Credit Card Frauds- How Can You Prevent It?

Credit Card Frauds- How Can You Prevent It?

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Ever since credit cards were introduced, credit card fraud has been elevating. One needs to stay a step ahead to avoid credit card fraud because the security mechanisms get tougher hackers to get smarter too. However, it is not always some clever or sophisticated hack that compromises your data – sometimes it’s you! Surprised? Well, don’t be. In an overwhelming number of credit card fraud cases, users themselves have been careless with their passwords and PINs, clicking on fraudulent links, sharing personal data, making them an easy target for such hackers.

Credit card fraud has many shapes and forms. The purpose of doing credit card fraud also varies. Some frauds are done in order to perform a huge transaction and some are done to purchase expensive goods for free. Any financial institution is exposed to a large number of attacks that are performed through credit cards. 30% of credit card fraud are recorded in businesses and financial sectors. Many e-commerce companies face great losses due to credit card fraud.

Types of Credit Card Frauds:

There are different techniques of credit card fraud that are adopted by fraudsters to perform malicious activities.  Following are the most common types of credit card fraud:

Stolen and lost credit card fraud

In this fraud, the card is either stolen or lost. The thief then uses that card for his good. Although stolen and lost cards cannot be used in the machine but it can be used in order to make online purchases. The way to avoid such transactions is to report the bank as soon as possible to reject the request asked from that credit card.

Application credit card fraud

This fraud happens when someone has requested the bank for new credit card issuance. The identity is first stolen by the thief and then use that identity to write an application. Thieves take help from the supporting documents which make it possible for them to write an application through which they substantiate the application. In such cases, banks often call the applicant to identify the identity, which can also be forged by the thief. 

There are many ways to investigate the true owner, although these ways are time to time forged by the fraudsters and vice versa.

Card Not Present (CNP) fraud

If someone has stolen or knows the expiry date and account number of your card, they can perform CNP fraud against you. This can be done through mail, phone or the internet. Some merchants need verification code which is of form xxx. A fraudster can apply all possible combinations while performing small transactions and can get the number.

Fake credit card fraud

Although creating fake credit cards is much hard. There is a magnetic stripe, a chip or in some cases hologram associated with each credit card and to forge it a difficult task. A fraudster having all that information can do this.

Fake Identity

A fraudster uses a temporary address and false name to obtain a credit card. In many cases, banks keep a checklist in which they acquire a passport or driving license for verification purposes. This fraud is hard to do, but a determined criminal can do this.

Stolen ID fraud

This fraud is done by the person who knows your card number and password. He can perform a huge transaction from it or issue a new card from this. This is the hardest fraud when it comes to recovering it. Many times, this fraud is revealed when the transaction is already done.

Counterfeit fraud

An accurate copy of the card is created by fraudsters by having all the required information. He swipes it on the machine to perform a transaction.

 Tips To Prevent Credit Card Frauds:

 Here are some tips to avoid falling yourself prey of credit card frauds:

Card lost or stolen? Report on it ASAP!

When you realize your card is lost or stolen, call your bank and report it right away so they can block it, preventing credit card scam. Banks limit your liability for transactions made on the card, depending on which card you have, from the time of loss to the time of reporting.

Opt for Email Statements:

People usually crumple up and throw away old credit card statements. Shredding your invoice before throwing it away is a good practice. So Always shred your statements as they contain information that can be useful for a fraudster. Do not throw away expired cards as is – always cut them into pieces, especially remove the credit card number. 

Credit card frauds are on the rise. Credit card scammers are getting smarter they use all sorts of tricks from phone calls to Email, credit card skimmer and even Wifi hotspots to steal your personal information. You could be a victim of credit card fraud or falling for it soon and not even know it. All that is required is you to be more vigilant and monitor your transactions. If you find any fraudulent charge on your credit card, contact your card provider without wasting a minute.

