How Can You Protect Yourself Against Credit Fraud and Scams - Financial Literacy - أول ثانوي

Link to digital lesson 5.3 How Can You Protect Yourself Against Credit Fraud and Scams? www.iem.edu.sa Learning Objective Once you have completed this lesson, you should be able to: ⚫ identify the Dos and Don'ts involved in preventing credit card fraud ⚫ explain the steps someone should take if they find they are a victim of identity theft or credit card fraud. Key Terms Scam Credit card fraud Skimming Spam Every year, millions of credit card customers lose money to credit fraud and scams. They can drain your finances and hurt your credit. There are warning signs to look for and actions you can take to avoid becoming a victim. scam a deceptive scheme or trick used to cheal someone out of something وزارة التعليم 1077-1445 Have you ever been wicked? Why did you not realize it was a lock? CHAPTER 5 Managing Credit 161

Dalit and tred intentionally using someone's credit account to steal money or goods Shumming stealing someone's credit card details using electronic equipment Spam inelevant an unsulluted messages sent to a large number of Internet users Credit Card Fraud A person may have improper charges made to their credit accounts When someone intentionally uses another person's credit account information to steal money or goods this is a crime called credil Yard frand. Thieves steal credit card information in numerous ways: Using a lost or stolen credit card is the most common way. Skimming devices can be used to steal credit card information. When the credit card is run through a skimmer. the device stores the credit card Information Skimming often occurs al places such as stores, hotels, restaurants, and gas stations where cardholders let their cards out of their sight. ⚫ Finding credit card information from your mail or discarded trash, thieves sort through it to get copies of credit card statements. Using the Internet to steal credit card information. Hacking unsecure websites and stealing the financial data stored an those sites is the most common method Using phishing scams as explained in Chapter 4 and (junk emaili, to trick consumers into supplying then credit card Information. How many spam emails do you receive a day? Have you ever answered any? 162 ☑ 522 G

Victims of credit card fraud should notify the lender as soon as possible. Some steps that could be taken to help prevent credit card fraud are listed in Figure 5.4.1. Dos Carry only the cards needed. Keep a list of credit card numbers, their expiration dates, and the phone number and address of each card issuer in a safe place. Notify lenders immediately if a card is lost or stolen. Learn the features of credit card apps. Some allow you to temporarily block credit cards. Verify purchases and account balances when a statement is received. Tear up old receipts and statements containing account numbers when no longer needed. Destroy expired cards by cutting them up. When shopping online, verify website security by checking the follow- ing points: A secure website's URL starts with https://rather than http://. ⚫ Secure websites also have a small lock icon in the address bar or somewhere in the window of the browser. Monitor credit activity. It is possible to monitor credit activity yourself online. Sign up to credit monitoring agencies that provide credit monitoring facilities; these: notify the account holder of any changes to a credit file ⚫ send an alert if any change or suspicious activity occurs. Check your credit report regularly; consumers have the right to one free copy of their credit report annually FIGURE 3.4.1 Preventing Credit Card Froud Do's and Don'ts Don'ts Do not lend credit cards to others. Do not give out any credit card information over the phone or online to unknown people or businesses, be sure businesses are reputable. Don't store credit card information on the merchant's website; although this makes shopping faster and easier, credit card information could be at risk if the website experiences a data breach. وزارة التعليم 1071-1445 CHAPTERS Managing Credit 163

How often do your check your bank accounts ur financial situation each muniti وزارة التعليم 164 Financial Literacy Identity Theft Identity theft is a serious crime. A thief may use your: • National Identification Number to: • bank account number • credit card number ' • make purchases take out loans ⚫ apply for new credit accounts. Only certain businesses have the right to your National Identification Number, including: ⚫ motor vehicle departments ⚫ banks and employers. If you are asked for your National Identification Number by any other person or business, ask why it is needed and what law requires you to give your number. Do not feel any obligation to share this data with

unknown people you do not trust. If you find you are a victim of identity theft or credit card fraud, take the following steps quickly: 1. Close or freeze your credit account(s) Call the relevant department of your credit issuer and explain that someone has stolen your identity. Ask to have your account closed or frozen. ⚫ Change your log-in, password, and PIN (personal identification number). 2. Have a fraud alert placed on your credit reports ■ Contact the credit bureaus about a fraud alert. ⚫ This can help stop someone from opening a credit account in your name. 3. Report the crime to the nearest Public Security Department through the Absher system ⚫ Select the cybercrime report in the Public Security Services web page. ■Fill in the required columns. ▸ A reference number will be assigned to the report. Make sure you keep this number as you may need it in future. 4. File a report with your local police The police station will forward the crime report to the Saudi Bureau of Investigation and Public Prosecution (BIPP) to investi- gate the crime. The BIPP will investigate the identity of the suspect in cooperation with other authorities. 5. Contact other government agencies . The agencies that issued your identification documents, such as a driver's license, need to be informed so you can get a replacement document. ⚫ Ask the agency to place an alert in your file so that another person cannot get an identification document in your name. In addition to the other risks of identity theft and credit card fraud, it is important to be aware of a practice known as "fake Saudization". This involves dishonest individuals using your personal data to inflate the number of Saudi citizens that a company employs. Involvement in this وزارة التعليم 20123-1445 CHAPTER Managing Credit 165

What agencies can help you tu manage debt and debt problemis? 1665 A

practice can damage your reputation and affect the resources available to you as a Saudi citizen. Fake Saudization also undermines the King- dom's efforts to provide employment to Saudi citizens. LOOKING AHEAD How can you protect yourself against future identity theft and data scams? To help you structure your thoughts, consider: ⚫ Where are you most likely to share information? - How much information do you already share on social media? ▸ How can this information be used to harm you? Review Questions Choose the correct answer. 1. Credit card fraud can only happen if you let somebody use your card. a. true b. false 2. Which of the following options is NOT recommended when you have found you are a victim of fraud? a. report to the police b. carry on as normal c. close or freeze your account d. contact other government agencies. 3. Thieves may use your bank account number to a. make purchases b. take out loans c. apply for new credit accounts d. all of the above 4. Credit card information can be stolen by: a. skimming b. finding discarded credit card statements baki unsecure websites d. all of the above مرارة الصليم 2027-1445 CHAPTERS Managing Credit 167