$50 per card.
- Use
caution when ordering by phone
Ordering merchandise over the telephone
is common, and normally safe. But always use caution when you're asked for your
credit card number over the telephone, especially if you were contacted first.
Don't provide any information if you aren't confident you're dealing with a reputable
company or sales person.
- Protect
important documents
Maintain a list of all your credit cards, account
numbers, addresses and telephone numbers in one safe location. If your credit
card is lost or stolen, you will need this information to report your missing
card. When you discard documents with account numbers on them, be certain that
the numbers can't be read. Never put your account number on the outside of an
envelope or on a postcard. Draw a line through blank spaces on charge slips so
the amounts cannot be changed.
- Protect
your PIN number
Do NOT write your Personal Identification Number (PIN)
on your card or carry with you in any form or fashion. Never choose a number that
correlates with any other personal identification about yourself such as your
birthday, address, phone number or social security number. These are the first
numbers a thief will try to access your account. Errors
on Your Credit Card Statement The provisions
of the Fair Credit Billing Act help you settle disputes with your creditors about
errors on your statement. Keep in mind, these provisions only apply to revolving
credit accounts such as credit cards, department store cards, and overdraft protection
for your checking account. This Act protects you whether you use your card online,
over the phone, through the mail, in person or at a store. If
you disagree with an item on your bill, it's your responsibility to notify the
creditor in writing within 60 days of receiving the statement. Include your name,
address, account number; the item you believe is in error, an explanation of your
dispute and copies of supporting documents, such as receipts showing the correct
amount of the charge. Be sure to explain the situation in detail. Look for contact
information on the back of the credit card or your billing statement. The
issuer must respond within two billing cycles but no later than 90 days after
the issuer receives your notice. While the error is in dispute, creditors cannot
report to other creditors or credit bureaus that you have not paid the disputed
amount. And until your complaint is answered, the creditor may not take any action
to collect the disputed funds. During the period that the issuer is investigating
the error, you don't have to pay the amount in question, but you're still responsible
for payment on the balance. Lost or Stolen
Credit Cards Federal law limits your
liability for unauthorized charges. If your credit card has been lost or stolen,
you must inform the credit card issuer (in writing) within 60 days of receiving
the billing statement containing the error. Send your letter to the address listed
on your credit card statement. Be sure to include your name, account number, the
date and amount of the disputed transaction and the reason you believe the billing
error has occurred. Send your letter certified
mail return receipt requested for proof of delivery. Once you've made contact,
you're not responsible for any unauthorized charges from that point forward. And
your total liability for the other unauthorized charges cannot exceed $50.
Protect Yourself while Shopping Online While
the Internet offers the comfort and convenience of shopping from home, the basic
rules of 'traditional' shopping still apply. But be aware of the additional risks
as well. Here are some helpful tips to make sure your online shopping experience
is as safe and enjoyable as possible: -
Be cautious if you're asked to supply personal information such as your Social
Security number or bank account information. This should not be required for any
purchase!
- Look for security
information or an unbroken key or padlock (usually located in the bottom corner
of your browser). This indicates that your credit card data is transmitted securely.
- Keep your passwords safe and
don't share them with other people.
-
Make sure to print or save electronically any records related to your online transactions.
- Make sure you know the merchant's
policies. Before completing an online purchase, carefully read delivery and return
policies and privacy statements on the merchant's site.
- Don't deal with sellers who are evasive and won't give
contact numbers or addresses. Check that the site has a physical address so you
can contact the business later if you need advice or after-sales support.
Don't buy on impulse. Take your time in deciding to buy and don't be pressured
by "limited" offers. While there may be time limits, high pressure sales tactics
can be a sign of fraud.
- Check
the actual price it will cost you to receive the goods. Many offers are in foreign
currency values and exchange rates can change quickly. Also check the freight
or delivery method costs and whether the goods attract sales tax or import duty.
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