You may have recently heard that fraud is on the decline, whether it is due to credit cards or otherwise. This suggests that financial institutions and police are finally gaining ground on discovering how to prevent fraud from happening, as well as catch those who have committed it. The Boston Police recently stated that fraud is actually the number one issue in the financial sector. Two causes have been the highest contributors to the growing number of financial fraud in this sector: phishing emails and credit cards.

Phishing Fraud

Unfortunately, phishing has become a common term in the financial sector. It usually involves emails that are sent to bank customers that pretend to be from the bank itself or another financial institution. From there, the email either downloads malware onto your computer or takes your personal information.

Other times, the email may convince you to hand over this information under false pretenses. From there, a criminal can wire money from your bank account and into their own. This requires banks to go above and beyond to get your money back, often requiring sending a “hold-harmless” to the receiving bank, which some banks will not do.

If you are the victim of financial fraud, you will soon realize how difficult it can be to get your money back. Instead, be incredibly diligent with your financial information, in order to prevent the fraud before it can even occur.

Warning signs that can help protect you against phishing emails.

Check the grammar and the spelling. No large institution will send out a mass email without first checking for spelling and grammar mistakes. Cybercriminals on the other hand are often not as bothered or not as careful with these sorts of things, so often make errors.

Never click the links in a suspicious email! Rest your mouse over them instead and make sure that the listed website matches the one that pops up.

Threats of a closed account or that your security has been breached so you need to enter it again. Always double check with the company in another manner to verify this information. If they’re telling you that you need to change the information, you should be able to verify that by phone.

Financial Fraud – Credit Cards

In order to prevent credit card fraud, here are a few tips.

Keep your cards close by and put them away immediately after using them. Always check several times if they made it back into your bag after a purchase.

Destroy anything with your credit card number on it. If you still get paper billing statements, make sure that you either shred or burn them. The same goes for old cards.

Fraudulent credit cards are not just dangerous in the hands of experienced cyber criminals. Even teenagers are starting to be a part of various scams. They have the ability to buy the cards and numbers on the black market, then just put them together themselves. Others may steal your card out of your pocket or purse without you even realizing. There are even fake swiping devices that can collect important credit card information from ATMs and other devices. Be sure to research more ways you can  prevent financial fraud from occurring in your personal life.

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