Watch your Credit Cards.

[Kip Powick]

According to SNOPES this is a legit email....passed to me.

VISA/MasterCard FRAUD

Just a heads up for everyone regarding the latest in Visa fraud. Royal Bank of Canada received this communication about the newest scam.

This is happening in southern Alberta right now and moving. 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.

It appears that this is a very active scam, and evidently quite successful. Pass the info to your partner, family and friends.

[Guest rattler]

And yet.

Visa & MasterCard Fraud Hoax

Type: Urban Legend

Description:

An email message warning of a modus operandi used by malicious individuals to acquire Visa and MasterCard numbers is spreading in the Internet.

It tells of how a swindler identifying himself as a credit card security officer phones target persons notifying them that their cards have been flagged due to unusual purchase patterns. The caller then elaborates on the situation and requests to get the three-digit PIN number of the card.

The message ends with a cautionary note informing recipients of this email chain letter how credit cards of owners who fell for this fraud were used for purchase by the phone caller. However, Visa and MasterCard have not verified these claims as true. Though there is a small likelihood that the event it discussed may happen for real, the very fact that it takes more than the last 3-digit PIN to decode a user's account disounts it as a hoax.

Trend Micro advises its customers to disregard, delete, and not pass this email message anymore because it is a hoax.

Original Message:

Subject: New Fraud technique

This was just sent from M. Pearson who got it from a lady she works out with. So, beware-- Subject: VISA & MASTER CARD FRAUD We all receive emails all the time regarding one scam or another; but last week I REALLY DID get scammed! Both VISA and MasterCard told me that this scam is currently being worked throughout the Midwest, with some variance as to the product or amount, and if you are called, just hang up.

My husband was called on Wednesday from "VISA" and I was called in Thursday from "MasterCard". It worked like this: Person calling says, "This is Carl Patterson 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 issued by 5/3 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 800 number listed on your card 1-800-VISA and ask for Security. you will need to refer to this Control #". Then gives you a 6 digit number. "Do you need me to read it again?" Caller then says he "needs to verify you are in possession of your card. Turn the card over. There are 7 numbers; first 4 are 1234(whatever) the next 3 are the security numbers that verify you are in possession of the card. These are the numbers you use to make internet purchases to prove you have the card. Read me the 3 numbers." Then he says "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? Don't hesitate to call back if you do."

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 glad we did! The REAL VISA security dept. told us it was a scam and in the last 15 minutes a new purchase of $497.99 WAS put on our card.

Long story made short...we made a real fraud report and closed the VISA card and they are reissuing as a new number. What the scam wants is the 3 digit number! and that once the charge goes through, they keep charging every few days. By the time you get your statement, you think the credit is coming,and then its harder to actually file a fraud report. The real VISA reinforced that they will never ask for anything on the card (they already know).

What makes this more remarkable is that on Thursday, I got a call from "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), and they said they are taking several of these reports daily and to tell friends, relatives and co-workers.

[Kip Powick]

http://www.snopes.com/crime/warnings/creditcard.asp

and this.....

http://www.hoax-slayer.com/card-security-code-scam.html

Sorta ...Who you gonna believe ?? I think I would just be a bit more cautious after reading the email and the write-ups on the Net.

In the end, personally, I never give my CC number out to anyone on the phone unless ..............................I am the one sending in an order...so far no problems.

If Tel called and asked for any CC info I would call the company I am dealing with to confirm they just called me.......as well as my CC company

[Guest rattler]

I agree Kip, in this world one needs to be very very careful regarding the level of private information given to another. In particular PIN, SIN, Security Codes and specific personal information such as birth date. PIN numbers should also be changed at least once a month to prevent the baddies getting your pin and accessing your accounts.

Then comes the need to shred any personal data you may be throwing out and I mean with a cross shredder, not a cheap strip cutter.

And lastly the need to protect any such data you may have on your PC, a good idea is to store any such information on an external drive that you connect only when needed.

Not too long ago the idea that such security was needed was considered to be paranoid, now sadly it is a fact of life.

A good web site to visit is: http://www.phonebusters.com/english/index.html (JOINT RCMP/OPP SITE)