Credit card scams are becoming increasingly common, targeting people from all walks of life. With technology evolving, scammers are constantly finding new ways to steal your information and money. Many scams seem harmless at first but can lead to serious financial loss if you’re not careful.
Understanding how these sneaky scams work can help you recognize the warning signs and protect yourself. Here are some of the most common credit card scams Americans should watch out for.
Phishing Emails and Texts
A simple email or text message can be a gateway to identity theft. Scammers impersonate banks or credit card companies, asking you to verify your account details. These messages usually include a link to a fake website that’s set up to steal your information.
Always double-check the sender’s address and never click on suspicious links. If you’re unsure, contact your bank directly to confirm whether the message is legitimate.
Card Skimming at ATMs
An everyday trip to the ATM can turn into a nightmare if you’re not careful. Criminals install small devices known as skimmers on ATMs to steal your card information. These devices are often hard to spot, blending in with the machine’s design.
Fake Fraud Alerts
Receiving a fraud alert might seem like your bank is looking out for you, but crooks use this tactic to trick you into sharing personal information. These fake alerts often claim there’s suspicious activity on your account and ask you to verify your identity. If you receive an unexpected fraud alert, don’t respond directly.
Public Wi-Fi Hacks
Logging into your bank account while using public Wi-Fi might save time, but it also puts your information at risk. Hackers can intercept data transmitted over unsecured networks, allowing them to steal your login credentials and credit card details. Avoid accessing sensitive accounts when using public Wi-Fi.
Overcharge Refund Scams
A surprise refund might sound like good news, but it can be a trap. Fraudsters posing as credit card companies will claim you’ve been overcharged and need to provide your account details to receive a refund. They often create a sense of urgency to pressure you into acting quickly.
If you receive an unexpected refund offer, contact your credit card company directly to verify the claim before sharing any information.
Phone Call Impersonations
A phone call from someone claiming to be from your bank can feel legitimate, but scammers often use this tactic to steal personal information. They often say your account has been compromised and request your credit card number to verify your identity. Always be cautious when receiving unsolicited calls.
Hang up and call your bank using the official number found on your statement or card to check the call is genuine.
Online Shopping Scams
Bargains found on unfamiliar websites can come at a high price. Fraudsters create fake online stores that look convincing, tricking shoppers into entering their credit card information. After payment, the product never arrives, and your money is gone.
Look for reviews from other customers and ensure the website uses secure payment methods.
Charity Donation Scams
Charitable donations can help those in need, but uncaring criminals often exploit people’s generosity. Fake charities often emerge after natural disasters or during the holiday season, requesting donations through phone calls, emails, or social media. Before donating, verify the charity’s legitimacy through trusted resources like Charity Navigator or the Better Business Bureau.
Fake Tech Support Calls
A random call from tech support claiming your computer has a virus might catch you off guard. Scammers often use this approach to gain access to your computer and steal sensitive information, including credit card numbers. Legitimate tech companies don’t make unsolicited support calls. If you receive one, hang up immediately.
Never provide remote access to your computer or share financial information over the phone.
Prize and Lottery Scams
A text or email telling you you’ve won a prize or lottery you never entered should raise a red flag. Scammers will say you’ve won a large sum of money, but need your credit card information to cover taxes or fees. These scams rely on creating excitement and urgency to cloud your judgment.
Account Takeover Fraud
Scammers don’t always need your physical credit card to commit fraud. By stealing your login credentials through phishing or data breaches, they can access your online accounts and make unauthorized purchases. Use strong, unique passwords and enable two-factor authentication to protect your accounts.
Monitor your credit card statements regularly to catch any suspicious activity before it escalates.
Card Cracking on Social Media
Social media is a happy hunting ground for crafty crooks. They sometimes post offers promising quick cash if you share your credit card details. Known as card cracking, this scam usually targets gullible young adults looking to make money fast. After gaining access to your account, scammers make fraudulent purchases, leaving you with the financial consequences.
Fake Subscription Services
Subscription services are convenient, but some criminals create fake ones to steal your credit card information. These scams often appear as free trials that automatically charge your card after a certain period. The fine print is usually hidden, making it hard to cancel.
Before signing up for any subscription, read the terms carefully and research the company’s reputation to avoid unexpected charges.
Interest Rate Reduction Scams
A call offering to lower your credit card interest rate might be a scam. Fraudsters will pose as representatives from your credit card company, claiming they can negotiate a lower rate for a fee. In reality, they take your money without delivering any service.
Always contact your credit card issuer directly to discuss interest rate reductions without paying third parties.
Fake Job Offers
Job seekers should be cautious when applying for positions online, as crooks sometimes use fake job offers to steal personal information. These scams often involve requests for your credit card details to cover application fees or training materials. Legitimate employers don’t ask for financial information during the hiring process.
Shoulder Surfing in Public
Sometimes, scams happen right in front of you. Shoulder surfing occurs when someone watches you enter your credit card information or PIN at an ATM or checkout counter. Fraudsters use this method to steal your information without needing physical access to your card. Always shield your keypad when entering your PIN, and be mindful of your surroundings, especially in crowded areas.