What are the different ways criminals commit credit card fraud? There are plenty of different ways, but we are going to share with you the four common ways criminals get their hands on your credit card details:
1. Criminals Hack Restaurants and Brick-and-Mortar Merchants
They capture credit card details by hacking the point-of-sale (POS) system and installing malicious software from a remote location. POS is a software that controls the store’s inventory and payments. Crooks stealing personal details this way can get their hands on several credit and debit cards and produce many counterfeit credit and debit cards. They use the cards to buy gift cards or expensive products that they then resell to other people for cash.
2. Criminals Hack a Company’s Processor
Hackers target companies that process transactions between banks issuing credit cards and merchant banks. In 2012, a criminal hacked process transactions and made out with more than ten million credit and debit card numbers.
3. Criminals Hack a Company or Vendor’s Point-of-Sale System
When hackers hack the point-of-sale (POS) system of a company or vendor, they lead banks and card issuers on a long and tedious hunt. It can take a while for law enforcement to find out and arrest the hacker behind the theft.
4. Criminals Hacks E-commerce Merchants
They compromise the website or database of an e-commerce store. People purchasing items from the online store may not be aware of a hacker stealing their debit or credit card details until they receive their monthly statements.
You should always use cold hard cash by using your debit card to withdraw money from a reliable ATM machine. However, you should inspect the ATM machine for a skimmer. You should also not input your password if you suspect someone is trying to steal your information, but look everywhere before you input your password to withdraw money from the ATM machine.