Credit Card Fraud - Page 2

**Dukerdawg** · February 20, 2009

I process charges through Sage Payment Solutions and enter the card number into a secure (hopefully!) database that has a mainframe outside of Atlanta, GA. After I enter the card number all I can see after that is the last 4 digits, which I think is a new law now, because it didn't use to be that way.

The funny thing is a few years back I was coming from inside a store at the mall and was approached by a couple of reporters/photographers who wanted to interview me about credit card fraud. I gave them my answers and the story appreared in the Detroit News, front page of the local section. A few weeks after that somebody got hold of my credit card and opened an AOL account and bought on-line games in Rekavic (Sp?) Iceland! Coincidence, probably. Then at the same time somebody attempted to use my wifes ATM card in Belgium. They couldn't figure out her PIN number, and how they got her account number is still a mystery. Crazy stuff.

Duane

Tania · February 20, 2009

Quote:

Originally Posted by Wi-sunflower

My web site uses Google Checkout to process credit card payments. I'm just a fairly small seller and don't do enough business to justify a "merchant account". The fees would sink me.

Anyway, Google processes the card and I don't even see any info at all and Google is responsible for keeping that stuff safe. Makes it a whole lot easier for me as I don't have to worry about safekeeping any of that stuff.

People can call me and talk, but I can't process a card payment over the phone. And frankly I don't want to know your card number. No way for someone to blame ME if I never know it.

Carol

Same here

I rely on PayPal to process any credit card payments. Plus I always send PayPal invoice to the folks, so they know where it is coming from, and they can choose to pay or not.

Tania

pooklette · February 21, 2009

Quote:

Originally Posted by Dukerdawg

After I enter the card number all I can see after that is the last 4 digits, which I think is a new law now, because it didn't use to be that way.

Yes, that's new. The credit card companies (Visa, MC, Discover, etc.) basically got together and came up with tighter security guidelines for companies that accept/process credit cards. Masking all but the last four digits of a credit card number was one of the new rules. The guidelines are so strict, I basically had to turn my small company (40 employees) into Fort Knox.

The new rules do have holes though. For example, say someone calls my company to place an order. It's not uncommon for people to use a credit card as payment and the guidelines don't explicitly prevent me from accepting his/her credit card.

Now, if this 'customer' is a scammer, he's probably just given me some random credit card number, testing to see if it actually works. He has no intention of buying stuff from me and as soon as he finds out the card went through, I'll never hear from him again. He'll hop online and charge stuff until the limit is reached or the rightful owner shuts down the account.

(Yes, we've had people try that, no we didn't fall for it, and yes, we did report it.

)

The new security guidelines don't keep you 100% safe from things like this. They make it hard for dishonest employees or hackers to get their paws on your digits, but many scammers use other methods (like my example above) to get at your money.

I'm sad to say, the scammers are getting pretty good at this. I suspect that a lot of fraud has nothing to do with some basement hacker stealing credit card numbers off a server in New York or Chicago. Often, all it takes is a bit of careful social engineering or trial-and-error to steel our hard earned money.

geeboss · February 21, 2009

Its to gosh darn camera phones!!! Never enough privacy when you need it.

George

**Dukerdawg** · February 21, 2009

Speaking of credit card fraud, here is another example, perpetrated by the credit card companies. I have a corporate card that I should have been paying more attention to I admit. Actually I'm pretty embarrassed, but you know we are all busy, etc. etc. I opened my statement yesterday and get this...the interest rate is 32.99 percent! WHAT THE $#$U&#(*)($#!!!!!!!! My credit rating is 765 and I've never missed a payment. I called...they adjusted it 32.19...what great folks! They said it was a variable rate per the terms of my agreement. Well, they might have sneaked that past me for a month or two, but that baby is getting paid off pronto. I told the girl on the phone her CEO should be shackled and taken immediately to prison. That is criminal. Now why did we, the taxpayers need to give the banks 780 billion dollars?

Duane

**nctomatoman** · February 21, 2009

From what I've read on several blogs, the "secret" elevation of interest rates to exorbitant values is something that we all could see...it merits paying close attention to! As banks start to panic we will see all sorts of things as they look to recoup their losses.