Beware of phishing scams:

Phishing is one of the most common methods that fraudsters employ to trick you. Phishing is sending an apparently genuine email with a malicious link that prompts you to enter your card number, code, PIN etc on a fraud site set up just for credit card scams.

According to Mark Hmarick, senior economic analyst at Bankrate, there is a constant stream of phishing attacks where someone is constantly trying to lure as into providing the passwords so they can steal funds or commit identity theft.

Always carefully check the source of the call and sender of such emails. If unsure, call the authorized number of the bank and re-confirm to halt yourself from falling victim to credit card fraud or identity theft.

Paying online? Check if the site is genuine and secure

Just as people discover the ease and convenience of shopping and paying online, fraudsters are coming up with innovative ways to online scam people. Statistics from the Australian Payments Network has revealed “card not present” fraud has surged from 1.02 million transactions in the 2016/17 financial year to 1.8 million transactions in the 2017/18 financial year. This represents an increase of a staggering 76 percent year on year.

Thankfully there are some steps you can take to limit the chances of becoming a victim of online fraud. Always ensure the website you’re shopping on is genuine and is secure. In the site address bar, the company name and security certificate details are visible and which you can click on. There is also an image of a lock and the URL begins with https.

ID verification prevents 8 Security Issues of businesses

ID verification prevents 8 Security Issues of businesses

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The biggest concern for businesses, in terms of safety, nowadays is online or cybersecurity. As data breaches across different companies become increasingly common, online security becomes a major concern for enterprises storing large amounts of user data. The estimated cost of a single data breach will reach $150 million by 2020, costing $2.1 trillion annually. In January 2019 alone, a total of 1.76 billion identity records have been compromised due to such data breaches. In the light of such gaping security concerns, companies must ensure the safety of their user data. Robust security measures including data encryption, two-factor authentication and identity theft protection need to be practised by businesses.

As the internet proliferates the fabric of the world, consumers and businesses become more and more dependent upon it. Securing data online is becoming increasingly tricky, particularly for companies that engage customers online. Progression in technology is giving way to advanced systems. Cybercriminals are also becoming more sophisticated in their methods to compromise customer data. In order to keep up with such threats businesses must also embrace modern technology tools to keep out fraudsters. Some of the daunting security concerns faced by businesses today include;

1. Increased Data Breaches

The year 2019 has experienced a significant number of data breaches across major companies including Toyota, Facebook and Equifax. Even government agencies are victims of data breaches. The U.S. Federal Emergency Management Agency data for 2.5 million disaster survivors were compromised earlier this year.

There are a number of reasons for the increasing number of data breaches including:

  • Lack of online security.
  • Increasing use of cloud storage in businesses. While cloud computing may seem a much secure method for securing one’s data, cloud providers must be chosen with care.
  • Backup of essential data is not encrypted and stored on hard to breach servers.

It so happens that while backing up your data offline, other virtual devices are able to gain access to your system and thereby your information. For additional security, companies must encrypt their data to make it harder for hackers to access it.

2. Unsecured APIs

As the trend of Software as a Service (SaaS) is growing, many businesses are relying on third-party solutions for different purposes including customer services, project management and e-mail and chat support. Although such systems have increased the effectiveness of businesses significantly, not all of them have secure user interfaces. Identity Theft Protection Vulnerable APIs can lead to security breaches in online systems. It, therefore, comes down to the providers that a business chooses to improve their processes and systems. Reputable SaaS providers, however, have better security systems and secure APIs.

3. Inside Sources

Companies are most vulnerable in terms of the threat they face from their own employees. Disgruntled or terminated employees can end up leaking valuable user data from their companies. However, inside breaches may not be intentional at all. Employees in training may not be aware of the vulnerabilities in security. Therefore, it extremely important to educate your staff from day one about cybersecurity and measures to observe to ensure the prevention of data breaches and malware attacks.

