6 Actions to Take if You are a Victim of Credit Card Fraud
It is officially the holiday season which means many of us are spending more money than we typically do, especially on our credit cards. And although credit cards are an ideal way to spend thanks to points, rewards, and protection - we are all still susceptible to credit card fraud.
To make sure you’re equipped to take quick action if you should find yourself victim to credit card fraud, we listed below six steps to take to ensure your credit is locked down safely and securely.
Contact your credit card company
If you see fraudulent charges on your credit card the first thing to do is contact your credit card company. They will be able to flag the charges you did not make. The good news is most credit card companies offer a zero-liability policy so you won’t be responsible for any fraudulent charges.
Your credit card company will also cancel your current card number and send you a new credit card typically within days. Some even will offer your new card number through a mobile number so you don’t need to wait for the card to come through snail mail to make purchases.
Change passwords
It is important to change your passwords on your accounts. Especially if your card was compromised online this will prevent future fraudsters from striking again.
Freeze your credit
To be extra safe, you’ll want to place a freeze on your credit. This prevents anyone from opening new lines of credit in your name without your knowledge. In the future if you do want to open a new account, all you’ll have to do is lift the freeze. You can do this temporarily and it is completely free to freeze and unfreeze your credit.
In order to freeze your accounts, simply call the three credit bureaus: Equifax, Transunion, and Experian.
File a police report
Filing a police report for credit card fraud may seem extreme to some, but depending on the severity the theft can actually be a felony and lead to prison time. Having the report also will only help you prove that you are completely innocent of the charges to your credit card companies.
Even a small credit card fraud crime may lead to a larger financial crime that you are unaware of. Reporting your experience could help the police spot a trend and lead to a bigger bust. Unless your immediate safety is in danger, use your local police station’s business number instead of 911. They will have operators available to assist you just the same.
Add spending alerts
Almost all credit card companies allow you to set up spending alerts so you can approve or deny transactions that are outside your usual purchase patterns. Although most companies are pretty good at identifying possible fraud - it is best if you set up alerts yourself just in case. You can do this on each of your accounts and choose to receive alerts via email, text message, or phone call.
Monitor your transactions
And finally make sure to always monitor your transactions. It is really easy for us to go days, maybe even weeks, without checking our transactions to identify any possible fraudulent charges. Make it a habit to go line by line on any statements to ensure no one is accessing your credit cards and accounts without you noticing.
Almost EVERYONE will be a victim of credit card fraud at some point in their life. It is unfortunately quite common so don’t freak out and follow the above six steps to make sure you’re taking care of your credit and ultimately your financial health.
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