Debit card fraud happens when cyber criminals get illegal possession of the victim’s card number and PIN, to do unauthorized transactions. There are numerous ways to obtain his/ her information, from deceitful employees to hackers gaining access of the data unlawfully from a retailer’s unsecure computer. Once the money gets debited from the account after the fraudulent transaction, it can take the victim go through unexpected formalities to clear up the mess and restore the money to the account.
How to Detect Debit Card Fraud?
It doesn’t require any special skill to detect debit card fraud. The simplest way to spot problems early is to sign up for online banking. The user can check A/C balance and transactions happening daily. If there is any unfamiliar transaction, the victim needs to call the bank instantly. It is always safer to keep a record of the receipts of debit card transactions so that they can be compared later on against the online transactions.
Alternatively, the users can keep tabs on all the transactions via phone banking. At least, the monthly bank statements should be reviewed minutely and the account balance should be checked regularly. However, these procedures can take much longer time to detect fraud.
Some Easy Ways to Protect Yourself
It might not be possible to have any control over hackers and other thieves, but there are several ways it can be controlled to avoid becoming a victim.
Get banking alerts: Signing up for banking alerts is very important in the current scenario. The bank can contact the victim by email or text message if any suspicious activity happens on the account like any withdrawal exceeding an amount specified or any change of address.
Go paperless: Signing up for paperless bank statements can eradicate the possibility of having sensitive bank account information stolen from the mailbox. Shredding existing bank statements and debit card receipts using a diamond-cut shredder when you’re done with them will greatly reduce the possibility of having bank account information stolen from your trash.
Alertness during debit card purchases: Alertness during debit card transaction is highly recommended for any and every user.
Stick to bank ATMs: Bank ATMs are supposed to have better security (video cameras) than ATMs at convenience stores, restaurants and other places. Also, using bank ATMs after-hours should be avoided consciously.
Destroy old debit cards: This is also a wise idea to avoid frauds. However, many banks now offer ‘Chip and Pin’ cards. Once the user gets a new debit card and does the first transaction, the bank ensures that the activation of the old debit card gets terminated automatically and keeps the user safe from any banking frauds.
Don’t keep all your money in one place: This might not seem to be a very wise way out apparently though it can be good for the users’ financial needs. If the account is compromised by any means, the user can at least meet his/ her financial obligations till the time the issue gets resolved. It is also advisable to link the emergency savings account to other accounts.
Change your PIN regularly: Cyber criminals have become sophisticated now. The habit of changing the ATM PIN every month is a simple and reliable option. Most of the banks have this provision, thus the users need not face any kind of hassle.
Never put your PIN in your phone: Forgetful people sometimes save the PIN in their mobiles which is not advisable at all. The thieves go after the phones to grab the information stored in the phone. If they come to know of such sensitive information, then there are high chances of identity theft.
Beware of phishing scams: While checking e-mails, the user should always check the source/ sender of the e-mail. E-mails from suspicious/ unknown source should be aborted immediately.
Secure your computer: Using recommended anti-virus and anti-spyware software like eScan can secure the computer, laptop or any other device from malware attacks. Keeping it updated regularly can almost eliminate the chances of getting compromised.
Using protected network: While doing financial transactions online, the user should be alert that it is not happening in a public place or in an unsecured network. Using a protected network which the user is aware of, can keep all kinds of fraudulent activities at bay.
What to do if it happens to you?
If anyone’s debit card information is compromised, the bank should be contacted immediately to minimize the extent of loss the culprit could do. The follow up has to be made with a detailed letter stating the complete details of the bank employee with whom the details of the fraudulent transactions have been discussed. The bank should be asked to waive any NSF fees that might incur because of the fraud and to restore the withdrawn funds to the account.
If the bank is not co-operating, then the user can contact any legitimate consumer advocacy group though it depends on the type of bank involved. They need to be informed and explained about the fraud so that necessary steps can be taken. The reschedule of the payments can give a shy of relief to the victim. All the precautionary measures mentioned above will help safeguard the account and minimize chances of becoming a victim of Debit Card fraud.