4. The Rise of the Internet of Things (IoT)

Another rising trend in businesses is that of IoT or the Internet of Things. It relates to any and all electronic systems connected through the internet. Although IoT makes business systems more efficient and productive, it also leaves them more vulnerable to security breaches. With multiple endpoints in IoT systems, consumer data becomes more exposed. To address this issue, organisations must protect their software and customer information. It is imperative for businesses using IoT to use DDoS protection software to safeguard each point in their IoT systems.

5. Implementing Identity Theft Protection for Customer Information

A number of businesses dealing in vast amounts of customer data do not have proper security measures in place to make sure that information is accessible to only authorised personnel. Hospitals are a prime example of this. Any member of the staff, including doctors, nurses, technical and support staff, that has access to the hospital’s system can gain access to patient records. Customer data is one thing that needs to be guarded effectively. Using identity theft protection is an excellent way for businesses to keep user information secured.

6. Unencrypted Data

As the trend for BYODs and mobile devices, the protection of sensitive data is becoming ever challenging. Businesses are dealing with hordes of consumer data exposing it to data breaches. Moreover, with the rise of Big Data, companies are fast realising the value of it to analyse it to detect patterns in customer behaviour. However, dealing with vast amounts of data has its own risks as it exposes the data to breach attacks.

One way to prevent this is to encrypt and authenticate all user data. Data encryption puts a roadblock in front of cybercriminals. Meanwhile, the company can take measures to prevent any significant damage to their system and data.

7. Unauthenticated Users

One of the biggest security issues faced by businesses is identity theft and credit card fraud. Online businesses, in particular, are adversely affected by chargebacks and fines due to payment card and CNP frauds. Online verifications services, however, provide the best identity theft protection for businesses. Authenticating customers before allowing them to purchase goods can prevent fraudsters from using fake or stolen identities or credit cards.

Leveraging AI for Identity Theft Protection

Companies can verify customers by employing digital document verification and facial recognition scans. They allow businesses to authenticate the IDs and credentials provided by a user. It provides the ultimate fraud detection solution for companies looking to secure their user information and a solution for detecting and preventing credit card fraud. Shufti Pro is an identity theft protection service that uses an AI-enabled software to provide verification services for businesses.

8. Unpatched Devices

Hardware including printers, routers, servers etc. also make for easy points of entry for malware attacks. All such devices can be an entryway for cyber attacks if not properly secured. Hence, each of these devices must be secured before using them for the company’s purposes.

7 Identity theft protection practices for Business and Recuriters

7 Identity theft protection practices for Business and Recuriters

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Identity theft is now no more a cause of concern for the individual users only as corporations and businesses around the globe have also started feeling the heat from frequent data breaches and employee frauds because of lax identity theft prevention measures. In 2017, there were 1,579 data breaches that exposed 179 million records held by businesses. According to the same study, account takeover was the most frequent method of identity theft used by online identity thieves and it took at least a few months before a user got to know that their identity was even stolen by someone else.

A smart question to ask here is that what does a business has to do with the stolen identity of a user? Well! It is important to understand that current employees hold several assets – financial or administrative – that can be exploited by identity thieves for personal benefit that will eventually lead to losses for businesses. Moreover, a stolen identity can be used to land a job at a prestigious job opening as well. According to The Federal Trade Commission, most common types of identity theft are:

                                                                                                   Source: Federal Trade Commission

Now, it does not take a degree in cyber crimes or special expertise in identity theft protection to understand the dangers attached to identity theft for businesses. Most companies use credit cards for business expenses and the 2nd most frequent type of identity theft is employment fraud which means in the absence of a reliable KYC verification, job candidates can use a stolen identity to land a job that they are not fit to perform and who can guess about the true intentions of a candidate that uses fake personal information to get a job.

How Identity Verification is relevant to you?

