How serious is credit card fraud and identity theft?

Crimes related to financial fraud are a severe violation of the Federal Law of the United States and everyone who commits them should be penalized, but how serious is credit card fraud and identity theft? What is the penalty for using a credit card fraudulently?

These types of crimes are becoming more common every day, so it is timely to learn how to prevent identity theft and card counterfeiting.

In this article we will give you several much-needed tips, read to the end and avoid being victim of credit card fraud.

How likely are you to be a victim of identity theft credit card fraud?

You may think it would be impossible for someone to try to scam you, but don’t be overconfident.

Luck is not always on your side and without thinking you find yourself involved in an uncomfortable circumstance that can ruin your day and unbalance your finances, so pay attention to the following information and you will see that credit card fraud may be around the corner from the corner.

According to the American Bankers Association of the United States (ABA or US American Bankers Association) There are 374 million credit cards in the United States.; only 75.5% of the population has had access to one of them.

That is to say, 7 out of 10 Americans own a credit cardbut how likely are you to be a victim of identity theft credit card fraud?

In 2018, the US Identity Theft Resource Center reported a total of 1,709,013 reports of identity theft credit card fraud, which means that for every 218 credit cards there was 1 attempted scam or card fraud.

Sure, this only represents a 0.45% fraud risk for each credit card you have, but if you have 3 or 4 credit cards in your wallet; Your chances of experiencing credit card fraud from identity theft will increase dramatically.

How serious is identity theft and credit card fraud?

It is well known that the laws in the United States are severe with fraud crimes, so if a criminal comes up with the idea of ​​scamming you and the police catches him, he will have a very bad time in jail.

The Law School of Cornell University helps us find in Section 1028 of the United States code the exemplary punishment for those who resort to identity theft fraud; establishing the Federal Law a maximum punishment of 15 years in prison plus a fine.

Now, there are some cyber-criminals who want to be clever by using technological equipment for scams such as skimmers, a kind of scanner where they can clone your credit card.

For cyber-criminals, there is Section 1029 of the United States code that establishes a penalty of 10 to 15 years in prison for crimes related to fraud of remote or electronic access devices and in addition to this, they can also add a fine for a large sum of money.

Consider the severity of the crime, the criminal history of the scammer, and even the amount of money taken from the credit card.

All of these factors can influence the final verdict and lead to fewer years in prison or a more severe sentence.

How to protect yourself from credit card fraud?

If you’re worried about credit card fraud, you can relax and feel some relief; Well, if you report it in a timely manner, the Federal Law establishes in its precepts that in the event of any unauthorized or fraudulent charge to your credit cards, you will only have to pay US$ 50 as the maximum limit.

Additionally, most of the time that amount is not paid because the main credit card issuers offer zero liability fraud policies, so you would be free of any type of charge, as long as you report it properly.

We want to emphasize the responsibility of reporting credit card fraud; something non-negotiable and that you will have to do immediately after detecting a possible scam.

Anyway, here are some tips to protect yourself from credit card fraud:

Follow good security practices

You already know that an identity thief doesn’t need a credit card to withdraw money from your credit account; It will be enough to just have the important data such as your name, card number, CVV code, address and that’s it.

That is why we recommend that you do not give your bank information to anyone. Change your passwords monthly and don’t carry your cards everywhere.

If you have two credit cards, you could assign one to pay bills or subscriptions and the other card you have for your daily use, that is, to take it to work or if you have a casual outing.

It is a tactic that will help you identify your credit card expenses more easily.

If you accidentally didn’t have your credit card with you and need to make a payment online, avoid doing it from the public Wi-Fi connection. These connections lend themselves to cyber-attacks and data theft traps, so better connect to your mobile network data.

Freeze your credit account if you suspect identity theft

If you suspect your identity has been stolen, ideally you should report the incident to your credit card issuer’s help desk and request a freeze on your credit account to prevent card fraud.

Get in touch as soon as you can

When you lose your credit card due to theft or loss, you must quickly contact your credit card issuer so that they cancel the card, you can update your data, renew your passwords and request a new card.

Follow these tips and it will be almost impossible for you to suffer a credit card fraud or identity theft.

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