We discuss the research surrounding credit card and debit card PINs and how to prevent card fraud.
JOHANNESBURG: 27 August 2014 – Research done by FNB and VISA reveals that while the overall awareness of card fraud is very high, 42% of customers are still sharing their bank and credit card PINs.
The protection of customer’s funds is a top priority for FNB and, although we are always looking at ways to improve security, certain key links in fraud prevention remain a shared responsibility between us and our customers.
“We cannot stress the importance of keeping personal banking information secret enough,” says Athaly Khan, Head of Fraud at the FNB Credit Card division. “The risk of sharing PINs or writing them down is two-fold - there is an increased chance of being defrauded and you may see activity that you did not authorise on your account.”
Each fraud case is investigated on an individual basis, and if it is found that the original PIN and card were used for the transaction, the event of a refund becomes more unlikely. “In cases where the original card and its PIN have been used, we often find that the card owner shared their details. This is seen as customer authorisation for the transaction and will decrease the likelihood of a refund,” notes Khan.
Counterfeit card fraud, on the other hand, is as a result of a series of compromises whereby the fraudsters skim and clone a card and then use the PIN, obtained through shoulder surfing or installed cameras, to access the customers’ funds. In order to avoid shoulder surfing, it is critical that customers remain vigilant when entering their PINs at ATMs and point of sale (POS) devices.
Although there is a risk of card fraud, these risks should not deter customers from card usage. In fact, due to the high levels of convenience and security, card usage continues to grow in popularity as the preferred and safest method of transacting, even online.
Protect your credit card as you would your cash and never write down your PIN or share it with anyone. When keying in your PIN at a POS device, make sure that you:
- Never let your card out of your sight
- Receive your card back after paying
- Always cover your hand when entering your PIN
- Keep the slip as proof of transaction in the event that the cashier informs you that your transaction was declined. Keeping the slip with your transaction details also protects you in the event that you are overcharged or your card is used for another purchase at the same store
When making a transaction at an ATM, ensure that you:
- Never give your PIN to anyone and that you don’t write it down
- Never accept assistance from anyone at an ATM Do not draw money if you feel unsafe
- Do not draw money at an isolated ATM
- Always place your hand over the keypad when keying in your PIN
- Cancel your card immediately if your card is swallowed or if you think you have been a victim of fraud
- Don’t try to draw money at an ATM with a blank screen
- Never force your card into an ATM slot
“FNB is promoting greater credit card usage and cashless banking with its no-charge per transaction pricing as cards are a safe and convenient alternative to cash. At the same time, we will continue to actively take steps to inform our customers about simple security precautions to prevent card fraud,” concludes Khan.
Notes to editors: FNB has a dedicated fraud department. The FNB Fraud Prevention Hotline is contactable on 0800 110 132. In addition, Visa customers can obtain 24-hour assistance at its Global Customer Care Assistance line at 0800 990 475.
First National Bank Contact:
087 736 2323