The Latest Visa / MasterCard FRAUD

This alert is courtesy of Rufus Jackson, President of The Booker T Washington Class of 1968.

Just a heads up for everyone regarding the latest in Visa fraud.
Royal Bank received this communication about the newest scam. This is
happening in southern Alberta right now and moving to the US.

This one is pretty slick since they provide YOU with all the
information, except the one piece they want...

Note, the callers do not ask for your card number; they already have
it.

This information is worth reading By understanding how the VISA &
MasterCard telephone Credit Card Scam works, you'll be better prepared to
protect yourself. One of our employees was called on Wednesday from 'VISA',
and I was called on Thursday from 'MasterCard'.

The scam works like this:

Person calling says - 'This is (name), and I'm calling from the
Security and Fraud Department at VISA. My Badge number is 12460, Your card
has been flagged for an unusual purchase pattern, and I'm calling to verify.
This would be on your VISA card which was issued by (name of bank). Did you
purchase an Anti-Telemarketing Device for $497.99 from a marketing company
based in Arizona ?'

When you say 'No', the caller continues
with, 'Then we will be issuing a credit to your account. This is a company
we have been watching and the charges range from $297 to $497, just under
the $500 purchase pattern that flags most cards. Before your next statement,
the credit will be sent to (gives you your address), is that correct?' You
say 'yes'.

The caller continues - 'I will be starting a
Fraud Investigation. If you have any questions, you should call the 1- 800
number listed on the back of your card (1-800-VISA) and ask for Security.
You will need to refer to this Control Number. The caller then gives you a 6
digit number. 'Do you need me to read it again?'

Here's the IMPORTANT part on how the scam
works - The caller then says, 'I need to verify you are in possession of
your card'. He'll ask you to 'turn your card over and look for some
numbers'. There are 7 numbers; the first 4 are part of your card number, the
last 3 are the Security Numbers that verify you are the possessor of the
card. These are the numbers you sometimes use to make Internet purchases to
prove you have the card. The caller will ask you to read the last 3 numbers
to him. After you tell the caller the 3 numbers, he'll say, 'That is
correct, I just needed to verify that the card has not been lost or stolen,
and that you still have your card Do you have any other questions?'

After you say no, the caller then thanks you
and states, 'Don't hesitate to call back if you do', and hangs up. You
actually say very little, and they never ask for or tell you the card
number. But after we were called on Wednesday, we called back. Within 20
minutes to ask a question. Are we were glad we did! The REAL VISA Security
Department told us it was a scam and in the last 15 minutes a new purchase
of $497.99 was charged to our card. We made a real fraud report and closed
the VISA account. VISA is reissuing us a new number.. What the scammers
want is the 3-digit PIN number on the back of the card. Don't give it to
them. Instead, tell them you'll call VISA or Master Card directly for
verification of their conversation..

The real VISA told us that they will never
ask for anything on the card as they already know the information since they
issued the card! If you give the scammers your 3 Digit PIN Number, you think
you're receiving a credit; however, by the time you get your statement
you'll see charges for purchases you didn't make, and by then it's almost
too late and/or more difficult to actually file a fraud report.

What makes this more remarkable is that on
Thursday, I got a call from a 'Jason Richardson of MasterCard' with a
word-for-word repeat of the VISA Scam. This time I didn't let him finish. I
hung up! We filed a police report, as instructed by VISA. The police said
they are taking several of these reports daily! They also urged us to tell
everybody we know that this scam is happening. I dealt with a similar
situation this morning, with the caller telling me that $3,097 had been
charged to my account for plane tickets to Spain , and so on through the
above routine..
(They get you all upset and worried about
the charges you did not make) Then while you are preoccupied, they start
their spiel and get you off guard so they can ask one final question..Your
Security Code....
It appears that this Is a very active scam,
and evidently quite successful. Verified by Snopes:
http://www.snopes.com/crime/warnings/creditcard.asp

Protect Your Self Against I D Theft

Read this and make a copy for your files in case you need
to refer to it someday. Maybe we should all take some of his
advice! A corporate attorney sent the following out to the
employees in his company:

1. Do not sign the back of your credit cards.Instead, put
'PHOTO ID REQUIRED.'

2. When you are writing checks to pay on your credit card accounts,
DO NOT put the complete account number on the 'For' line. Instead,
just put the last four numbers. The credit card company
knows the rest of the number, and anyone who might
be handling your check as it passes through all the check
processing channels won't have access to it.

3. Put your work phone # on your checks instead of your
home phone. If you have a PO Box use that instead of your
home address. If you do not have a PO Box, use your work
address. Never have your SS# printed on your checks. (DUH!)

You can add it if it is necessary. But if you have It printed,
anyone can get it.

4. Place the contents of your wallet on a photocopy machine.
Copy both sides of each license, credit card, etc.
You will know what you had in your wallet and all of the account
numbers and phone numbers to call and cancel..
Keep the photocopy in a safe place.

Also carry a photocopy of your passport when you travel
either here or abroad. We've all heard horror stories
about fraud that's committed on us in stealing a Name,
address, Social Security number, credit cards..

Unfortunately, I, an attorney, have first hand knowledge
because my wallet was stolen last month. Within a week, the
thieves ordered an expensive monthly cell phone package,
applied for a VISA credit card, had a credit line approved
to buy a Gateway computer, received a PIN number from DMV to
change my driving record information online, and more..

But here's some critical information to limit the damage
in case this happens to you or someone you know:

5. We have been told we should cancel our credit cards
immediately. But the key is having the toll free numbers
and your card numbers handy so you know whom to call.
Keep those where you can find them.

6.. File a police report immediately in the jurisdiction
where your credit cards, etc., were stolen. This proves to
credit providers you were diligent, and this is a first step
toward an investigation (if there ever is one).

But here's what is perhaps most important of all: (I never
even thought to do this.)

7. Call the 3 national credit reporting organizations
immediately to place a fraud alert on your name and also
call the Social Security fraud line number..
I had never heard of doing that until advised by a bank
that called to tell me an application for credit was made
over the Internet in my name.

The alert means any company that checks your credit knows
your information was stolen, and they have to contact you by
phone to authorize new credit..

By the time I was advised to do this, almost two weeks
after the theft, all the damage had been done. There are
records of all the credit checks initiated by the thieves'
purchases, none of which I knew about before placing the alert.
Since then, no additional damage has been done, and the
thieves threw my wallet away this weekend(someone turned it in).

It seems to have stopped them dead in their tracks..

Now, here are the numbers you always need to contact about
your wallet, if it has been stolen:

1.) Equifax: 1-800-525-6285

2.) Experian (formerly TRW): 1-888-397-3742

3.) Trans Union : 1-800-680 7289

4.) Social Security Administration (fraud line): 1-800-269-0271


We pass along jokes on the Internet; we pass along just
about everything. If you are willing to pass this information along,
it could really help someone that you care about.