Avoiding Credit Card Fraud While Online

Credit card Internet fraud is one of the most commonas email accounts can be hacked easily by cyber
crimes in cyber space today. It can be as simple asthieves. There should also be efforts to invest in
being charged for a dollar online purchase and then thesoftware or Internet tools to protect online
merchant using the card to charge other purchases.transactions. The website should be using the Secure
This is much easier for a thief than the old fashionedSocket Layer (SSL) Web protocol. This can be
way of actually stealing the credit card and accountrequested from the hosting company of the third-party
details. It affects not only the card holders, but thewebsite administrator.
merchants as well. Each year, hundreds of millions ofOnline merchants should also be aware of the
dollars are lost to fraud. As well as business, for"carding" technique where credit card thieves try to
example: some people may shy away to chargingmake small donations to non-profit sites using a stolen
online and as a consequence business is lost to honestcard to test their validity. Seeing small purchases made
merchants.successively by just one credit card account will show
While most countries have done their part in preventingonline merchants that cyber thieves are using the
card fraud, there are still isolated incidents of this cybercredit card possibly in a suspicious manner.
crime. There are several ways to avoid this depletionSuspicious Small Charges
of your financial resources. Perhaps the mostYou should always examine your credit card billing
important way is by keeping informed.statements every month to look for very small
Accurate Financial Recordscharges as little as 25 or 30 cents. This is a scam in
Personal vigilance is one of the keys to prevent thiswhich a thief will charge several hundred or more
fraud. Maintaining up-to-date personal financial recordscards a very small amount, in this way the crook can
keeps a credit card user aware of purchases madeaccumulate a good bit of money without attracting the
under his or her name. Card issuers often send out theattention of the card holders. Report any small charges
billing statement a month before the payment dueyou can not account for to your card services and
date. This allows the card holder ample time to verifydon't pay them.
and dispute questionable purchases. Billing statementsFTC can Help
should be kept and filed for at least a year forIn instances of credit card fraud, the public may seek
reference. They should be shredded before discarding.assistance from the Federal Trade Commission at
In making online purchases, the card holder should beftc.gov. The Federal Trade Commission helps by
on the lookout for the secure sign (https:) in the frontsending these instances, whether online or offline, to
of the domain name listing of the merchant's website.Consumer Sentinel. Consumer Sentinel, on the other
When a site looks suspicious, the purchase should nothand, makes its online database available to law
be made.enforcement agencies in the United States and
Online Credit Card Security for Merchantsoverseas.
Online merchants should also be aware of ways toAvoiding credit card fraud does not only allow card
avoid credit card fraud. Extra steps in the onlineholders to dodge financial hassles, but also to maintain
purchasing process can be added to provide morean excellent credit rating. Security from this fraud
security. Follow-up email is one simple add-on. Beforestarts with being informed. That is why it is important
pushing through the purchase, a verification emailthat you understand your credit card bill. Armed with
should be first sent to the card holder and will onlythe proper information, card holders and online
proceed once the purchase is verified. A telephone callmerchants can effectively make preventive and
may also be made as part of the verification processreactive measures to stop online fraud.