We understand that there is still a lot of confusion in the business community, especially in Small and Medium-sized Businesses (SMB) that should they be using OCR based ID verification and KYC solutions to implement fraud prevention and identity theft protection. Most of them are stuck to cost spendings that have to be allocated for KYC verification, but they need to appreciate the value of financial risk that is thwarted by every KYC check. It is better to spend a moderate amount on a KYC software rather than losing a significant chunk of revenue through identity theft or online frauds.

Based on studies done regarding online identity thefts, businesses require identity theft prevention to fight off:

  • Job candidates with fake credentials
  • Online scammers from adopting the identity of one of their employees
  • Data breaches that can potentially leak customers personal information
  • Unauthorized Access to centralized company resources

There are many other scenarios that can be quoted here to explain the significance of Identity verification services, but today we want to discuss the need for Digital KYC in the recruitment process and internal operations of a company. We will be addressing online fraud prevention practices that can not only protect individual identities of your employees but can also help secure the business interests of your companies.

Identity theft protection

Companies and businesses operating all over the world collect personal information from their workforce. Starting from interview phases to eventual hiring and going till payment disbursements, there are various points in a company’s life cycle in which personal information is collected and in case of any changes (e.g. address, phone number, emergency contact number etc.), the employer wants their employees to get their personal file updated accordingly with required departments (accounts, HR, Admin etc.)

Having the best identity theft protection available for internal operations becomes trickier for businesses that have remote working jobs to fill or have a centralized governance model for branches and offices located in different cities. For multi-national companies, having operations spread out to several continents, things become even more complicated with the threat of identity verification becoming more real than ever in the modern age of data breaches and dark net-based data black markets. All such companies need ID Verification and KYC verification not only to hire employees with genuine credentials but also to adopt identity theft protection measures to secure the corporate and personal information of their employees.

  • Adopt Best Practices for Identity theft Protection

All over the world, companies and businesses are adopting strict measures to ensure that all the personal information of their employees is secured. Identity theft prevention requires that only a select number of employees have access to such information. Financial Information of the company employees is also kept safeguarded both in hard copy as well as the soft copy to ensure that record is kept safe in case, any of the two set of records is damaged during a natural or digital disaster.

Most companies not only take measures to apply all necessary checks to thwart any attempt of identity theft but also involve their workforce into their identity theft protection practices. In order to achieve this, regular training sessions are conducted to make sure that the workforce is well versed with the idea of identity theft, how online identity theft prevention works and what they can do to ensure that their personal or professional information does not land into wrong hands.

One of the most common methods to ensure that personal information of employees is not compromised is by ensuring that the Social Security Numbers (SSNs) or other important Identity Document numbers are never published on employee ID cards, pay stubs or on their insurance cards. Any identity thief will have its work cut down in case they ever get hold of such a trivial yet informative document.

When it comes to identity verification and fraud prevention tactics, the entire system is more of a “House of Cards”. One wrong move and the entire system of online fraud prevention can come down like a sand castle.



  • Use Biometric Verification

Biometric Verification is a preferred mode of verification for most companies performing functions such as Check Out attendances to providing secure access to centralized resources. Now, it is perfectly fine identity theft protection solution for on-site verification but in case of remote workers, trying to access centralized resources, biometric verification requires higher budget if you utilize only conventional mediums of biometric verification i.e fingerprint scan or iris scans. It will either require special smartphones with the ability to verify fingerprints or special hardware for performing iris scans.

Facial verification is a much more reliable source of biometric verification, requiring no special hardware equipment. Either a phone camera or a webcam can be used to recognize unique facial features of a verifying member of the workforce. Shufti Pro is a perfect KYC verification and online identity verification solution offering facial verification using Artificial Intelligence. You can use it with document verification to perform full fledge identity verification not only for an existing employee but for a newly hired employee as well, both for onsite or remote duties. Remote hiring process becomes fully automated and secure for companies with the help of identity verification services from Sufti Pro.