**Dukerdawg** · February 21, 2009

Well, Craig...that card company is losing my business permanently. I thought for sure there was a cap in place or perhaps that was something that was being talked about. How is that going to recoup their losses I wonder? I know that if I had no income and they were pulling this crap I would declare bankrupty and really screw 'em! I expect a reasonable rate for borrowing and isn't the prime exceptionally low? I think there is going to be another revolution in this country if this type of stuff continues. It will make the Boston Tea Party seem like a real tea party!

rnewste · February 21, 2009

Duane,

I know the credit card companies don't like me, as we pay off the monthly balances before due - - and have been doing that for 20+ years. The only way they are profiting from my account must be on the "float" from the merchants. We are going to see more of this gouging any way they can, as more credit card customers default, and the costs of fraudulent charges, hackers, etc. These 30+% carry-over rates will not be unusual, unfortunately.

Funny thing to show how the U.S. Finance system is so out of whack these days, is that the interest rate on my home equity line which is tied to the LIBOR rate, just went down to 2.97%. Go figure!!

Ray

**Dukerdawg** · February 21, 2009

Ray, I heard from a reputable source that people who pay off their balances in full every month are offically known by the credit card companies as 'deadbeats'. Ain't that funny?

**nctomatoman** · February 21, 2009

We have therefore been deadbeats for at least 3 years! we've also disappointed car dealers by paying for our last 3 cars with checks...after letting them go and get the credit dude! Better to get the deductable interest from a home equity line than paying the car companies' financing co's all that interest..

stormymater · February 21, 2009

using Dukerdawg's def - I'm glad to be a "deadbeat"! Hope to never buy another new car, pay off cc balances before the "due date" & switch back to cash for most purchases altogether. Of course I'll be open to negotiation on pricing when avoiding merchant's 3% costs...

kwselke · February 21, 2009

Stormy has a point. The credit card clearing companies charge retailers a discount on charges submitted. It varies from about 1.5% TO 3.8%. They make money even if you pay your bill off in full each month. I used them as a matter of convenience, and for the cash back.

Earl · February 21, 2009

If you've got any money put at least half of it into silver/gold because in 2-3 years inflation/taxes are going to eat you out of house and home and bank account and job pay and tighten your belt several inches, gonna make you feel like the punished American you should be. But we're Americans, we'll slodge through it no matter how many losers are clinging to our legs. I think all the "dirty unwashed" out there are beginning to wake up. Let's have that Revolution at the voting booth in 2010.

stormymater · February 21, 2009

you think so Earl? With gold breaking $1001.00 an ounce now? I am totally freaked about what's gonna happen about taxes & inflation about savings. I do have a friend who has invested heavily in gold & is riding high now. I gor burned with solver back in "the Dark Ages" (thanks Hunts Bros - you #&$#^@@) so have not dipped a toes back into precious metals or commodities EVER.

Elliot · February 22, 2009

The internet is a way in which crooks steal credit card info. Most responsible companies have security features built into their sites but not every company does. It is also important to never give your credit card info over a cell phone. Crooks monitor these and can steal the info. Also never give the info in plain e-mail. Only use a secure site. Even with all precautions, credit card info can be stolen so always check your balance and history and report anything that looks supsicious

February 20, 2009	#16
Dukerdawg Growing for Market Moderator Join Date: Jan 2006 Location: Westland, Michigan Posts: 861	I process charges through Sage Payment Solutions and enter the card number into a secure (hopefully!) database that has a mainframe outside of Atlanta, GA. After I enter the card number all I can see after that is the last 4 digits, which I think is a new law now, because it didn't use to be that way. The funny thing is a few years back I was coming from inside a store at the mall and was approached by a couple of reporters/photographers who wanted to interview me about credit card fraud. I gave them my answers and the story appreared in the Detroit News, front page of the local section. A few weeks after that somebody got hold of my credit card and opened an AOL account and bought on-line games in Rekavic (Sp?) Iceland! Coincidence, probably. Then at the same time somebody attempted to use my wifes ATM card in Belgium. They couldn't figure out her PIN number, and how they got her account number is still a mystery. Crazy stuff. Duane __________________ May I aspire to live my life so that I may be the man my dog thinks I am.

February 21, 2009	#20
Dukerdawg Growing for Market Moderator Join Date: Jan 2006 Location: Westland, Michigan Posts: 861	Speaking of credit card fraud, here is another example, perpetrated by the credit card companies. I have a corporate card that I should have been paying more attention to I admit. Actually I'm pretty embarrassed, but you know we are all busy, etc. etc. I opened my statement yesterday and get this...the interest rate is 32.99 percent! WHAT THE $#$U&#(*)($#!!!!!!!! My credit rating is 765 and I've never missed a payment. I called...they adjusted it 32.19...what great folks! They said it was a variable rate per the terms of my agreement. Well, they might have sneaked that past me for a month or two, but that baby is getting paid off pronto. I told the girl on the phone her CEO should be shackled and taken immediately to prison. That is criminal. Now why did we, the taxpayers need to give the banks 780 billion dollars? Duane __________________ May I aspire to live my life so that I may be the man my dog thinks I am.

