How to Detect & Prevent Credit Card Fraud
22 May, 2025
Synopsis
Understanding the different types of Credit Card fraud and recognising early signs is important for protecting your finances.
If you suspect fraud, block your card immediately and report unauthorised transactions.
Regular account monitoring, secure online practices and safeguarding your card information are key steps to preventing Credit Card fraud and maintaining financial security.
With the increasing popularity of Credit Cards, Credit Card fraud has become a significant concern for many. The Reserve Bank of India (RBI) has reported that the total number of Credit Cards issued by banks in India crossed the 100 million milestone in February 2024, highlighting the growing need for robust Credit Card fraud detection and prevention measures. This article will guide you through recognising and reporting fraudulent transactions.
What is Credit Card Fraud?
Credit Card fraud involves the unauthorised use of a Credit Card to make purchases or withdraw funds. This type of fraud can occur in various ways, such as through lost or stolen cards, data breaches or card skimming. Recognising the signs of Credit Card fraud and understanding how to avoid Credit Card fraud is crucial in protecting your finances.
Common Types of Credit Card Fraud
The following are commonly occurring Credit Card frauds:
Card-Not-Present Fraud: This type of fraud occurs when your card details are stolen and used to make purchases online or over the phone. Since the physical card isn’t needed, it’s easier for fraudsters to exploit.
Card Skimming: Skimming devices are often placed on ATMs or point-of-sale terminals. These devices capture your card’s magnetic strip data, which is then used to clone your card.
Phishing: Fraudsters send fake emails or texts posing as legitimate companies to trick you into revealing your card information. These messages often contain links to fake websites that look like real ones.
Lost or Stolen Cards: If your card is lost or stolen, it can be used by anyone who finds it, especially if they also gain access to your PIN.
Signs of Credit Card Fraud
These signs may indicate a Credit Card fraud:
Unrecognised Transactions: Regularly check your account statements for any transactions you do not recognise.
Unexpected OTPs: Receiving one-time passwords (OTPs) for transactions you did not initiate may indicate that someone is trying to use your card details without authorisation.
Unauthorised Account Changes: If you suddenly stop receiving statements or notice changes to your account that you didn’t make, there could be a possibility of fraud.
Immediate Steps to Take When You Notice Fraudulent Activity
A. Block Your Card
The first step in Credit Card fraud prevention is to block your card immediately. For HDFC Bank cardholders, this can be done via NetBanking, Mobile Banking or by contacting customer service.
Blocking your HDFC Bank Credit Card via NetBanking:
Log in to the HDFC net banking portal.
Click on the 'Card' tab.
Select 'Request' under the Credit Cards section.
Choose 'Credit Card Hotlisting' to block the card.
Blocking your HDFC Bank Credit Card via Phone Banking: Call HDFC Bank Credit Card customer care at 1800 1600 to report fraudulent activity and block your card.
B. Report the Fraud
After blocking your card, it is essential to report the unauthorised transactions. This helps in initiating an investigation and potentially recovering the lost funds.
Documentation Required for Reporting Fraudulent Transactions
Depending on the nature of the fraudulent transaction, you might need to submit various documents to your bank. For HDFC Bank customers, these could include:
Cardholder Dispute Form (CDF): This form details the disputed transactions.
Written Complaint Letter: A letter addressing the unauthorised activity, the date of the incident, and other pertinent information.
How to Prevent Credit Card Fraud
Preventing Credit Card fraud requires vigilance and proactive measures. Here are some tips on how to prevent Credit Card fraud:
Regular Monitoring: Regularly check your Credit Card statements and online account for any suspicious activities.
Secure Online Transactions: Use secure websites and avoid entering your Credit Card information on public computers or over unsecured Wi-Fi networks.
Keep Your Card Safe: Ensure your Credit Card is always in a safe place and avoid sharing your card details with others.
Enable Alerts: Set up transaction alerts to receive notifications for every transaction made using your card.
Final Note
Credit Card fraud is a serious issue that can have significant financial implications. By understanding the signs of Credit Card fraud, knowing how to report it, and implementing preventive measures, you can protect yourself from potential losses. HDFC Bank provides multiple channels to report and block your card, ensuring you can act swiftly in case of any suspicious activity. Stay vigilant and proactive to safeguard your finances.
Explore the range of HDFC Bank Credit Card and apply here.
*Disclaimer: Terms and conditions apply. The information provided in this article is generic in nature and for informational purposes only. It is not a substitute for specific advice in your own circumstances. Credit Card approvals at the sole discretion of HDFC Bank Limited. Credit Card approvals is subject to documentation and verification as per Bank's requirement. Interest rates are subject to change. Please check with your RM or closest bank branch for current interest rates.
