Credit cards, with their useful features, have become a necessity today. They offer not just financial freedom but also crucial support in emergencies. Credit cards make your financial life much more convenient, whether it’s enjoying cashback rewards, interest-free periods, EMI options, or overdraft facility.
Yet, with this convenience comes a drawback: credit card fraud. From basic hacking to advanced methods like skimming at petrol stations, infiltrating computers, or phishing through fake emails, credit card frauds take many forms, outsmarting even the latest technology.
So, how do you protect yourself from credit card fraud?
From using a credit card EMI calculator for smart financial planning to setting a daily transaction limit, here are key strategies for protecting your credit cards online.
Follow safe online shopping practices.
When you shop online, verify the website’s security. A safe URL begins with “https://” and displays a security symbol in the address bar. This setup shows that your data travels encrypted, which may reduce the risk of interception. Avoid websites that lack these security indicators, as they may expose your credit card information to theft.
Enter your credit card information manually.
Do not store your credit card information on websites, especially when shopping online. Although it may seem convenient to save your details on websites for future transactions, this increases the risk of cybercriminals accessing them without permission. Instead, enter your credit card details yourself each time you make a transaction, which minimizes the chances of your confidential information being stolen.
Dispose of sensitive documents properly.
Dispose of all physical documents containing credit card details. Shredding is a safe method of turning sensitive documents into confetti. It is almost impossible for any fraudster to piece them back together. So, shred any documents that may have your credit card details, like old statements, receipts, or expired cards.
Avoid easily guessable passwords.
Set strong passwords for your online accounts, especially those linked to your financial data. Avoid obvious choices like birthdays, marriage anniversary dates, or simple sequences. Your password should have numbers, uppercase/lowercase letters, and symbols. Try to set a unique password for each bank account to stay protected and limit damage even if one gets compromised.
Check credit card statements.
Make it a habit to check your credit card statements routinely. Report any differences to your credit card provider right away. When you detect fraudulent activity early, it helps you fix the issue quickly and limit losses.
To better understand and manage your EMIs, always use a credit card EMI calculator before making a big purchase. Regularly comparing your calculated EMIs against actual charges allows you to spot errors or illegitimate transactions quickly.
Stay alert to phishing attacks.
Phishing is another tactic cybercriminals use to obtain credit card information. Some impersonate bank legal officers to con you into disclosing your financial information. Thus, always verify the source before you reply to such emails or messages. If in doubt, contact the bank immediately via their official email, chat, or phone call.
Use Two-Factor Authentication (2FA)
This means you need two steps to log in: your password and a unique code sent to your mobile phone. So, even if someone gets your password, they will need that code, too, to access your account. Many banks and websites offer 2FA. Activate it in your settings.
As technology advances, so do the tactics of those trying to access your financial details illegally. Always remember, it is your money, so the responsibility to protect your finances also falls on you. Make sure you take every needed step to avoid any financial disaster. Stay aware, stay safe, and take action on your credit card security today.
