| Credit card fraud has increased significantly in recent | | | | - Your personal information can be taken from |
| years, according to law enforcement officials and | | | | information you submit on the Internet. |
| consumer protection organizations like the Public | | | | - Fraudsters may locate your discarded receipts by |
| Interest Research Group and Privacy Rights | | | | looking through your trash can. If your name or |
| Clearinghouse. More consumers own credit cards now | | | | account number appears on the receipt, they can use |
| than in the past, and criminals are constantly looking for | | | | it to their advantage. |
| new ways to tap into accounts. All of this means | | | | - A clerk at a store might make an extra copy of your |
| cardholders need to protect their credit cards now | | | | credit card, or take the numbers from it. |
| more than ever before. | | | | - Your utility bills, credit card and bank statements, tax |
| Perhaps the most obvious form of credit card fraud | | | | information, and new checks can be stage-managed |
| takes place in the form of theft. Even if you don't lose | | | | to land up at the wrong place. |
| your card or have it stolen, however, your credit card | | | | - You may get a phone call or email offering a free trip |
| account could still be in danger. It is not uncommon for | | | | or a cheap travel package. To receive it, however, |
| criminals to steal your credit card identity - details such | | | | you have to submit your account number. Once you |
| as the number on the card and the expiration date. A | | | | do, the source can start using your card number to |
| stolen account number is the first step in a series of | | | | make unauthorized purchases. |
| credit card fraud incidents. Unfortunately, cardholders | | | | After collecting your personal information, fraudsters |
| may not be aware of the theft until the unauthorized | | | | may get the mailing address on your credit card |
| activity starts showing up on the bills. | | | | account changed by calling your creditors and opening |
| Identity Theft | | | | new lines of credit. In some cases, they might do more |
| Identity theft occurs when your personal information is | | | | than just rack up purchases on your card. They might |
| gathered without your authorization and used for | | | | open bank accounts in your name, apply for loans in |
| criminal purposes. It occurs when someone steals | | | | your name, or set up new phone accounts. The list of |
| information that identifies who you are, such as your | | | | possibilities is nearly endless. |
| name, address, date of birth, or social security number. | | | | New Credit Card Crimes |
| Sometimes you need to submit this information when | | | | One of the newest methods that identity thieves are |
| applying for credit, opening a new bank account or | | | | using is referred to as skimming. In this technique, a |
| making a purchase. When someone taps into these | | | | small hand-held electronic device called a skimmer is |
| accounts or transactions without authorized permission, | | | | used to gather the information embedded in the |
| your information could be in danger. According to a | | | | magnetic strip of the card. With a simple swipe of your |
| Federal Trade Commission survey issued in October | | | | card in the hand-held skimmer, all your personal |
| 2007, an estimated 13.5 percent of U.S. adults (30.2 | | | | identification information is collected in just a second. It |
| million consumers) were victims of one or more identity | | | | is then used to create a counterfeit card or make |
| fraud incidents in 2005. | | | | purchases online. |
| Credit card thieves can come in two forms. The first | | | | Crime perpetrators are continually trying out different |
| of these are complete strangers, and the other kind | | | | technologies to carry out identity theft. Fortunately, |
| falls into the category of people you know. This | | | | many organizations are fighting the battle against credit |
| second group can include anyone from friends and | | | | card crime by developing new encryption techniques. |
| family members to neighbors, co-workers, or anyone | | | | Business are doing all they can to help individual |
| that you have an established relationship with. More | | | | consumer keep their private information a closely |
| than half of the identity theft cases that occur are | | | | guarded secret. |
| committed by criminals that have established | | | | Despite various improvements and efforts, almost |
| relationships with their victims. | | | | anyone can be a victim of identity theft. And it can be |
| This doesn't mean that you should be wary of all of | | | | nerve-wracking to find unauthorized charges on your |
| your friends and in-laws. You should, however, be | | | | personal credit card bills. Most credit card companies |
| aware of certain warning signs. Here are a few of the | | | | will cover the amounts charged to your card in |
| common ways that identity theft happens: | | | | fraudulent cases. Still, it is in your best interest to do all |
| - Someone may steal your wallet or purse. When they | | | | you can to protect your credit card, as well as your |
| get a hold of it, they have instant access to your credit | | | | personal identification information. Prevention is always |
| cards and bank information. | | | | better than the cure! |