Every year, the increase in shopping on Black Friday and Cyber Monday, and throughout the following shopping season, draws a rise in both card-present and card-not-present (CNP) fraud. This year, the threat may be greater than ever:
- Recent data breaches have exposed millions more cardholders’ details
- In the U.S., the number of cards compromised at ATMs and merchants rose 39 percent in the first six months of 2017, compared to the same period in 2016, making it more likely that people could fall prey to fraud when getting cash out for holiday shopping
- Around the world, online purchase growth is driving more CNP fraud. For example, fraud losses based on CNP transactions rose 9% in the UK in 2016, as shown on the FICO European Fraud Map, and represent 70% of card fraud in the UK
“Black Friday and Cyber Monday will probably see record levels of card fraud this year,” says TJ Horan, vice president, who oversees FICO’s fraud solutions. “If you’re getting ready to start your holiday shopping, you should expect that criminals are out to get your money, and take a few preventative steps. Our fraud tips are to keep your eyes open at ATMs, to monitor your purchases at least weekly, and to make sure your card issuer has the right contact info for you.”
FICO offers these fraud tips for consumers:
Take Care at ATMs
- If an ATM looks odd, or your card doesn’t enter the machine smoothly, consider going somewhere else for your cash.
- Never approach an ATM if anyone is lingering nearby. Never engage in conversations with others around an ATM. Remain in your automobile until other ATM users have left the ATM.
- If your plastic card is captured inside of an ATM, call your card issuer immediately to report it. Sometimes you may think that your card was captured by the ATM when in reality it was later retrieved by a criminal who staged its capture. Either way, you will need to arrange for a replacement card as soon as possible.
Check your Purchases
- Check your card transactions frequently, using online banking and your monthly statement.
Work with your Card Issuer
- Ask your card issuer for a new card number if you suspect that your payment card may have been compromised. It’s important to change both your card number and your PIN whenever you experience a potential theft of your personal information.
- Ask your card provider if they offer account alert technology that will deliver SMS text communications or emails to you in the event that fraudulent activity is suspected on your payment card.
- Update your address and cell phone information for every card you have, so that you can be reached if there is ever a critical situation that requires your immediate attention.