As the Global Consumer Fraud Report 2016 shows, India stands among the top 5 nations prone to online credit card frauds. With the increasing credit card transactions, the rates of unauthorised access, online identity theft and massive financial losses are also on the rise. Ensuring to make your online purchases with this plastic money safely is, therefore, essential.
According to the RBI’s revised norms in 2017, customers and financial institutions must share the liability based on the circumstances under which the fraud occurred. If a scam happens due to negligence of any third-party breach or the financial institution, the new guideline exempts customers from any liability. The reverse occurs if negligence is on the customer’s part. There are various types of frauds and certain ways to avoid them.
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- 911 incidents of frauds using credit and debit cards were recorded in 2017-18.
- 71,500 Crore of frauds has been detected in FY2018 – 19.
- Around 3,766 cases of frauds happened in FY2019, with 80% increase in the losses suffered.
- Hackers have sold around 1.3 million debit and credit card details on the dark web, with 98% cards belonging to Indian financial institutions.
Ways to ensure your online credit card purchases are safe
1.Visit secure websites for online shopping
Not every website is safe for online transactions. Make sure the site you are shopping from starts with https:// and not http://. The additional ‘s’ doesn’t guarantee 100% safety, but it indicates an encryption system which gives another layer of protection.
2.Avoid shopping on public networks and computers
Some websites often store login and card information. Conducting an online transaction over a public network or computer may easily expose such vital details to hackers. It is always safe to make online shopping using credit card with a private internet connection and from your own device.
In case you have to make a purchase from a public computer, ensure to use the same in private mode. It won’t save internet history or any personal information during the session.
3.Install an antivirus software
Safeguard your transactions and other information on your personal computer and mobile phone with antivirus software. Official app stores also contain identity theft detection apps for your smartphone. These help keep out malware effectively, especially if your mobile is stolen.
4.Avoid storing card details on a website
Saving the details on a website makes every credit card payment more convenient, but it also makes you vulnerable to cybercrime. Fraudsters can access vital personal and financial details and cause massive loss which you may have to bear.
Besides these, you can consider the following tips for additional precautions:
- Change your credit card PIN and other passwords frequently to lower any chances of identity theft.
- Do not store any confidential password on your computer or smartphone.
- You should never share the credit card number, PIN, CVV, etc. with anyone.
- Remember, no financial institution asks for card related details. So, avoid any such requests via call or SMS.
- Read the monthly statements which contain every credit card payment detail during that billing cycle.
Yet, credit cards are a better and safer mode of transaction compared to debit cards. Unauthorised access to debit cards signifies all your money is drawn out from your account.
The versatility of credit cards allows you to purchase anything you need on the web today. Most issuing companies equip their products with top-notch security features against unauthorised transactions or fraud. When selecting one, opt for a feature-rich card like the Bajaj Finserv RBL Bank SuperCard which also comes with robust security features.
Making a credit card payment with precautions can go a long way in offering financial benefits. Credit cards with an additional layer of security thus ensures protecting your information and restoring your peace of mind.