These days, many of us use a credit card to shop by internet or telephone.
In an effort to ensure that the person carrying out the transaction has a legitimate card, not just a number they have taken from someone else, credit card companies put a security code on each card.
Not surprisingly, getting this security code has become the focus of many scam artists.
On MasterCard and Visa cards, the security code is a three digit number printed on the signature panel.
American Express uses a four-digit security code printed on the front, above your card’s number.
Telephone and Internet merchants ask you to provide this code to verify that you have a legitimate credit card in your hand when a making a purchase.
The Canadian Anti-Fraud Centre recently issued an alert about scams aimed at getting your security code.
In one scenario, someone who has already managed to get your credit card number may contact you pretending to be the fraud or security department of your credit card company or financial institution.
They claim that your card has been flagged because of unusual purchases and that they are investigating the matter.
The scam artist will sound very official; he or she already knows your address and will read it to you over the phone for confirmation. In order to “assist” you, the scammer will ask for your card security code.
Once they have that code, they can make purchases with your card, either over the phone or on the internet.
To avoid having your credit card information fall into the wrong hands:
If you didn’t make the call, don’t give out any personal information over the phone. You can always call your card issuer back.
Make sure to use the phone number from your own records, not a number the caller gives to you.
Never give any personal information in response to an e-mail. If you get an urgent and official looking email from your bank or credit card company or some other well-known business requesting “additional” information or account verification information, do not respond!
If you believe you have been the victim of credit card fraud, notify your card issuer immediately.
This will limit your liability for any unauthorized transactions.
For more information about fraud, or to report a scam, contact the Canadian Anti-Fraud Centre: 1-888-495-8501 www.antifraudcentre-centreantifraude.ca.
You can also check out the Better Business Bureau website for more good information: mbc.bbb.org.
Amy Taylor is Coordinator of the Kootenay Boundary Credit Clinic, a project of Castlegar & District Community Services.
The Clinic provides free information and workshops about debt, credit and money management.
Call 1-877-565-0013 or go to www.kbcredit.org for more information.