Optional ID fraud protection necessary?

tctjeremy

Hi everybody,

I hope this is the correct forum for my question. Whenever I apply for a credit card I get asked to purchase an optional ID fraud protection insurance which costs around £1/months. Do you really need this insurance?

I always have declined it as I thought it's not necessary.

Recently I had a fraudulant transaction over £500 on my credit card (with no optional insurance). I was first very nervous as I declined my optional insurance but still my credit card company (Morgan Stanley) refunded the money.

I was just wondering how many people are not paying for the optional ID fraud protection insurance and still could get a refund for a fraudulant transaction...

Jeremy

wigginsmum

I wouldn't pay it. Financial institutions are expected to have satisfactory antimoneylaundering/fraud measures in place by virtue of their regulation by the FSA.

Paul_Herring

tctjeremy wrote:

I was just wondering how many people are not paying for the optional ID fraud protection insurance and still could get a refund for a fraudulant transaction...

I'm most certainly not paying for something I either get free anyway (refund of fraudulant transactions), or won't get any benefit from (I'm thinking PPI for this latter one.)