Brits warned against credit card thieves

The CPP Group Plc (CPP), an international marketing services business has warned Brits to be vigilant with their credit and debit cards this Christmas as criminals target the hordes of shoppers returning to the high street.

Figures from CPP showed that over 315,000 shoppers risk falling prey to credit card fraud during the holiday, with the average sum set to be over £600. The group said the risk of retail fraud increases as many Britons prefer to shop in shopping centres or in the hight street instead of online.

On the average, Britons are expected to spend £395 on Christmas gifts, with an estimated 65% buying half of their gifts in person, while almost 20% will purchase the majority of their gifts in the high street, compared to just a quarter who will do so online.

The preference to return to the high street to make their Christmas shopping is due to concerns about postal delays as one in four Britons fear that online orders will not arrive in time for Christmas.

CPP estimates that the number of lost and stolen credit cards and other cards will peak on December 18 as stressed out last-minute shoppers tend to become careless with their bank cards.

Psychologists said 75 percent of shoppers find shopping stressful which makes them more susceptible to theft. The holiday rush also means people tend to lose track of their spending, increasing the risk of fraud as suspicious transactions can go unnoticed. A third of shoppers admit they lose track of spending and a fifth don’t check their receipts against bank statements after they get home.

Dr. Glenn Wilson, visiting professor of Psychology at Gresham College said, “Last minute Christmas shopping on the high street is a stressful experience. Stress affects people in many ways, both physically and psychologically. Heart rate and blood pressure rise, and there is an increase in anxiety, distractibility, confusion and forgetfulness, all of which makes people more likely to lose things, such as their bank cards, and be more at risk of theft.”

Sarah Blaney, card fraud expert at CPP, added, “More and more consumers are aware of the risks when shopping online and are vigilant about keeping their passwords and personal details safe. However, we often get caught up in the hustle and bustle of the high street: a combination of crowds and pressure to find the perfect present can lead to our attention wandering.”

Blaney said that retail fraud remains a problem despite the introduction of Chip and PIN verification. In the first six months of 2009, retail fraud transactions totalled nearly £35m. However, lost and stolen cards can be used to make illegal purchases online, which is the largest type of card fraud totalling £134m in the first half of the year.

CPP offers these 10 tips to avoid being a victim of card fraud:

1. Don’t carry multiple debit/credit cards in a wallet – only carry the essential cards you need
2. Don’t leave belongings unattended while shopping
3. Don’t carry debit/credit cards loose in a bag or pocket
4. If your cards are registered with a Card Protection company make sure you have their emergency loss reporting number
5. Don’t ever write down your PIN number
6. Don’t let a shop assistant take your debit/credit card out of sight – they could be copied or cloned
7. Don’t let someone else take money out on your behalf
8. Check your receipts against your statements when you get home
9. If you are concerned your cards may have been lost or stolen, contact your bank immediately to get the card cancelled
10. Make sure your bank has up-to-date contact details for you, including your mobile phone number in case they need to check if transactions are genuine.

Another thing to do is to regularly check your credit report – with this you can see in one place all your outstanding credit and identify any unusual or suspicious credit transactions or even credit or loan applications that you haven’t initiated.

As a start, you can get a free credit report quickly and easily online.

If you want to know about your credit report you might find our article ‘Credit report – why check it?’ helpful.