credit card fraud? have you been done recently?

Tindella_2

Hi everybody - just trawled through 10 pages to see if this has already been covered but could not find anything : so here goes,

Have not (yet) been the victim of credit card fraud but has anyone else experienced this - your comments would be very helpful!

I needed to book a hotel for business purposes in London in June. To secure my room I had to give my Credit Card number - fine, have done that before. Then I was asked for the security number - I hesitated, pointing out that it was called a security humber for a very good reason and if I told him, and anything went wrong, I would know who to blame. He was very charming and told me that this was standard procedure - without the number he couldn't guarantee the room would be available. Now, I didn't tell him the exact name on the card, and I know this is required by many sites on the internet when you buy stuff - and he doesn't know the billing address - BUT - if he used it (or gave the information to someone else) and used a site I had used before, would I get ripped off? Any help from anyone, please?

also, is this really standard practice? And any of you that work for financial companies that issue credit cards - are you aware of this and are your company's doing anything about it? I know, lots of questons, but it could affect a lot of people? I'm off to check my credit card transactions??

Paul_Herring

Tindella wrote: »

Hi everybody - just trawled through 10 pages to see if this has already been covered but could not find anything : so here goes,

Have not (yet) been the victim of credit card fraud but has anyone else experienced this - your comments would be very helpful!

I needed to book a hotel for business purposes in London in June. To secure my room I had to give my Credit Card number - fine, have done that before. Then I was asked for the security number - [...]

also, is this really standard practice?

Yes - it's standard for all 'card not present' (CNP) transactions, such as ording via the web or over the phone. It's to prove that the person doing the ordering has the card.

fablad75

I work in a callcentre and yes, we have to ask for the 3 digit security code in addition to the long number and the expiry date. Everything else - even the name and address - is unnecessary.

jamesd

The security code is required and the card details are so the hotel can charge you for as many nights as their normal policy says they will charge for if you don't showup.

Name and address aren't required and it's not essential for the address to match your own address, though in some systems that will be reported back to the retailer as an address mismatch and some retailers will reject the transaction or do more authorisation in this situation.

James

jamesd wrote: »

Name and address aren't required and it's not essential for the address to match your own address, though in some systems that will be reported back to the retailer as an address mismatch and some retailers will reject the transaction or do more authorisation in this situation.

This is the risk CNP retailers take, delivering goods to a different address than that of the genuine cardholder.

It's very easy to deter this, will post more information later.

Click here to learn all about Address Verification Service and Card Security Code

jamesd

I'm not interested in deterring delivery to addresses other than the one where the bill goes. I'm interested in facilitating it.

Tindella_2

fablad75 wrote: »

I work in a callcentre and yes, we have to ask for the 3 digit security code in addition to the long number and the expiry date. Everything else - even the name and address - is unnecessary.

I appreciate all the responses - but I'm worried that divulging this number opens me up to fraud via the internet. I have just called the credit card company, who also seem to think this is an "OK" practice, but advised me to keep an eye on my transactions listed on my account via the internet - so they're giving me the job of ensuring my safety!! Not good enough, have cancelled the card I used - presumably the hotel has already checked me out - if they haven't, and my room is not available - stuff them - I'll find another one!

No wonder there's so much credit card fraud when we're giving our "security" details over the phone to complete strangers! (No reflection on the people here who work at call centres, I may add! Just the rantings of a worried pensioner! - nothing personal intended!)

jamesd

Tindella, providing the card security code is necessary, since it's information which is not normally collected during purchases where you are present and hence is used to support the belief that it's you with the card present placing the order, not someone who has the details from another purchase you made in person.

Sorry to have to tell you but you have cancelled the card because the hotel did exactly what it was supposed to be doing to reduce the chance of fraud.

You have also breached the intent of the agreement with the hotel, which is that the hotel would be able to charge you for at least one night if you didn't show up. Keeping the room unlet for that night even if you haven't arrived yet is the essence of the room guarantee.

You should expect every internet site and phone vendor to require that you supply them with the card security code.

Tindella_2

jamesd wrote: »

Tindella, providing the card security code is necessary, since it's information which is not normally collected during purchases where you are present and hence is used to support the belief that it's you with the card present placing the order, not someone who has the details from another purchase you made in person.

Sorry to have to tell you but you have cancelled the card because the hotel did exactly what it was supposed to be doing to reduce the chance of fraud.

You have also breached the intent of the agreement with the hotel, which is that the hotel would be able to charge you for at least one night if you didn't show up. Keeping the room unlet for that night even if you haven't arrived yet is the essence of the room guarantee.

You should expect every internet site and phone vendor to require that you supply them with the card security code.

Thank you. I'm not saying that the hotel is wrong - it's just that I'm not comfortable with the procedure and it's my choice! it's my card and my money and what happened to the "customer is always right?". The hotel has the right to reduce it's chance of fraud - so why don't I have that same right? My way of reducing my chance of fraud is to cancel my card. No-one quoted to me "my agreement" that I should not cancel my card. I won't be defrauding them because they cannot take any money off that card, legally, until I turn up - and I'll pay them with another credit card. Now it means they can't take any money off me ILLEGALLY!

I'm sure what you say is correct - but I don't have to like it, or go along with it! I shall, in future, ask my employer to book my hotel - and he can take the risk in future! Thanks, everyone, for you contributions on this.

PS When these security codes started appearing on the back of credit/debit cards it was for "OUR" protection - not the vendors. So now they have the upper hand and the poor consumer has now to be compliant?

harryhound

Fraud of less than 2000 GBP is more or less not even a crime.
The Government has decided that we must report these crimes to our banks not to the police, where they upset the crime figures and the pledge to be tought on crime and tough on the causes of crime (joke ?).

With chip and pin and chargeback your bank had a perfect way of protecting the bank from fraud ie its your fault or the trader's fault.

I would not let my "real" credit card out of my sight BUT I would use a low limit one for making the purchases over the 'phone or internet and supply my address and security code. If a trader is stupid enough to supply goods to an address that is not mine, he deserves all he gets.

The choice is yours.