The internet is a wonderful place to explore. It has given new meaning to the term shop until you drop. Where else can you shop at all hours of the day from the comfort of your own home! Almost all online sites that sell goods and services accept credit cards. While this is very convenient, it can also be dangerous.
Technology and the anonymous nature of how you are really doing business with on the internet have given scammers the opportunity to take your credit card information and purchase items with out before you know what hit you. That being said it is important that you only use credit cards that don’t hold you liable for fraudulent charges.
Some credit card companies are now offering theft protection before the charges are made. For example, some companies monitor your normal spending habits. If you go online and attempt to purchase items from several sites, it may say your credit card is invalid. While you sit around puzzled, the phone rings. It is your credit card company calling to verify it is you that is actually trying to purchase the items. The reason it is so suspicious is online credit card theft cases generally have a large amount of merchandise purchased in a matter of days. This is so the purchases are done before the card holder gets a statement or logs into their account online.
Other ways credit card companies are protecting you is by assigning you a virtual account number with a PIN. When making purchases online, you don’t give your actual account number. If someone gets this virtual number, they won’t have access to the PIN number and the transaction won’t be processed.
Merchandisers are also making sites more secure. They may request the three or four digit number on the back of your card. This is to verify you actually have the card in your hand. Merchants and credit card companies work together to ensure safety by only allowing the transaction if the billing address for the card and the shipping address are the same. However, this does create issues for people wanting to mail a gift direct or have merchandise sent to their office.
With all these security measures in place, scammers still get consumers to give up their information very easily. In a scam called phishing, you will get a email that looks legitimate from a site you frequent such as Ebay. It will then tell you that your account has been compromised and your account will be closed if you don’t verify your information. It will then ask for anything from a credit card number to a bank account number. It will look professional enough that many people don’t question it.
If you get anything like this, do not reply. Delete it immediately. You can then log into your account on any site and the information on your account will be there. You can also call the customer service number from the website to verify information. In general, no site is going to ask you for personal financial information in an email.
Shopping online can be fun and it is very convenient. However, in the age of credit card fraud and other online scams, it is important that you understand the risk and take precautions to protect yourself. It is also important that you review each of your credit card statements thoroughly to check for fraudulent activity.
MasterCard.com