Credit Card Fraud Part 1 - How It Happens

Credit card fraud has been around as long as creditentry shielded and examine the cash point for any
cards have. The majority of incidents occur throughunusual fixtures.
the internet when a consumer falls foul of phishingSkimming uses two pieces of equipment; a device
scams or less-than-honest websites.attached to the card slot which will read your details
However, almost a quarter of British people have fallenas you insert it, and a tiny camera trained on the
foul of the credit card fraudsters who operate on thekeypad which will record you entering your PIN. The
high street. There are several ways for criminals tocriminal can use your details to make a counterfeit
get hold of your card details, but all of them can becard to use, complete with PIN, at ATMs and shops.
prevented if you are vigilant and know the tricks.You may only realise your card has been skimmed
Shoulder surfing is perhaps the most common andand cloned when you check your bank balance or
easiest for criminals to do. When you're paying forstatements. Before using a cash machine always
goods in a shop, the thief will stand behind you andexamine it thoroughly, and report any unusual or
discreetly watch you enter your PIN. Once outside,unfamiliar fixtures to your bank. Do not use it unless
they will follow you and steal your card, either byyou are sure it's safe.
distracting you, picking your pocket or indicating to aCard cloning and skimming don't always require a cash
partner in crime to do so. Keep your PIN entries wellmachine. A dishonest sales assistant can use a
shielded and don't leave your card or wallet loose in ahandheld device to skim your card in a shop that
pocket or handbag.doesn't use Chip and PIN, and use this in the same
Card-trapping mimics the behaviour of a cash machineway; creating a duplicate card which they can then
when a PIN is entered incorrectly. The criminals fit ause to empty your bank account. This type of fraud
device into the card slot which traps your card inside,can also happen if you hand your card to an
causing you to enter your PIN several times (while theemployee in a restaurant, which they take away to
criminals watch). The idea is that you will give up andcarry out a transaction. The golden rule here is to
go into the bank to complain about your unreturnednever let your card out of your sight; follow the waiter
card. When you do this, the criminals can remove theto the till, watch the cashier carefully, and report any
device and your card, and use it. Again, keep your PINsuspicious behaviour immediately to the manager.