Credit card got hacked.

[Ole Anderson]

I live in Michigan and have been in Florida for 2 months. Thursday evening I got a call and an email from our credit card company (FifthThird/MasterCard) saying they have noted suspicious activity and have frozen our card. Looking over our online statement this morning, in one day someone in Illinois used our credit card info at Wal-Mart, Sam's Club, OfficeMax and Toys R Us to the tune of 38 transactions and $5,695. Thank goodness for the computers in the fraud division catching this so quickly. 5/3 is overnighting new cards to us today so we can keep supporting the local tourist economy. Makes me wonder how someone got our info and who ends up paying the bill? And will there be any repercussions to us. We'll see how it plays out.

[Eric DeSilva]

I've had fraud calls on my AMEX three times--never had any liability for the fraud charges. First time--years ago--they picked up the fraud because the card was used to charge a telephone call that was only one minute, which I gather was a way that illicit users validated that they had working CC numbers. The second time was spending pattern related--they called to ask me if I had ordered $20,000 worth of computer equipment for delivery to the Netherlands. The third time was also spending pattern related--this time $3000 worth of airplane tickets in South America. I'm surprised that your card company didn't flag the transactions on the spot given where you were and where you normally spend. Or maybe AMEX just has better fraud detection. These experiences have made me a loyal AMEX customer.

[Ruhi Arslan]

... 38 transactions and $5,695. Thank goodness for the computers in the fraud division catching this so quickly.

You live in MI, you are currently using your card in FL for the last two months, there are 38 transactions in IL... I would not consider it catching it so quickly. Not even barely. Hope your bank is not going to try make you liable for those unauthorized charges. Maybe it is time to read your card agreement before it is too late. You have your card in your possession and you have not received a statement with those charges, right? How would you know if it is compromised... As far as I can see, your bank's fraud division was sleeping on the wheel.

The card I use for business alerts me when I move from one airport to the next, when paying for the cab to the hotel.

[Dave Richards]

A couple of years ago my credit card got shut down after a single online transaction for one cent. The bank told me that trying to make a purchase for a penny is a common way for thieves to find out if they have valid CC info. Then they charge big. I appreciated the bank shutting it down although I didn't discover the card was cancelled until I was trying to get gas.

[Jessica Pierce-LaRose]

My bank is pretty good about detecting fraudulent charges - sometimes my own odd spending habits set off the triggers, and I always get a call simply asking me to confirm the charges.

But this is why I don't use debit cards - in general you don't end up on the hook for fraud charges, (although I believe the liability is somewhat higher with a debit card) but until things get sorted out, living without a credit card is easier than living without your own money until charges get straightened out.

[Greg R Bradley]

You live in MI, you are currently using your card in FL for the last two months, there are 38 transactions in IL... I would not consider it catching it so quickly. Not even barely. Hope your bank is not going to try make you liable for those unauthorized charges. Maybe it is time to read your card agreement before it is too late. You have your card in your possession and you have not received a statement with those charges, right? How would you know if it is compromised... As far as I can see, your bank's fraud division was sleeping on the wheel.

The card I use for business alerts me when I move from one airport to the next, when paying for the cab to the hotel.

Exactly what I was thinking. I would have received a text messages in less than a minute from Amex if that had happened to me - on the first charge.

[Ken Fitzgerald]

We have had a credit card with one bank for nearly 30 years. They are too good about preventing "unauthorized" charges. We went on a 34 day trip out of the country recently. The trip was planned and arranged by a travel agency. We paid a significant deposit/partial payment by check last July and then tried to pay the remaining costs by CC in December. 4 times the bank refused the charges even after we called them after the first refusal. We told them the amount and what company was trying to process the charge. It seems as though the banks computer software was automatically refusing the charges. Finally, after we talked to someone in the banks security department, the charges went through.

While talking to the same security person, we had them note that we would be traveling for 34 days in 3 countries outside the US and that charges in those countries would occur during a specific 34 day period.

[Steve Peterson]

The maximum liability for any credit card fraud is limited to somewhere around $250, as long as it is reported within either 60 or 90 days. Usually the credit card company waives the fees.

A few cards get hit with big losses for the banks, but I don't feel sorry for them. There is so much profit in the normal transactions that they are still rolling in profit. They make around 3% profit even if you pay it off every month. They make up to 20-30% profit per year if you keep a balance.

Steve

[Matt Meiser]

That sounds about like an incident we had abou 12 years ago. We had just moved and the credit union failed to update our info on just that one card so they had trouble reaching us.

Amex does seem to be more on top of things than others. My card has gotten blocked 4 times in the last couple years, once actual fraud, the rest unusual spending by me.

[Val Kosmider]

Ole,

Your CC company was asleep at the switch, for sure.

You are likely liable for none of it. Get new cards. Beyond that there shouldn't be any repercussions.

Agree on the prompt discovery and notification by Amex. They are usually all over it within minutes, at max an hour. If the charge is significant, they will call you before they put it through--just being sure before we both have a problem.

[Jim Matthews]

We went on a 34 day trip out of the country recently. The trip was planned and arranged by a travel agency.
While talking to the same security person, we had them note that we would be traveling for 34 days in 3 countries outside the US and that charges in those countries would occur during a specific 34 day period.

Somebody at your bank must be carrying a grudge against Hobbits, or something.

[Brian Elfert]

My main credit card always blocks my first or second purchase when I travel from Minneapolis to Reno every year. This happens even though I call them every year and let them know I will be traveling! I guess they don't believe that someone could travel 900 miles from home in 18 hours or so with no gas stops in between. My motorhome can go 900 miles on a tank and we have multiple drives.

[Ken Fitzgerald]

Somebody at your bank must be carrying a grudge against Hobbits, or something.

I'm sure it was a form of discrimination!

[Ole Anderson]

All of the transactions were within a few hours, not two months. "in one day someone in Illinois used our credit card". Although thinking about it I agree that they should have seen the pattern in minutes, not hours. I just checked online my card activity, all of the fraudulent charges have been removed and the account closed. When we travel we call the CC company and let them know where we will be.

[Matt Meiser]

That's a long time. The last two times it was on the second transaction in 45 minutes, this time the third in 45. Merchant had to call, my wife got a call, and I got an email within 60s of the swipe at the last place.