Card fraud is committed using a payment card, such as a credit, debit or company card. The purpose may be to obtain goods or services, or to make a payment to another account which is controlled by a criminal.
How it happens
Fraudsters may attempt to steal your card details by tricking you into responding to a link in an email or text message. Alternatively, if fraudsters have already stolen your card details, they may contact you – advising you your card details have been compromised and you need to:
- Confirm your card details so it can be blocked; in reality, they’re using your card details to make payments.
- Provide one-time passcodes to stop transactions; however, they may already have your card details and these codes will be used to make payments without you realising.
- Return your card so a new one can be issued and advise you your card has been blocked; however, they’re going to obtain your bank card and use it.
Some common card fraud types can be found below:
Card not present fraud
If fraudsters already have your card details, they may be able to make purchases online or over the phone – but they’ll usually need to call you and try to trick you into giving them information.
Lost or stolen
Where a fraudster is able to steal your card or your mobile phone and knows information such as your card PIN or phone passcode, they may be able to use your card in person.
Card not received
Fraudsters may intercept your post to obtain your card. In some cases, if the fraudster has access to your account, they may order the new card themselves or trick you into ordering it.
How to protect yourself
Follow the advice below to help protect yourself and your business against card fraud:
- Use different, unique passwords for each online account. Use a password manager to help keep passwords secure.
- Use Multi Factor Authentication on accounts wherever possible.
- If you’re being asked for your card details or one-time passcodes, take your time and question if the request is genuine.
- Conduct some further checks and research before taking any action.
- Seek a second opinion if you’re unsure if a request is genuine.
- Activate new cards straight away.
- Protect your PIN, shield it whenever using an ATM and look to see if the cash machine has been tampered with.
- Check your bank statements regularly for transactions that you don’t recognise.
- Destroy old cards immediately.
- Cancel cards for previous employees immediately.
- Only give employees card limits they need.
- Keep your internet banking log on details and secure key device safe.
- Never give out online banking log on details, passwords, online banking authorisation codes, PIN numbers or one-time passcodes to anyone – HSBC and other banks don’t need these to stop payments.
- Don’t give out your PIN for website transactions.
- Never give out your CVC number in emails or over the phone.
- HSBC will never ask you to send back your card for a new card to be issued.
How to report it
If you believe you have been a victim of this type of fraud, please report it to us or your bank.
You should also report it to Action Fraud on 0300 123 2040 or via the Action Fraud website. If you are in Scotland, please report to Police Scotland directly by calling 101.