  • Secured Centralized Assets

Businesses having a centralized database or knowledge base that has to be accessed by only select few, can surely take help from ID verification. To make the process entirely hassle free and easier. Already, businesses are asking for integration of OCR technology into KYC software, something that has been achieved successfully by Shufti Pro. With Broad language support and Artificial Intelligence working acting as the backbone of Shufti Pro, secure access to centralized assets becomes a piece of cake, without having to worry about identity theft. Only a person with genuine credentials can access personal records of employees of a company, making the entire procedure air-tight as far as fraud prevention and identity theft protection is concerned.

  • Financial Vigilance & Auditing

Business and corporations usually use credit cards for financial transactions and in order to pay for various office-based expenses. In order to make sure that your business has not become a victim of a credit card fraud, you need to check vigilantly for all the credit card statements and cross-check them with accounting departments in order to make sure that all the purchases performed via company credit cards are accounted for and in line with business side needs of the company. You find a single red flag, even a purchase of a few dollars that looks dubious or suspicious, don’t take it lightly.

  • Set Usage Ethics for Work Resources

Companies allow their employees to use company resources (laptops, Wi-Fi devices, and smartphones) even from their home in order to allow for flexible work environment. All employees availing flexible working hours must be fully told about their responsibilities regarding identity theft protection. They must know that they cannot save confidential information on these digital resources and neither can lose them, otherwise all of your company’s resources will become vulnerable to an identity theft attack.

  • Collect Consent for Verification

If you intend to verify the personal information of a would-be-employee through a KYC software to ensure identity theft protection, make sure that you collect proper consent from that candidate. Governments requires companies and businesses to receive the consent of a user before any KYC check is performed against their provided information. Apart from a compliance requirement, it is courteous to give a potential candidate a necessary heads up for a KYC verification.

  • KYC verification with real-time results

There is no better way to use the best identity theft protection except for using KYC verification from Shufti Pro that is available in 225+ countries and supports over 150 official languages. Several verification services are offered by Shufti Pro and even more KYC verification solutions using a mix of various technologies and verification services. The 4 verification solutions from Shufti Pro includes:

Identity VerificationShufti Pro can verify the identity of an end-user using a mix of facial verification, document verification, address verification, and 2-factor authentication. All the personal information can be collected in less than 1 minutes and verification results are presented in real-time.

InstantCapture –  This identity theft prevention solution is developed by Shufti Pro to make the entire identity verification process easier to perform for end-users. Using OCR technology, Shufti Pro can extract personal information from an identity document including ID cards, driving licenses and passports.

AML ComplianceMost companies require to check for financial risk attached with a person before they hire him, even for a remote working position or for the post of a consultant. Shufti Pro has a large databank containing financial risk information from 3000 databases and profiles from 1000+ sanction lists and watchlists.

Biometric Consent VerificationReleased just recently, Biometric Consent Verification is the most secure format of identity verification that makes identity theft virtually impossible. Of all the KYC solutions from Shufti Pro, Biometric Consent Verification is the only solution that offers support for both customized identity documents (employee cards, special access cards etc.) and handwritten note verification.

In case any business doesn’t want to avail a full KYC verification solution from Shufti Pro and wants to use any individual verification service from Shufti Pro, they can do just that as Shufti Pro has designed its entire SaaS product with flexibility being the core feature for its customers. Shufti Pro offers following verification services to its global clientele:

All these identity verification services and identity theft protection solutions are perfect for authenticating the true identity of a job candidate or in case you ever find that a person claiming to be one of your employees is actually your employee and not someone who just got hold of personal or professional information of the employee that he/she claims to be.

Shufti Pro is offering a free trial to all the businesses who want to check the prowess of our verification services. Contact us now, if you also want to adopt a hard-to-breach identity theft protection for your remote recruitment and internal operations.

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How Identity Theft Protection Can Increase Your Profit!

How Identity Theft Protection Can Increase Your Profit!

