Vanity: I've been the victim of credit card fraud

Self | June 13, 2013 | Theo

[Theo]

I received an email and text from Discover Card this morning, saying that I might be the victim of credit card fraud.

I gave them a call, and learned that someone had charged over $10,000 worth of items over the past two days, at local stores: Walmart, Office Max, Publix, Macy's, and so on.

My wife bought two shirts for me on Tuesday from Macy's, using her Discover Card, and within a few hours someone had somehow physically re-created the card and was using it all around town.

Discover is not holding us accountable for the charges, and will reimburse us shortly. I've contacted LifeLock (where we have an account), and notified them of the breach. I've pulled my three credit reports, and it looks clean. Seems that only my Discover Card number was stolen.

I plan on filing a police report, after I receive documentation from Discover Card detailing the fraudulent use of my card. They tell me that the police can secure photos and video from security cameras at the place where the card was used, and we may be able to track down the culprit(s).

The odd thing is that just a couple of days before the fraudulent charges, we received replacement cards from Discover, because they were concerned that our account had been compromised.

Any FReepers ever been the victim of credit card fraud? Any recommendations on how to proceed? Any idea how the perps created a physical card with our credit card info on it?

[cynwoody]

We pay cash for everything via atm card.

I'm just the opposite. I use my ATM cards at ATM machines. Period. At the POS, it's AX or DS always.

Some years ago, when the "check card" was introduced, I called my bank and asked if my new card, which had a VI or MC logo (I don't remember which), could be used without entering a PIN. When they said it could, I complained, and a day later I had a replacement card minus the card company logo.

The trouble with ATM cards is, if there's a problem, the bank has your money, and you have to get it back from them. With credit cards, if there's a problem, the card company has to get it out of you, not the reverse.

Also, the card companies are enmeshed in competition over rewards points and cash-back nonsense. E.g., last February, Discover offered me $150 cash back if I would be so good as to charge $500 in each calendar month through June. $150 is six percent of $2500. Not a sustainable promotion. So, I took them up on it. One or two more shopping trips to go, and I've got my $150.

[Half Vast Conspiracy]

I plan on filing a police report, after I receive documentation from Discover Card detailing the fraudulent use of my card.

I tried that after someone charged >$3000.00 on my debit card. Local cops said I couldn't report it, because my back credited the money back to me. I wasn't a 'victim'.

[Shimmer1]

So what good does Life Lock really do then?

[NEMDF]

OMG what a story!!! With some experience (business situation) of being the victim of a thief, I would probably NOT cut anyone a break for this. Did she not have enough money? Or why would she have been “borrowing” your card like that? Did anything else go missing like jewelry or other valuables?

[Fledermaus]

The CVV is primarily used for online transactions. It’s not required at POS machines. Some card transaction companies have recently started requiring it but not all.

[goat granny]

I only have one card and it has a limit of 1500.00 dollars. keeps temptation at bay.....

[cynwoody]

For card-present transactions, the CVV has previously been optional, but recommended. Apparently, some merchants have started following the recommendation, while others have not.

Unlike the expiration date, the CVV is a piece of information independent of what’s on the mag stripe. As such, it’s like the billing address. Both pieces of information are helpful in ensuring that the person attempting the charge is the card holder and not a fraudster who bought intercepted swipes on the black market.

[Fledermaus]

I remember the days when we had to sit at night and call into the card companies and get authorizations that way.

And we had to bundle the hard copies and mail them in!

Ah, the good old days!

We don’t bother with the CVV at my restaurants or liquor store. Small enough town we pretty much know our customers.

[editor-surveyor]

>> “ I’ve contacted LifeLock (where we have an account), and notified them of the breach” <<

.
So much for “Lifelock.”

I thought they were supposed to be the one notifying you?

What a scam.

[masadaman]

This is not intended to top any other stories, but my Visa card was copied by a gang out of Chicago. They had the card address changed to a drop down the street from Obama's Chicago residence and then went on a $14,000 spree. (The card itself was sitting in a safe and hadn't been used but once in the preceding 6 months.)

