MANAGEMENT: Avoiding credit card fraud

by | Feb 22, 2012 | News

Jackie Hart, a risk manager with Total System Services, Inc. (TSYS), a large credit card processing company, offers these tips to businesses to avoid being a victim of credit card fraud:

  • Be wary of cards that are not signed or lack the standard security features(hologram, 3- or 4-digit security code).
  • Consider asking for identification from anyone paying with a credit card.
  • Swipe the card. Hart said it’s difficult for a cardholder to deny having made a charge if the card was clearly present and swiped. If swiping fails, get an imprint of the card and a signature, Hart recommends.
  • Only give it one chance. If a card is swiped but declined, it’s best to just ask for
    a different form of payment, Hart recommends.
  • Verify the address. Credit card processors can notify you if the billing address for
    the card doesn’t match the address the customer has given you.
  • Check the back of the card. The last four digits of the card number are usually on
    the back of the card as well. If those numbers don’t match, Hart said, that’s one possible sign it’s not a legitimate card.
  • Check the BIN. The first six digits of the card number (the “BIN”) can be entered at one of several websites ( or to find the name and country of the issuing bank. If those don’t match what’s on the card, it’s another sign it’s not a legitimate card.