How to Overcome Credit Card Fraud
Overcoming credit card fraud can be both costly and frustrating for the card holder. In addition, such fraud costs card issuers millions of dollars each year. Most major card providers have zero-liability policies in place to protect victims of fraud, but the card holder must act quickly to receive this protection. An additional incentive to act swiftly is that card holders may find themselves without a card for a week or more until a new card is received.
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Instructions
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Report suspected credit card fraud to the credit card issuer immediately. According to the Federal Trade Commission, once you report the loss or theft, you have no further responsibility for unauthorized charges. The provider will block use of the old card and issue a new card with a new account number.
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Document the time of your call, who you spoke with and briefly what you discussed. This may help you with a claim.
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Follow up in writing. Send the card issuer a letter detailing the suspected fraud. Most major card companies have a billing inquiries address that is separate from the payment address. The billing inquiries address can usually be found on the credit card statement or account terms agreement. Keep a copy of the letter for your records.
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The card issuer may send the card holder an affidavit and ask for it to be signed and returned. This affidavit is a written statement attesting under oath that the card holder did not make a purchase or purchases. Sign the affidavit and return it to the issuer.
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Create new passwords and personal identification numbers once the new card is received. Create passwords that are not easily forgotten but are difficult to guess. Good passwords contain eight or more characters as well as special characters.
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Check credit card statements regularly to identify any charges or inquiries you don't recognize. Follow up with the card issuer if you see anything suspicious.
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Pull your credit report to verify that no new and unauthorized accounts have been opened. According to the Fair and Accurate Credit Transactions Act, consumers can obtain one free credit report from the three major consumer-credit reporting companies once every 12 months.
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Tips & Warnings
Keep your credit card in a safe place.
Never disclose your personal identification number.
If your card is lost or stolen, the maximum liability under federal law is $50 per card.
