04 September 2016

Be Money Smart And Avoid These Credit Card Scams!

Chances are if you’re reading this, you are one of the millions of credit card users in Malaysia. But did you know there are various credit card scams in Malaysia that you need to avoid at all costs?

Read on to find out more...

Use Your Credit Card Wisely
When you’re out for a meal or shopping and want to pay with your credit card, make sure you know that it is only being charged for what you actually used it for. Go over the bill and payment slip and triple check the transaction to make sure you’re not being charged for ‘extras’.

Plus you should keep an eye on your credit card at all times. Don’t run the risk of having your credit card stolen or swapped with a fake. And in the worst case scenario, if you have lost or had your credit card stolen, call the bank’s 24-hour hotline and have it cancelled immediately!

Protect Yourself Online At All Times
Buying something online? Always make sure that your connection to the website is secured by checking the browser link to see if the site uses a Hyper Text Transfer Protocol Secure protocol (https://www.website.com.my). If it doesn’t, don’t take the risk as your credit card information may get compromised over unencrypted connections.

For added security, use OTP (One Time Password) settings to have a unique code sent to your phone to verify your identity for each and every online purchase.

Avoid ‘Pay First And Get Your Trial Refunded’ Websites
These are the worst of the lot and you need to be extremely careful how you use your credit card when making online purchases! How these scam websites work is by offering a service or product, but they require you to pull the full amount upfront for the ‘trial period’ and refund you if you’re not happy.

Not only is this highly questionable (and why would you be paying for a trial??) it is VERY likely that you’re going to get ripped off. Stay clear of these websites unless you are 100% sure they are a reputable product or service provider.

Beware Of Phishing Cheats!
Phishing involves a scammer who contacts you and attempts to get your personal information so they can use your credit card. First, they will contact you via email or telephone and claim to be a bank representative that needs your assistance to solve a fraudulent transaction on your credit card.

Just ignore them and do NOT respond as Malaysian banks do not ask for personal information or credit card details over the phone or email. Always remember that these phishing scammers are trying to get you to panic, and they will try to convince you that only they can help you. Don’t fall for it and just visit your nearest bank branch to verify the details with the bank staff immediately.

Remember if used properly, owning a credit card can be a rewarding experience which helps you earn cash back, rewards points and even air miles to travel! But you should be vigilant and take full responsibility over your credit card usage at all times!

CompareHero.my is dedicated to raising financial literacy in our country and to helping everyday Malaysians make smarter and well-informed financial decisions in life.

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