Even the most responsible credit card borrower could run into enormous trouble. And no, the problems won’t come from the misuse of the account. Instead, troubles derive from a third party compromising the card to commit fraud. And it can be pretty shocking to receive a credit card statement loaded with false charges. While the account holder could take several steps to address fraud, avoiding the problem in the first place seems advisable. Here are five steps to, hopefully, avoid such woes.
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Proper Storage Helps
When a credit card is not secured correctly, the potential to compromise the card increases; keeping cards inside a wallet and not removing them until after purchasing something seems advisable. The same is true for returning the cards to the wallet after use. Account-holders might have other cards at home, and securing them seems advisable. Perhaps keeping them in a locked drawer or security box is advisable.
Avoid Carrying Too Many Cards Around
Some may carry more than one credit card, which is fine. However, taking too many cards increases the risk of losing them. If you have five cards with you and only use one, you may lose track of whether all four remaining cards are where they are supposed to be. A card may end up lost or stolen, and it takes some time before they realize what went wrong.
Destroy Paper Records
Account-holders might prefer to receive a traditional paper statement in the mail. They could review the card’s information to check out their transactions, a wise safety step. They may also compare what they pay and the current average credit card interest rate. As Lantern by SoFi points out, the “average credit card interest rate across all credit cards was 14.51% as of November 2021, according to the latest data available from the Federal Reserve.” What account-holders might not do is shred the statement. Anyone who merely rips up or tosses a credit card statement into the trash could give a “dumpster diver” access to their credit card number.
Report Lost or Stolen Cards without Delays
Contact the credit card company immediately upon discovering that a card was lost, stolen, or otherwise compromised. The credit card service may shut off the card to prevent further unauthorized transactions. The service may provide theft insurance while also conducting account monitoring. Reviewing the rules associated with the credit card may reveal the protections related to unauthorized charges. With some cards, the account holder bears no responsibility for illegal charges. Perhaps investing in identity theft protection services would be helpful.
Opt for Smart Online Security
Billions of dollars in credit card-driven financial transactions occur online each year. Online consumers should protect their passwords and keep their eyes out for news about data leaks and hacks. Even the largest online retailers suffer security breaches. Changing passwords frequently might be a good idea to stay one step ahead.
Taking several basic security steps could prevent credit card fraud. Remaining consistent with such measures is vital for decent results.
