How to prevent credit card fraud and what are the security measures?

Posted on Wednesday, August 30th, 2023 | By IndusInd Bank

Credit cards are a widely popular form of payment, but you can be exposed to certain risks. Credit card fraud is a serious problem that affects millions of cardholders and merchants every year. Credit card fraud can occur in various ways, such as: 
 

• Card theft or loss: Someone steals or finds your physical card and uses it without your authorization. 
   
• Card skimming: Someone uses a device to capture your card information when you swipe or insert it at an ATM or a point-of-sale terminal. 
   
• Card cloning: Someone creates a counterfeit card using your stolen card information. 
   
• Card-not-present fraud: Someone uses your card information to make online, phone, or mail-order purchases without having the actual card. 
   
• Phishing: Someone sends you an email, text message, or phone call pretending to be from your bank or a legitimate entity and asks you to provide your card details or other personal information. 
   
• Identity theft: Someone obtains your personal information, such as your name, address, date of birth, and Aadhar number, and uses it to open new credit card accounts or access your existing ones. 

Protection from credit card fraud 

There are many steps you can take to prevent credit card fraud and minimize its impact if it happens. Here are some of the best tips to keep your credit card secure: 
 

1. Keep your card with you always!  
   Do not let your card out of your sight, especially when it has to be swiped or inserted at a merchant or an ATM. Make sure the device is not tampered with and does not have any suspicious attachments. After every transaction, put your card back in your wallet or purse immediately. 
    

2. Change your PIN regularly.  
   Your PIN is a key security feature that protects your card from unauthorized use. Choose a PIN that is not easy to guess or relate to you, such as your birth date, phone number, or address. Change your PIN at least every six months and do not share it with anyone or write it down anywhere. 
    

3. Check alerts and statements carefully! 
   Sign up for SMS and email alerts from your bank that notify you of every transaction made on your card. Check these alerts regularly and report any suspicious or unauthorized activity to your bank as soon as possible. Also, review your monthly statements thoroughly and look for any errors or discrepancies. 
    

4. Never pay with your credit card on suspicious websites or apps!  
   When shopping online, make sure the website or app is secure and trustworthy. Look for the https:// prefix in the web address and the padlock icon in the browser. Do not click on any links or pop-ups that ask for your card details or personal information. Use a strong password and a secure network when accessing your online accounts. 
    

5. Do not click on suspicious links or emails!  
   Phishing is one of the most common methods of credit card fraud. Do not open any emails or messages that claim to be from your bank or a legitimate entity and ask for your card details or other personal information. Do not click on any links or attachments that may contain malware or viruses. If you are unsure about the authenticity of an email or message, contact your bank directly using the official phone number or website. 
    

6. Update your bank immediately in case of card loss or theft.  
   If you lose your card or notice any fraudulent transactions on it, inform your bank immediately. You can contact your bank via phone, online banking, mobile app, or branch. The bank will block your card and prevent further misuse. You may also be eligible for zero liability protection if you report the loss or fraud promptly. 
    

How can IndusInd Bank help you prevent credit card fraud? 

IndusInd Bank Credit Cards offer various features and benefits that help you protect your credit card from fraud and enjoy a hassle-free payment experience. Some of these are: 

• EMV chip cards: IndusInd Bank credit cards come with an EMV chip that enhances the security of your transactions. The chip generates a unique code for every transaction that cannot be replicated by fraudsters. The chip also makes it difficult to clone or counterfeit your card. 
   
• Security codes: IndusInd Bank credit cards are enabled with security measures that provide an additional layer of protection for online transactions. For instance, while making an online purchase using your credit card, you will receive a OTP to your registered mobile number or email address. You need to enter this OTP to complete the transaction. 
   
• Fraud alerts: IndusInd Bank credit cards send you real-time alerts via SMS and email for every transaction made on your card. You can also set up customized alerts for transactions above a certain amount, international transactions, declined transactions, etc. These alerts help you monitor your card activity and detect any fraud quickly. 
   
• Total Protect: IndusInd Bank Credit Cards offer Total Protect, to protect your counterfeit fraud and theft of cards. With this feature, you are covered for a sum up to the credit limit of your primary and add-on cards. In fact, you get insurance coverage for up to 48 hours prior to reporting the loss/theft of your card. 

IndusInd Bank credit cards are designed to provide you with a secure and convenient payment solution. With IndusInd Bank credit cards, you can enjoy various discounts, rewards, and privileges across dining, travel, shopping, entertainment, and more. You can compare the features and benefits of different IndusInd Bank Credit Cards and choose the one that best suits your lifestyle by clicking below. 

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Disclaimer: The information provided in this article is generic in nature and for informational purposes only. It is not a substitute for specific advice in your own circumstances. Hence, you are advised to consult your financial advisor before making any financial decision. IndusInd Bank Limited (IBL) does not influence the views of the author in any way. IBL and the author shall not be responsible for any direct/indirect loss or liability incurred by the reader for taking any financial decisions based on the contents and information.