Wizzard
6 June 2007, 15:24
There is a scam that has been around for a while but is surfacing again. The scam works this way, a credit card number is obtained from some sort of illegal activity; burglary, theft, robbery, skimming or some other means. The crook will contact a store by telephone and place a phone order, usually for a couple hundred dollars. The delivery address is to somewhere else.
The incident normally goes through because many stores are interested in boosting their sales and do not question the transaction. After a week or more, the unsuspecting victim contacts the store to complain about the unauthorized transaction. In most cases, the store will do what is called a charge back. In common terms, the money is credited back to the victim...but the crook has the merchandise.
Many stores are now in the process of making it a policy to contact the number for the account holder to see of they authorized the transaction. The employees are being instructed not to call the number left during the transaction becasue this number is the one the crook wants called.
If you read this and own or manage a business dealing with phone orders, start this policy! It will save you hundreds if not thousands in lost profits. If you own a credit/debit/ATM card, contact your financial institution and have your home number verified. If possible, have them contact you by phone before any transaction is authorized.
The incident normally goes through because many stores are interested in boosting their sales and do not question the transaction. After a week or more, the unsuspecting victim contacts the store to complain about the unauthorized transaction. In most cases, the store will do what is called a charge back. In common terms, the money is credited back to the victim...but the crook has the merchandise.
Many stores are now in the process of making it a policy to contact the number for the account holder to see of they authorized the transaction. The employees are being instructed not to call the number left during the transaction becasue this number is the one the crook wants called.
If you read this and own or manage a business dealing with phone orders, start this policy! It will save you hundreds if not thousands in lost profits. If you own a credit/debit/ATM card, contact your financial institution and have your home number verified. If possible, have them contact you by phone before any transaction is authorized.