February 21, 2009	#21
nctomatoman Tomatoville® Moderator Join Date: Jan 2006 Location: Hendersonville, NC zone 7 Posts: 10,385	From what I've read on several blogs, the "secret" elevation of interest rates to exorbitant values is something that we all could see...it merits paying close attention to! As banks start to panic we will see all sorts of things as they look to recoup their losses. __________________ Craig

February 21, 2009	#22
Dukerdawg Growing for Market Moderator Join Date: Jan 2006 Location: Westland, Michigan Posts: 861	Well, Craig...that card company is losing my business permanently. I thought for sure there was a cap in place or perhaps that was something that was being talked about. How is that going to recoup their losses I wonder? I know that if I had no income and they were pulling this crap I would declare bankrupty and really screw 'em! I expect a reasonable rate for borrowing and isn't the prime exceptionally low? I think there is going to be another revolution in this country if this type of stuff continues. It will make the Boston Tea Party seem like a real tea party! __________________ May I aspire to live my life so that I may be the man my dog thinks I am.

February 21, 2009	#24
Dukerdawg Growing for Market Moderator Join Date: Jan 2006 Location: Westland, Michigan Posts: 861	Ray, I heard from a reputable source that people who pay off their balances in full every month are offically known by the credit card companies as 'deadbeats'. Ain't that funny? __________________ May I aspire to live my life so that I may be the man my dog thinks I am.

February 21, 2009	#19
geeboss Tomatovillian™ Join Date: Oct 2008 Location: Fairfax, VA Z7 Posts: 524	Its to gosh darn camera phones!!! Never enough privacy when you need it. George

February 21, 2009	#23
rnewste Tomatovillian™ Join Date: Apr 2007 Location: Campbell, CA Posts: 4,064	Duane, I know the credit card companies don't like me, as we pay off the monthly balances before due - - and have been doing that for 20+ years. The only way they are profiting from my account must be on the "float" from the merchants. We are going to see more of this gouging any way they can, as more credit card customers default, and the costs of fraudulent charges, hackers, etc. These 30+% carry-over rates will not be unusual, unfortunately. Funny thing to show how the U.S. Finance system is so out of whack these days, is that the interest rate on my home equity line which is tied to the LIBOR rate, just went down to 2.97%. Go figure!! Ray

February 21, 2009	#26
stormymater Tomatovillian™ Join Date: Dec 2008 Location: Pleasure Island, NC 8a Posts: 1,162	using Dukerdawg's def - I'm glad to be a "deadbeat"! Hope to never buy another new car, pay off cc balances before the "due date" & switch back to cash for most purchases altogether. Of course I'll be open to negotiation on pricing when avoiding merchant's 3% costs...

February 21, 2009	#27
kwselke Tomatovillian™ Join Date: Apr 2006 Location: Houston, TX Posts: 172	Stormy has a point. The credit card clearing companies charge retailers a discount on charges submitted. It varies from about 1.5% TO 3.8%. They make money even if you pay your bill off in full each month. I used them as a matter of convenience, and for the cash back.

February 21, 2009	#28
Earl Tomatovillian™ Join Date: Jan 2006 Location: SW Ohio Posts: 1,278	If you've got any money put at least half of it into silver/gold because in 2-3 years inflation/taxes are going to eat you out of house and home and bank account and job pay and tighten your belt several inches, gonna make you feel like the punished American you should be. But we're Americans, we'll slodge through it no matter how many losers are clinging to our legs. I think all the "dirty unwashed" out there are beginning to wake up. Let's have that Revolution at the voting booth in 2010. __________________ "Seriously think about what you're about to do/say before you do it and the outcome will always be better." Earl

February 22, 2009	#30
Elliot Tomatovillian™ Join Date: Mar 2008 Location: Hicksville, New York Posts: 503	The internet is a way in which crooks steal credit card info. Most responsible companies have security features built into their sites but not every company does. It is also important to never give your credit card info over a cell phone. Crooks monitor these and can steal the info. Also never give the info in plain e-mail. Only use a secure site. Even with all precautions, credit card info can be stolen so always check your balance and history and report anything that looks supsicious