{"id":10130,"date":"2015-10-26T12:00:28","date_gmt":"2015-10-26T18:00:28","guid":{"rendered":"http:\/\/www.coolchecks.net\/blog\/?p=10130"},"modified":"2015-10-25T20:13:40","modified_gmt":"2015-10-26T02:13:40","slug":"stay-wary-of-fraud-as-chip-cards-become-common","status":"publish","type":"post","link":"https:\/\/www.coolchecks.net\/blog\/banking-managing-money\/emv-cards\/stay-wary-of-fraud-as-chip-cards-become-common.html","title":{"rendered":"Stay Wary Of Fraud As Chip Cards Become Common"},"content":{"rendered":"

\"credit-card-fraud\"<\/a>The race to protect American consumers from fraud and identity theft by the advent of cards with chips embedded in them is expected to work \u2013 to a degree. But the fraudsters are on the job, too, looking for ways to get around the new technology.<\/p>\n

The new \u201csmart cards\u201d feature a chip that encrypts every transaction, making it much more difficult for people looking for information that aids them in their fraudulent aims. Americans are receiving the new cards from the companies that issue their credit and debit cards. The switch is going more slowly than economists had hoped, but the number of chip cards in use is expanding. Part of the problem lies in the fact that merchants have not put the necessary card-reading technology in place. Over time, however, the chipped cards will become the norm.<\/p>\n

But in case you have new chip cards and are feeling invulnerable to fraud, hold on. Those who would like to steal your information are already in action. They are sending out emails or text messages that purport to be from the financial institution sponsoring the cards. The messages say the consumer needs to provide information through a link or by responding to the message in anticipation of receiving a new card.<\/p>\n

If you receive such a communication addressed to \u201cDear Cardholder,\u201d recognize it as an attempt to steal your information. Contact your credit card company or bank and confirm that the message is legitimate before you provide any information.<\/p>\n

The smart card technology is expected to greatly reduce credit card fraud, but there are chinks in the system. In the United Kingdom, which initiated the chip approach in 2004, credit card theft has decreased by 75 percent, but the fraudsters have moved more aggressively into online purchases and ATM card skimming.<\/p>\n

Be sure you are using a secure website for online payments, keep a paper record of transactions and be alert for any suspicious activity, the experts advise. An informed consumer is definitely the fraud perpetrator\u2019s worst enemy. No matter how sophisticated the efforts to protect consumers, there will always be a need for caution.<\/p>\n

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