Be aware, be very aware. There are so many credit card scams these days it’s scary. You want to use your credit card as you wish and enjoy the benefits, but guess what, fraudsters have the same thing in mind.

So what do you do? Guard your card fiercely. It is more valuable than cash because your identity could be stolen as well.

Types of Credit Card Scams

One of the more popular is credit card skimming which can cost over $500 million per year. And who pays for it? We all do via increased credit card fees.

Skimming occurs when data is copied from the magnetic strip on your credit card. Usually the card has to leave your sight for skimming to occur, but as technology evolves so does the creativity of criminals. Fraudsters can also target automatic banking machines by fitting them with a card reader which copies your card details.

Once your card has been skimmed a replica can be made and used anywhere in the world.

Card Not Present Scam

This one is scary because you can follow all the precautions and still fall victim. This credit card scam occurs when someone copies your card details and uses it online where no signature or PIN is required. Anyone who handles your card could do this. I have even heard or instances where retail staff take pictures of the front and back of peoples cards with a mobile phone.

Card Theft

Your credit card can be stolen in transit from the card company to yourself or from your purse or wallet. You can’t really do anything about your post going missing but you can protect your personal belongings to reduce the chance of being robbed

Identity Theft

This credit card scam is more popular that you think. Thieves normally search through discarded post for credit letters, utility bills or credit card applications. They then have access to all the details they need to apply for a credit card in your name.

So How Do You Avoid Becoming A Victim?

Unfortunately as long as there are dishonest people, credit card scams would exist. As a consumer, you could take the following steps to protect your self.

• Treat your credit card as securely as you treat your cash
• When using your card at retails stores, never let your card out of your site. Make sure the cashier is doing only what they are supposed to be doing with your card.
• Be careful when using the cash machine. Examine it carefully for any sign that it has been tampered with. This might be difficult to identify but if you search the Internet for more info on this type of scam you should be able to tell what a normal cash machine looks like.
• Be sure to check your credit card statements every few days and don’t leave it till the end of the month. If fraud does occur you would pick up on it quite quickly.
• Be very secretive with your PIN as thieves often hover around trying to sneak a peak.
• Always take your credit card receipts with you and dispose of them in a safe environment. Make sure they are totally destroyed.
• Cancel any credit card you don’t use as you would hardly ever check the balances on these. If this card is stolen you probably won’t recognise until it is too late.

We all have to use our credit cards on a daily basis. Thieves rely on consumers being careless and clueless. Don’t play into their hands, get all the information you can on how to prevent credit card scams. Hopefully this article would give you’re a bit more ammunition to arm yourself against fraudsters.