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Identity theft protection is something that is not only a concern for ordinary users anymore. Businesses around the globe are also suffering from this cyberspace menace that functions in more than one way. The biggest reason why Identity theft protection has become such a headache for modern day businesses are the complex mechanism being used by cybercriminals. But before we go in detail that how an online business is at risk of losing revenue because online identity theft, it is important that a background is provided regarding this phenomenon

Why does identity theft happen

Well! The answer to this question is very simple. It is for the same reason that a crook commits a robbery or a criminal performs a carjacking. There can be different methods to hijack someone’s identity but the reason is the same for all such instances: use someone else’s credentials to utilize services or buy items that an identity thief doesn’t want to pay for. Millions of individuals suffer because of identity theft every year and online identity thefts have created a digital medium to exploit ordinary people.

How does identity theft happen online

Like in the real world, there are many ways to steal the identity of a person online. Naive users can be tricked into providing their personal information by posing to be a representative of an established company that wants to provide “extra incentive” to bring you onboard. Smarter criminals are using even more sinister tricks like hacking of large databases maintained by online stores and websites. Financial information stored by banks and financial institutions is routinely raided by cybercriminals that sell such information for a high price in digital black markets.

What to do when identity theft occurs

Well, it is hard to know that whether your identity has been stolen or not until you receive reports of some suspicious behavior or unsolicited purchases that you never made. Sometimes, users come to know about their stolen identity or credentials pertaining to their identity by press releases issued by companies that hold their personal information e.g. a social media website that you had an account on or the bank that provided the mortgage for your home etc.

How to prevent identity theft

There are several identity theft protection tips that can assist you in safeguarding your potential identity from falling into the hands of financial criminals.

  1. First and foremost is to use services of only the top of the line service providers. Such companies have the resources to spend an appropriate amount of money on the digital security of data that they have collected from their customers.
  2. Secondly, while surfing the internet, never provide your vital information to any service that seems shady or less than legitimate. It can be a trap to collect your identity information and use it to rob you of your hard earned money.
  3. Thirdly, never click on links that look suspicious. Web browsers have added features to alert the users whenever they try to enter a website that seems insecure or doesn’t match the necessary definition of a legitimate site.

Business identity theft protection

Although, much of the talk about online identity theft surrounds how a common user should behave online and what kind of information should never be divulged on the internet and the need to spend a serious amount of money on digital security. But more often then not, the debate over online identity protection forgets businesses that are also affected by online identity thefts. Frequent cash back requests received by online merchants because of identity theft cut down a big chunk of projected profits for an online venture.

How can businesses protect themselves from identity theft

Performing proper identity verification for new customers and even for the existing customers can do wonders for an online business. KYC verification software plays a vital role in ensuring that the customers actually own the identity that they claim. Identity verification services such as Facial verification, document verification, and address verification can formally secure businesses from encountering cybercriminals using fake or stolen identities for buying products or availing services.

Increase Your Profit

Once businesses start utilizing a reliable KYC verification service such as Shufti Pro, they are guaranteed to increase their profits by cutting down on frequent cash back requests. It will allow online merchants to properly check their customers before bringing them onboard. Profits will also soar because of higher engagement ratio that can be achieved by analyzing customer demographics and sales pattern based on user activity.

KYC verification from AI backed Shufti Pro will help you establish a relationship of trust with your customers. The legitimacy of your company’s services will be established in the mind of your clientele. Real-time verification results from Shufti Pro will also secure you from bottlenecks that are considered customary with ordinary KYC verification system.


So, if you are looking for ways to earn the trust of your customers, build a loyal customer base and, most importantly, need to boost your profits, then there is no better way than integrating Shufti Pro with your sales platform. We offer bespoke identity theft protection that will bring the number of users with fake identities to ZERO on your website. With features like Universal Language Support and OCR based data extraction methods, Shufti Pro emerges miles ahead of its competition in the KYC industry.

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