Cardholders Can Mitigate Fraud, too!

Fraudsters use a number of methods to obtain card information: phishing, vishing, skimming, and malware for example. They then use the information to make fraudulent transactions by creating counterfeit cards or making online purchases.

Although we can’t prevent compromises, the good news is Advantage Checkcards are covered by several layers of security to mitigate fraudulent transactions.

  • Continuous Fraud Monitoring (SecurLOCK) deters and detects suspicious activity.
  • The 3-Digit Security Code on the back of Checkcards provides Internet and phone security by verifying the cardholder is in possession of their Checkcard.
  • Verified by Visa is a free, simple-to-use service that confirms the cardholder identity with a personal password when making an online transaction. Learn more at
  • Chip Checkcards, used at a chip-enabled terminal, generate a onetime code for that transaction. This makes it nearly impossible for fraudsters to use stolen transaction data to create a counterfeit card.

In addition, Visa’s Zero Liability policy applies to all “Signature” or “Credit” purchases and PIN transactions that route through Visa so cardholders are protected in case of a lost card or fraudulent use.

Did you know that the most important fraud fighter is the cardholder? About 50% of fraud is found by the cardholder. Following is good information you can share with your cardholders to encourage them to become actively involved in mitigating Checkcard fraud.

  • If a Checkcard transaction is suspect, our fraud monitoring system attempts to contact the cardholder to verify the transaction. For this reason, it is important for your institution to have a current phone number (preferably a cell phone number) and email address on Cardbase. If the cardholder cannot be reached, the card may be blocked to prevent further transactions. Also, cardholders should notify the institution when traveling or before unusual spending.
  • Daily limits for purchases should be set at an appropriate amount for your spending habits. The daily limit can be temporarily raised for vacations, special purchases, etc. where a higher daily limit is needed.
  • Sign up for Transaction Alerts through your mobile banking or at Visa Purchase Alerts (whichever your institution offers).
  • Friendly fraud (the fraudster knows the victim – a relative or friend) accounts for about 10% of fraud.  Don’t leave confidential information out in the open.
  • Don’t give out personal private data over the Internet or phone unless you initiate the interaction with a trusted source.  Do not respond to emails, phone calls or text messages that ask for sensitive information.
  • Do not to give out card and PIN information. Do not write your PIN on your card or put it in your wallet.  Do not use a PIN that can be found in your wallet (birthdate, part of social security number, house number, etc.).
  • Social networking sites are becoming a hazard for information breach. Do not reveal any sensitive personal information on your Facebook, Twitter or other social networking site.
  • Do not respond to text messages, phone messages, emails or pop-up windows that offer a gift in exchange for providing card information. There are so many scams circulating, it’s hard to stay current; in general DO NOT respond to ANY requests for personal and/or financial information.
  • Do not provide your card information to any web site that is not a secure site. A secure website will have an “s” after the http: in the URL address bar and look for the padlock symbol.  Double click on the padlock and the SSL certificate will appear.
  • Install and regularly update anti-virus, anti-spyware software and keep computer systems updated.
  • Be aware of those around you…don’t let others overhear sensitive financial or personal information.
  • Shred documents with sensitive information prior to disposal.
  • Select more complex passwords for your online accounts.  Also avoid using the same password for all accounts.


Other resources to check out:


Federal Trade Commission (FTC) Identity Theft Hotline: 877-ID-THEFT


Social Security Administration’s Fraud Hotline: 800.269.0271


Credit bureau fraud hotlines

– Equifax: 800.525.6285

– Experian: 888.397.3742

– Trans Union: 800.680.7289

Click Here for more News and Updates