If you have a bank account, you probably carry a debit card. Since you can use it just like a credit card, debit cards also come with risk. However, when someone steals your credit card, the company that issues the card will usually cover what you lose. If you don’t notice debit card fraud right away, thieves could drain your bank account. CBC National Bank encourages customers to know the risks and take steps to protect their wallets and their bank accounts.
Debit Card Fraud Statistics
FICO says last year the number of compromised debit cards increased 70 percent. Debit card fraud happens both at ATMs and point-of-sale devices. Some statistics related to credit and debit card fraud:
- Credit and debit card fraud amounted to $21.84 billion in 2015. Card issuers covered 72 percent of credit card fraud, but only 28 percent of debit card fraud.
- Retailers lose over $580 million to debit card fraud every year.
- Most credit and debit card fraud happens in the United States. Card compromise has affected 46 percent of Americans in the last five years.
Risky Places to Use Debit Cards
Thieves “skim” your financial information by placing a small device over places where you swipe your card. When you slide your card through, it steals the details from your card’s magnetic strip. Cards with security chips are harder to counterfeit, but not foolproof.
Debit card fraud can strike anywhere, but there are some places it’s more likely to occur. Use extra care when you access funds from these locations.
- Outdoor ATMs – Thieves often place a hidden camera close to the ATM to capture your pin, then make a fake card to steal cash from your account.
- Gas stations – When you pay at the pump, crooks steal your information the same way they would at outdoor ATMs.
- Online – Malware hides in your computer and waits for you to enter debit card information
- Restaurants – Your server usually goes somewhere out of sight to process payment. It’s the perfect opportunity to copy and steal your information.
How To Avoid Debit Card Fraud
Only use ATMs inside your bank or other brightly lit, well-populated areas. If an ATM looks run down or is in a remote area, it’s easier for thieves to set up the equipment they use for tampering.
At gas stations and restaurants, use credit cards or pay with cash. Any time you swipe, check the machine first to see if you notice anything unusual about it. Pull on the swiping device to make sure that a skimmer was not installed.
No matter where you use your card, cover your pin. Make sure a camera can’t capture your secure code.
Always check your bank statement for unauthorized expenses. You have up to 60 days to notify the bank if you see something wrong. If your card is lost or stolen, tell your bank within two days to limit your liability.
CBC National Bank takes protecting your personal information seriously. If you suspect a problem, we’re available 24 hours a day to help. See how we offer secure solutions to all your banking needs.
Manage your CBC Debit and Credit Cards at the touch of a button. CBC National Bank customers can download and use the CardValet mobile app. CardValet® helps you protect your debit and credit cards by sending you transaction alerts and giving you the ability to define when, where and how your cards are used. Simply download the CardValet app to your smartphone, then customize your alert preferences and usage settings to monitor and manage your cards. You can download the CardValet app on the Apple Store or on GooglePlay.
