10 Easy Tips for Avoiding Credit Card Fraud | Two Roads

10 Easy Tips for Avoiding Credit Card Fraud

When we first published this post in 2015, we shared some shocking statistics: as of July 2014, 10% of Americans have been victims of credit card fraud resulting in significant financial loss and https://www.trustedid.com/iden....

Now, at the end of 2021, current statistics about credit card fraud are just as astounding, which means this post about avoiding credit card fraud is one you simply can't miss.

Avoiding Credit Card Fraud is More Important than Ever Before

Take a look at some of these recent statistics about credit card fraud that demonstrate why it's more important than ever to protect yourself.

  • In the United States, credit card fraud has been the most common form of identity theft in four of the last five years. - Mint.com
  • There were 1,387,615 reports of identity theft in 2020. - fool.com
  • Credit card fraud made up a total of 459,297 reported instances of fraud and identity theft combined in 2020. - Mint.com
  • Instances of identity theft by credit card fraud increased by 44.6%, from 271,927 in 2019 to 393,207 in 2020. - Mint.com
  • Identity theft by new credit card accounts increased by 48% in 2020. - Mint.com

At Two Roads, we want you always to be confident when making financial decisions.

To help you achieve this peace of mind, we’ve compiled a list of 10 easy strategies for avoiding credit card fraud.

Avoiding Credit Card Fraud with these 10 Easy Tips

1. Treat your credit card the same as cash.

Always keep your credit card in a safe and secure location. It is relatively simple for unauthorized purchases to be made, should they fall into the wrong hands.

2. Be careful when giving out your credit card information, even when making purchases.

Only shop with vendors you know and trust. Never send your card number in an email, as email security is often compromised. To protect yourself against scams, never tell your card number over the phone unless you initiated the call.

3. Choose a good Personal Identification Number (PIN).

When choosing a PIN, stay away from any numbers that appear in your wallet, such as birthdays, addresses, or phone numbers. Memorize your number, don’t write it down. When entering your PIN, cover the screen or keypad with the opposite hand and change the number frequently.

4. If you don’t use it, destroy it.

Cancel and cut up any old or unused credit cards. Keep track of your replacement cards and get rid of any duplicates.

5. Review your statements regularly.

With trending automatic payments, it’s easy to lose track of your purchases. By taking time to look over previous transactions, you can stop credit card fraud as soon as it starts. (If you currently pay your bills automatically, visit this post to learn why you might want to rethink this strategy. That being said, there are certain advantages to automated payments. You can learn about those here.)

6. Always remember to log off.

Whether you’re making an online purchase or checking your credit card balance, be sure you log off before continuing to another website. If you cannot log off, shut down your browser, and then return to the website to confirm you are signed off.

7. Keep track of all receipts.

Safe-keep or properly dispose of all receipts to ensure your credit card information stays private.

Saving receipts also allows you to double-check the accuracy of your credit card statement by comparing them to the recorded transactions.

(Visit this post next to learn about the importance of business owners holding onto their receipts.)

8. Don’t store your credit cards in your wallet.

Separating your credit cards from your wallet will help minimize your losses in case of theft.

Also, for the same reason, only the card{s} you need for that outing.

9. Always read before you sign.

Carefully review all invoices and receipts before authorizing a purchase. Draw a line through any blank spaces (i.e. a charge for tip) that you do not wish to fill in before signing. Doing so will stop dishonest adjustments from being made after the transaction is complete.

10. Immediately report your credit card as lost or stolen.

If you can’t find your card or think it might have been stolen, call your credit card company right away to protect yourself from any unapproved charges. Your credit card company will cancel your card immediately and issue you one with a new number, typically arriving within 2-3 business days.

How Two Roads helps

At Two Roads, we place a high value on our partners’ privacy. As such, we design our bookkeeping and accounting services to keep your financial information safe and secure.

For more information on how we do this or how you can take personal measures to protect yourself from credit card fraud or other forms of identity theft, please contact us at 865-212-0063.

Did you learn a lot about avoiding credit card fraud in this post? Here are three more posts to read next:

This post was first published in 2015, but it was updated in 2021 just for you.