What Do You Do When All is Lost?
Many people have come to rely on their credit cards, ATM cards, and debit cards. These important pieces of plastic provide people with a high level of convenience and a sense of security. Because of this, if any of these cards are lost or stolen, the effects can be extreme.
The first thing to do if you find that you have lost or had one of these cards stolen is to immediately report that fact to the bank or company that issued the card. The sooner you do this, the less likely you are to be held accountable for any charges made without your consent. If you report the loss before your credit cards are used, you will have no responsibility for any unauthorized charges. The maximum amount that you can be held liable for is $50 even if your credit card does have unauthorized use. When dealing with ATM or debit cards the liability for any unauthorized use depends on how quickly you as the cardholder report the loss. Losses can end up being high for ATM or debit cards if you do not report the loss as quickly as possible.
It is also a good idea to follow up your calls to your card companies with letters that include your account number, the date the credit card was missing, and the date the loss was reported. If possible, get the name of the person you spoke with on the phone and include that as well.
After you have reported any credit or other cards as being lost or stolen, you need to carefully review your billing and bank statements for the next few months. Be sure to report any unauthorized charges to the bank or card issuer immediately.
The best way to prevent credit card loss or fraud is to always keep your cards in a safe place and keep track of them. You should also choose a private code word or number for your Personal Identification Number (PIN) for any ATM, debit cards, or new smart credit cards that require one. Using your birth date, phone number, social security number or any other easily determined number or word as your PIN will only make it easier for an identity thief to take advantage of your card. Memorize this PIN so that someone can’t find it and use it along with the card.
There are some simple steps that you can take on a regular basis to prevent unauthorized use of your cards and lower your risk of identity theft.
1. Only take with you the cards that you expect to use.
2. Do not write down your ATM or debit card PIN on the card or anyplace where it might be seen.
3. Keep records of your cards’ account numbers, expiration dates, and the telephone numbers of each card issuer in a safe place at home or separately from the cards if you are traveling.
4. Draw a line through any blank spaces on charge or debit slips so that the amount cannot be changed.
5. Save all receipts to check against your monthly statements.
6. Open your monthly statements immediately and compare them to your receipts. You can check your account activity even more frequently, especially if you bank online.
7. Never give out your credit card or ATM card account number over the telephone unless you placed the call yourself to a reputable company. Even then, do not do so over a cordless phone.
8. Never write your credit card account number on the outside of an envelope, postcard, or anywhere that a stranger might see it.
9. When you receive a new card or cancel an account, always cut up the old cards, make certain to cut through the account number.
By taking a few simple steps, you can protect yourself and be prepared in case the worst does happen and you do lose one of your precious cards. If you are prepared and know how to act quickly, then all will not be lost.