im now a victim of credit card fraud

PepsiChic · 08-18-2008, 10:55 AM

somebody got my card details, no idea how. but has then went on a shopping spree of about $800. which ran my card overdrawn and tried to spend more but couldnt because of the overdrawn limit was breached my bank automatically stops transactions.

today i have been on the phone to all sorts of computer and camera companies online to find out what this person bought and where it was sent to.

due to my persuasive talking skills i managed to get one company to give me the guys full name and address. then another company sent me a copy of an invoice which has the same guys name, telephone number and email address on it.

im not so upset as i am furious. i contacted the police from the area this guy lives and their response "nothing we can do about it, your bank will have to contact us"

i call my bank, get them to shut down my account and start a new one, they also are going to refund me the full amount, and all the information ive collected they want me to send them so they can contact the police - because i told them what the police said and the bank wasnt best pleased with this, so they will now contact the police with the information i have.

even then tho, i dont think much will be done. when i was mugged on a train, the guy they caught was released without sentance because the police got my stuff back. so i dont expect this to be any different.

this has been a long day...and its only just the afternoon.

boedicca · 08-18-2008, 11:00 AM

This has happened to me three times (I do most of my shopping on the interets - I Loathe Malls).

Most recently, I was informed that my card was canceled due to "being compromised" when I presented it for payment at a restaurant. Even though they confirmed my ID, I couldn't use my card. (This is a good reason to have different accounts at differnet banks if one travels frequently) I later discovered that the transgression was a $15 fraudulent attempt on classmates. I was less than pleased at being treated in this manner. Cash is looking better and better.

I recommend that you also contact the three major credit agencies (if you are in the U.S.) or their equivalent wherever you are an put Fraud Alert notification on your ID. This is a precaution to keep the fraudster from trying to establish a new account number with the information he has gathered.

PepsiChic · 08-18-2008, 11:05 AM

Quote:

Originally Posted by boedicca

I recommend that you also contact the three major credit agencies (if you are in the U.S.) or their equivalent wherever you are an put Fraud Alert notification on your ID. This is a precaution to keep the fraudster from trying to establish a new account number with the information he has gathered.

im in the UK, my bank does a great job of looking after me fraudster wise, like the fact they are refunding all the money without too much hassle and even organized a new account for me. i may look into more secure options tho, and see if theres anything else i can do.

and im sorry to hear its happened to you to, its becoming such a big problem all over the world now. you'd think police would crack down on the criminals who do this more, but they dont, so people carry on doing it.

i mean this guy who got me, how many people before me? and how many people will he use after me?

boedicca · 08-18-2008, 11:12 AM

This is the big, dirty secret of the credit card industry. Fraud is MASSIVE!

My company's customers include quite a few banks and financial instiutions, so I have some insight into this. Over the past few years, organized gangs (particularly in Asia and Eastern Europe) have started intensive hacking campaigns on the internet to compromise account numbers. In the real world, they use scanners that enable them to read card #s from a distance by accessing the magnetically encoded data.

In the "old days", the most one had to worry about was a store clerk keeping the carbons from a CC receipt and using the number. Now, CC fraud is an industry.

I also don't sign my credit card - but put "CHECK ID" on the signature block as an extra precaution.

Vautrin · 08-18-2008, 11:16 AM

The big problem with CCs is that storage is electronic. You can hack that. Fraud with ATMs is rife. Banks usually don't care. Companies usually don't care.

That is why I prefer cash.

boedicca · 08-18-2008, 11:18 AM

Banks do care - they eat this fraud, and spend a tremendous amount on IT to combat it.

I'd rather have biometric protection on cards. The convenience factor of having mobile credit is too great to give up entirely.

Vautrin · 08-18-2008, 11:33 AM

Why are they using leaky systems then?

boedicca · 08-18-2008, 11:42 AM

Consider: The investment in banking infrastructure is enormous and has been developed over decades. Much of it also predates the internet and other technology. Processing used to be batch, which mean running programs overnight to do fraud detection.

It's not an issue of wanting to use leaky system, but keeping the upgrade/replacement process of techonology on pace to address new hacking and fraud techniques - all without breaking what works and complying with an enormous regulatory framework.

To personalize this - would you replace your laptop computer once a week to combat viruses? No, the cost would be prohibitive. Scaling this up to banks, they have a tough problem to keep systems updated. It's not a trivial problem.

Vautrin · 08-18-2008, 12:17 PM

Considering that they churn out profits to the extent of billions of dollar each quarter, the underspending on protection measures is something I hold them accountable for.

SundayGirl · 08-18-2008, 12:45 PM

Quote:

Originally Posted by boedicca

...I also don't sign my credit card - but put "CHECK ID" on the signature block as an extra precaution.

The US Post Office, among other businesses, will not accept cards that have that in the signature area.

I had to use a different card that already had my signature to renew my PO box.

Meanon · 08-18-2008, 02:00 PM

What a hassle pepsi. My friend got caught in this one: Entire Village Scammed as Bank Accounts Emptied

As the card details were sold on she was contacted each time a transaction was made to confirm that she hadn't used the account abroad.

boedicca · 08-18-2008, 02:42 PM

Quote:

Originally Posted by Vautrin

Considering that they churn out profits to the extent of billions of dollar each quarter, the underspending on protection measures is something I hold them accountable for.

I don't understand your point.

The banks absorb the fraud losses - not the consumer. It is in their (and their shareholders') best interests to make investments to reduce fraud - and they do. Significant ones.

Nor am I going to fault them for making a profit by providing services and credit that make my life considerably better. Profit is good. Money is danged useful stuff.

Weiser · 08-18-2008, 02:55 PM

I've had my debit card copied 3 times and my credit card copied once. In total I have lost roughly $4,000 in fraudulent charges. The banks here in Canada are great about it though and you have your money back within 5 days. Of course, you have to wait 5 days, and the bank is more apt to cancel your cards if you make big purchases, but meh, I can live with that.