The Scoop On Debit Card Fraud - Members Community Credit Union (2024)

FAQs

How do people get caught for debit card fraud? ›

How Do Banks Investigate Fraud? Bank investigators will usually start with the transaction data and look for likely indicators of fraud. Time stamps, location data, IP addresses, and other elements can be used to prove whether or not the cardholder was involved in the transaction.

What are the types of Debit Card Fraud? Skimming devices - It involves fraudulently capturing your Debit Card details by fraudsters. Scammers use a skimming device capable of copying your data from the Debit Card's magnetic strip. They install these devices on ATMs or even PoS terminals.

Furthermore, fraudsters can trick you into providing your card information. They can do it through fraudulent emails, text messages, or websites. Another possible way is when your card details are exposed to hackers on a website.

Can You Track Someone Who Used Your Credit Card Online? No. However, if you report the fraud in a timely manner, the bank or card issuer will open an investigation. Banks have a system for investigating credit card fraud, including some standard procedures.

Police typically do not investigate a single stolen credit card. If there is concern about a larger ring of criminal behavior, law enforcement may be more likely to spend time investigating. In most cases, the credit institution and the FTC handle credit card fraud investigations.

The short answer is no. You can't track a debit card as you would a phone or another GPS-enabled device. While they have numerous security measures, debit cards aren't equipped with a GPS chip or any other kind of technology that allows you to locate them remotely. The same goes for credit cards.

Collaboration with law enforcement

In severe cases of fraud or identity theft, banks may involve law enforcement agencies. This step is essential for broader investigations that may have implications beyond the bank's jurisdiction.

California has numerous Penal Code Sections that criminalize different types of credit card fraud, including 484e, 484f, 484g, 484h, 484i, and 484j. All statutes make it a crime for anyone to use a credit or debit card to obtain goods or services they are not entitled to receive.

Liability rests with the bank that issued the cardholder's card, and if the purchase is later deemed to be fraudulent, the merchant is not responsible for refunding the customer.

Can someone use my debit card without my PIN? ›

If you don't have proper security measures in place and the criminal obtains your debit card information, they can use it for fraudulent online or over-the-phone transactions. These types of transactions don't require a PIN or signature, making the criminal's job easier.

Using Geolocation Tracking

Credit card companies and banks generally use software to extract geolocation data and leverage it for information like the malicious user's time zone, internet service provider (ISP), and exact location of the fraudster at the time of the fraudulent purchase.

If someone has used your card in a store or online, you're covered under the Payment Services Regulations. This means you must be refunded immediately if you've had money taken from your account without your permission. Always report the loss of your debit card, or any unauthorised payments, as soon as possible.

Unfortunately, finding the people who commit credit or debit card fraud can be challenging. Often, even if the thieves get caught, the money is gone, and the scam artists don't have the resources to pay restitution. As a result, the financial institution ends up bearing the loss.

Are You Liable for Unauthorized Debit Card Purchases? In most cases, federal law limits your liability for unauthorized debit card purchases to $50, provided you report the fraud within two business days of discovering it.