credit card theft protection

8/2/2019 Credit card theft protection

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Credit card security and Risk

By William Raymond

CISA 3358

Teacher Dr Hewitt


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Credit card itself

History

Identify theft How to protect yourself

World Statistic on the CC use and theft


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What is a Credit Card?

Its a small piece of plastic that is3-1/8 inches by 2-1/8 inches insize that contains identification

information such as a signature orpicture.

It gives one the power to buygoods and services for which isobligated to repay back at a later

time.

Its convenience for the customerand allows the person not to carrycash with them.

Allows the issuer (the bank ) the

right to limit your line of credit.That is based on your liability tothem. Ex Young college kid thatthat just moved out of Momshouse, maybe limited to $500line of credit. The reason for this

is you are the liability for the bank

However Banks can make up for itby interest. If youre a goodSamaritan and pay your bill in full

by usually in a grace period of 30days you will not be subjected tointerest fees.


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Why so many #s on that card?

MasterCard - Digits two and three, twothrough four, two through five or twothrough six are the bank number(depending on whether digit two is a 1,2, 3 or other). The digits after the banknumber up through digit 15 are the

account number, and digit 16 is a checkdigit.

The first digit in your credit-cardnumber signifies the system

3 - travel/entertainment cards (suchas American Express and DinersClub)

4 - Visa

5 - MasterCard 6 - Discover Card


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Credit Card history

In the early 1900s you had servicestations and department storesissues these cards out tocustomers.

The cards though were onlyaccepted at the issuing place. SoIf you got one at the Chevron inFresno it could only be used at theFresno location.

So the card was very limited.

The system of payment andloaning was based on honor

system.

Then in 50 years later the DinnerClub card was introduced. This

became what is known as the firstuniversal credit card. One thatcould be used at a variety of storesand business.

It started out as a card mainly forbusiness associated that could

dine in with their clients. It had 200associates.

This however was a charge card,because the full amount had to berepaid back within the month.

By 1951 It grew to over 20,000members.

Then you had the Banks take overthe credit cards. Bank of Americaissued (VISA) to all consumers'

alike.


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Credit Card + and -

However when the banks later in the 60sand beyond got a real hold of this goldmine idea, the credit card became a wayfor banks to rule the customer withcompounding interest.

Credit cards have positive and negatives tothem.

Merchant it guarantees payment once thetransaction is made. The banks promise topay quickly. However they are usuallycharged about 5-50 cents per transaction.

Customer allows them to buy goods andservices without the need for hard

currency. Banks well they usually get all the benefits

that combine the merchants and customer.

Button line Be careful and make the card atrue asset not a liability!


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How to Protect yourself Information from

http://www.scambusters.org/CreditCardFraud.html

* Never provide your credit card information ona website that is not a secure site.

Never leave your credit cards or receipts lyingaround.

Always void and destroy incorrect receipts.

Keep an eye on your credit card every time

you use it, and make sure you get it back asquickly as possible. Try not to let your creditcard out of your sight whenever possible

Shield your card form others when your aboutto pay for your goods. Cell phones these dayhave great lil cameras to them.

Information fromhttp://www.privacyrights.org/ar/idtheftsurveys.htm

Cancel your paper bills andstatements wherever possibleand instead check yourstatements and pay bills online.

Monitor your account balancesand activity electronically (atleast once per week).

If you do not have access toonline accounts, review paperbank and credit card statementsmonthly and monitor your billingcycles for missing bills or

statements. Use email based account

alerts to monitor transfers,payments, low balances andwithdrawals and review yourcredit report (now available forfree annual review).


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World Stats on CC crimes 08


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World Stats on CC crimes 2

Globally, in 2008, most scammersoperated from the United States. The U.S.still held a huge lead in active internet

users then, a gap that has since closedconsiderably


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Why the difference EU VS US? Found at http://www.cashunclaimed.com/unclaimed-property-blog/the-

government-finance/identity-theft-in-europe-is-different-than-in-us

1 Europeans use national identity cards as a form of identification and theseare fiercely guarded . The national ID number appears very little compared toSSN in The US.

As Oppose here we use the SSN for too many applications. 2 European countries, credit bureaus are maintained by groups of banks that

share information with each other and not with outsiders. Contrast that withthe U.S., where just about any business can acquire data from a creditbureau and use credit scoring to determine a potential consumers risk of

default.

3 Western European countries have laws that keep businesses from sharingand selling private financial or personal information. Information is onlyavailable to the person to whom it pertains. The European Union privacydirectives restrict data aggregation of public records.


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That concludes CC information

THANKS PEOPLE!!!!!!!

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