How Dangerous Is It To Give Details On Smartphone? , Paying digitally for purchases is so common that most of us don’t think anything about swiping or tapping a card or making a mobile payment. However, we may be more reluctant to provide card details over the phone. Sellers are allowed to ask for credit card details over the phone – this is completely legal. But minimum standards and security measures have to be followed to protect consumer data. So is giving your card details over the phone more risky than other transactions and how can you reduce the risk? How is my card data protected?
Only authorized individuals have access to cardholder data.
In order for a merchant to process card transactions, they are expected to comply with the Payment Card Industry Data Security Standard. It is a set of security requirements designed to protect cardholder data and the trillions of dollars worth of transactions each year. Compliance includes strong governance and regular security assessments as well as various security measures (such as encryption and access controls). If the information stored by the seller is accessed by an unauthorized party, encryption ensures that it is not readable. This means that criminals will not be able to use card details to steal data. Meanwhile, access control ensures that only authorized individuals have access to cardholder data.
Risk in case the person present is not correct
Although all card processing companies are expected to meet compliance standards, only companies processing large volumes are subject to mandatory regular audits. If there is a subsequent data leak or misuse that can be attributed to a compliance failure, the company could be penalized at a level that could run up to millions of dollars. These requirements apply to all card transactions, whether in person, online or over the phone. Phone transactions involve someone collecting card details and entering them into a computer system, or processing payments via paper forms. The Payment Card Security Standards Council has detailed guides as to best practices: There should be a policy to ensure that payment card data is protected from unauthorized viewing, copying or scanning, particularly at the desk. Although these measures can help keep your card data safe, there are still risks if the details are incorrect or the person on the phone is not genuine.
Basic Tips for Safely Using Credit Cards on the Phone
If you provide card details over the phone, there are some steps you can take to reduce the chance of becoming a victim of fraud or having your details leaked.
verify caller
If you haven’t called, hang up and call the company directly to verify the details. Scammers often speak as a representative of a well-known company (for example, an online retailer or courier) and convince you that the payment has failed or that payment is required to release the delivery. Before providing any information, confirm that the caller is legitimate and the purpose of the call is genuine.
doubt
If you are being offered a deal that you doubt is fair, you are concerned about the genuineness of the person you are talking to, or simply feel that something is not going right, So switch off the phone. If the caller turns out to be legitimate, you can call them back anytime.
Use secure payment methods
If you have previously paid the company through other (more secure) methods, ask to use the same method.
keep records
Make sure you enter the details of the company, the representative you are speaking to and the amount to be charged. You should also ask for order or transaction references. Don’t forget to ask him to send the receipt. Check that your card transactions match the receipt – use your banking app, don’t wait for the statement to arrive.
virtual credit card
In addition to the security measures mentioned above, a virtual credit card can help reduce the risk of this type of card fraud. If you’ve added a credit card to your phone for mobile payments you probably already have some form of a virtual card. Depending on the financial institution, you may create a new credit card number linked to your physical card. Some banks extend this functionality to allow you to generate a unique card number and/or CVV number (the three digits on the back of your card). With this approach you can easily isolate the transaction and cancel the virtual card/number if you have any concerns.
What to do if you think your card details have been compromised or stolen?
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It is important not to panic, but quick action is necessary:
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Call your bank and have the card blocked so you don’t lose any more money. Depending on your situation, you can also block/cancel the card through your banking app or website
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Report the problem to the police or other relevant body
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Monitor your account for any unusual transactions
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Find card settings in your banking app or website
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Many providers allow you to limit transactions based on value, restrict transaction types, or enable alerts
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You may consider registering for credit monitoring services and enabling fraud alerts.
The best solution is to use virtual cards
So, should I give my card details over the phone? If you want to minimize the risk, it is best to avoid giving card details over the phone if possible. There is still risk in providing your card details through a website, but at least it removes the human element. The best solution currently available is to use a virtual card – if anything goes wrong you can cancel just that specific card identity rather than your entire card.