{"id":13531,"date":"2024-03-12T14:59:25","date_gmt":"2024-03-12T14:59:25","guid":{"rendered":"https:\/\/diamondlaw.ca\/?p=13531"},"modified":"2024-03-12T14:59:25","modified_gmt":"2024-03-12T14:59:25","slug":"understanding-credit-card-phishing-and-how-to-stay-safe","status":"publish","type":"post","link":"https:\/\/diamondlaw.ca\/understanding-credit-card-phishing-and-how-to-stay-safe\/","title":{"rendered":"Understanding Credit Card Phishing and How To Stay Safe"},"content":{"rendered":"

Fewer and fewer people transact with cash nowadays. Most use an online payment app, debit card, or credit card. The increased use of credit cards online and offline comes with higher incidents of credit card fraud in Canada. According to a 2023 study, about <\/span>a quarter (21 percent) of Canadians<\/span><\/a> have been victims of credit card fraud in their lifetime.<\/span><\/p>\n

Credit card fraud<\/span><\/a> happens when someone takes your credit card, account numbers, or card information and uses it for illegal or unauthorized activities. Scammers take advantage of the growing acceptance of and comfort with remote payment options to target vulnerable people, particularly the elderly. The spike in the volume of online sales has also made it statistically easier for them to find cracks in the system.  <\/span><\/p>\n

What is credit card phishing?<\/b><\/h2>\n

A <\/span>phishing scam<\/span><\/a> is a scheme wherein bad actors contact victims through emails, text messages, or phone calls. The scam aims to acquire sensitive information, such as passwords and financial data. Fraudsters often pose as well-known businesses, agencies, or organizations to build trust and persuade victims to give up sensitive or valuable information. Once they get your credit card numbers, bank account details, and passwords, they use them for illegal activities.<\/span><\/p>\n

In the current digital landscape, phishing scams have evolved, including tactics such as phishing in <\/span>social networks<\/span><\/a> and chat apps. Generative AI has made cybercriminals more adept at making their phishing emails look legitimate. That makes it easy to trick people into opening, clicking, or sharing dubious links.<\/span><\/p>\n

How It Works<\/b><\/h2>\n

Phishing scams mimic a legitimate company or service but provide fraudulent instructions or links to gain access to sensitive information. Some of the most dangerous ones attempt to access financial details directly by posing as the credit card company or another legitimate entity that would need legitimate access to these details.<\/span><\/p>\n

For example, someone may call you, claiming to be from your bank, to inform you of a breach of your account. They make it seem urgent for you to act immediately by providing them with your credit card information. <\/span><\/p>\n

Another tactic is through phone calls. Someone reaches out to you, claiming to be from your credit card company. They will urge you to register for special promos, but they must first confirm your identity by asking for sensitive information.<\/span><\/p>\n

How To Spot It<\/b><\/h2>\n

Phishing scams come by phone and email and may present various ploys to gain a target’s trust. A typical phishing scam claims that you must update account details for a credit card to justify a security check. <\/span><\/p>\n

The scammer might ask for answers to your security questions, positioning themselves as if they already know the answers and are simply verifying. That includes personal questions set up in advance, like your mother’s maiden name or the street on which you grew up. They could also be your date of birth, Social Insurance Number (SIN) and the three-digit code on the back of a credit card.<\/span><\/p>\n

Alternatively, you might get an email or text message with a link directing you to a bogus website that looks like your credit card company. It may require you to input sensitive information to “access” your account. <\/span><\/p>\n

Some matters that phishing scams imitate might be time-sensitive. In these cases, scammers will rush you. A red flag is a heightened sense of urgency or a specific, short timeframe in which instructions must be completed. Beware of assertions such as \u201c[the alleged company] has been unable to reach you until now” or that “this is the last time you will be contacted,” which have become hallmarks of phone scams.<\/span><\/p>\n

It’s best to be paranoid when it comes to guarding your information. Look for the following indications of a scam before you give anything away:<\/span><\/p>\n