I was notified by the Visa bank and had past due charges etc. all of which were waived. The most unusual charges were for tuition of $3500 at Southern Illinois University and a charge at the college bookstore for over $1100 in books and supplies. So apparently the 'student' could claim that I was his father or some other relative who loaned him the card.

What was the one time usage and likely point of access? Would you believe a purchase by phone with Nordstrom's? NSC?

[EternalVigilance]

It was probably an NSA employee.

/s (sorta)

[editor-surveyor]

>> “ I showed all the info to a policeman, that thanked me but said that they usually don’t have time to go after people committing CC theft.” <<

.
He’s right, they’re way too busy marching in the “Gay Pride” parade.
.

[Rusty0604]

esp. this was in SF bay area

[catfish1957]

Had fraud with my Discover Card earlier in the year, and the thieves went to town making electronic online purchases. This I thought was stupid since they had to give an address differntly than mine. In any case Discover took care of it with no problems.

One precaution I am taking though is I will not let go of my card. This keeps the potential thieves from getting your 3 digit security code on back. If I am at a restaurant that the waiter needs the card, I pay cash.

[Gay State Conservative]

$10,000 in two days? Yikes! You'd think that alarm bells would have gone off at Discover Card long before it hit $10K.A few years back,when trying to check into a hotel in Britain,the desk clerk said there was a problem with my card and handed me the phone that he had been on for a few minutes.It was an official of Visa's Security Department asking me all kinds of security questions...mother's maiden name,etc,etc.I answered them and the guy said all was OK and explained that they were very attuned to various kinds of fraud and that's why they "flagged" my account.

I think that you might have grounds to seriously question Discover Card regarding their fraud prevention policies.

[Hot Tabasco]

that $10 charge was a test

That's what I thought too but the statement arrived several weeks after that purchase so whoever was testing could have easily charged up a number of other costly items.

I don't know........

[Harmless Teddy Bear]

After reading through the thread the only thing I have to add is something that will not happen for years yet but you need to be on the lookout for.

When the company writes off the debt in about three years make sure they don't write it off to you.

Had a BoA card that was opened in our name but at an other address. Finally managed to prove we were not using it. It is very tough for them to argue when the card was being used half way around the world and your CO states that you were right there in Germany.

But when they wrote off the debt they sent to notice to the fake address. And of course they sent it to the IRS. Who insisted we pay taxes on it.

Much hilarity followed.

[Ax]

In 2007, the wife and I were at the very edge of civilization: Elk City, Idaho. I tried to buy a t-shirt with my VISA card. It was rejected, so I used my AMEX card. I went across the street to a gas station where my VISA was similarly rejected. We went back to our cabin and I called the 800 number provided. The lady at the other end asked if I was near Columbus Circle, NYC. Some weasel had scammed my number and used it to withdraw $802 from an ATM. The lady said not to worry as they would restore every cent wIthin 48 hours. They did, but I had to used the AMEX for the rest of the trek. If you’re ever in Elk City, stop in at the Wilderness VFW Post. It’s literally the only place in town. When I got back home, I went to the bank and spoke with the manager. He said that I was the sixth customer from that branch who’d been scammed that week. I asked him if they were going to chase the perp. He said, nope, it’d just cost too much.

[mware]

Believe me, my family did not want me to let her off that easy.

To make matters worse she is my cousin. My mother and her mother were sisters and after my mom died, I continued the tradition of going over in the morning and having a cup of coffee with her every day. She passed away several years ago, but for the memory of her and the fact that she would have lost her job, I couldn't find it in my heart to go any further that restitution and psychiatric care.

I had a coin jug that also always seemed to be losing money, and some Morgan Silver Dollars from the late 1800's and early 1900's that my mom saved while she was alive.

[JLLH]

Lifelock kicks in for those situations where you would have to hire an attorney to prove you didn’t do what it’s being said you did. Case in point: someone steals your i.d. and makes such a hot mess of things for you that the IRS comes down on you for fraud — but it was the person who stole your ID who ruined your credit and spent money in your name for which they never paid taxes. THAT is where LifeLock would kick in - but all Credit Card companies have a “no liability” policy which kicks in when your card is lost, stolen, or hacked. Hence, they do not need to get involved there.