Just 9% of Americans use cash to pay for purchases, Forbes says, meaning that most purchases are paid for some other way, mostly by virtual or physical credit or debit cards.
Keeping those cards safe and criminals out of your bank account is important to protecting your purchasing power and your financial health.
Lost or stolen cards
The FDIC says to report lost or stolen cards immediately. The agency recommends calling your financial institution or using the app as soon as the card goes missing. You’re not responsible for charges or withdrawals after you report the loss, according to federal law, but you need to act fast.
If you wait until someone uses the card, you may have to pay all or some of the charges.
After you report the card lost or stolen, follow up in writing, the FDIC advises. Include your account number, the date and time when you noticed your card missing and when you first reported the loss. Keep a copy of that letter and any notes from your calls with your financial institution.
Then, keep an eye on your accounts. Report fraudulent charges immediately, following up in writing each time. Check your property insurance policies; they may also protect you from charges due to card theft. Lastly, keep an eye on your credit report. You can get free copies of your credit report; monitor them for accounts or charges you don’t recognize.
Identity theft
If you see accounts you don’t recognize and suspect you’ve been the victim of identity theft, call the companies where you know fraud occurred immediately. You should also place a fraud alert and report the identify theft to the Federal Trade Commission and your local police department. You can reach the FTC at FTC.gov or by calling (877) 438-4338.
Close all the new accounts and remove the bogus charges from your accounts, then request that your credit report be corrected with each of the big three credit bureaus. Think about adding an extended fraud alert or credit freeze and keep an eye on your credit reports for the foreseeable future.
If your Social Security number was compromised, you should report that to the Social Security Administration as well, and contact your local office for more steps to take to protect yourself. You may want to contact the Internal Revenue Service in case someone tried to use your number to commit tax fraud.
