CreditCardGuru

The use of credit cards has become extremely commonplace. In fact, many people own several debit and charge cards. But, with their increasing use, fraudulent use has also been on the rise. As a cardholder, you need to aware of credit card fraud laws as well as the punishment for these crimes.

What is Credit Card Fraud?
When a person uses someone’s credit card number without the knowledge or consent of the account holder, it is called credit card fraud. There are many different ways of committing this type of crime. Some of the most common forms of include using lost or stolen credit card to make purchases, to acquire additional cards, or even to steal a person’s identity.

Dangers of Being a Victim
This fraud can be extremely dangerous as you may find yourself in deep legal trouble in case your identity gets stolen through your credit cards. Undoubtedly, you also stand to lose a lot of money. There are many ways of committing this fraud. Fraudsters can acquire your credit card numbers or details through your mail; they may steal your card along with your wallet or purse, or even make a counterfeit card by acquiring the impression of your card. However, the most common ways of perpetuating fraud are by using the Internet. As we use our charge cards freely on the net to make purchases, bookings, etc. fraudsters find new and innovative means of stealing our sensitive financial information from us. Despite severe credit card fraud penalties, the instances of online fraud are on the rise.

Credit Card Fraud Laws
The Title 18 of the U.S. Code, Section 1029 provides details of credit card fraud penalties. Credit card fraud laws are also put in place by various state and federal law agencies. The punishment for this type of crime can vary in misdemeanor and felony classes depending on the jurisdiction and state laws. From being charged with class A misdemeanor to class E felony, the crime can result in many different criminal charges with varying sentences. As a first offense, the lowest time required to be served can range from 5 years to 15 years. Credit card fraud laws can sentence a criminal for up to 20 years in prison in the case of repeat offense. Very strict violation penalties are also put in place to discourage criminals from repeating their offense.

What Can You Do?
Given that instance of credit card fraudulent transactions are increasing despite strict laws, it is crucial that you are aware of your options in case you become a victim. Familiarize yourself with fraud laws that govern your state. Find out about cross-border credit card fraud laws as they may be different from domestic laws. Also, check out the FBI website online and identify the resources to you in case of fraud as well as the penalties applicable for different kinds of scams associates with this type of criminal behavior.

Have a question or need help? Ask for free on our credit fraud forum.