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Using Credit or Debit Cards Online

Online Commerce

Shopping online is becoming more and more popular, in the UK in 2006 £10.9 billion was spent on online retail and, according to Research Analyst Verdict Research, by 2011 people will spend £28.0 billion or 8.9% of the UKs total retail sales*. You have probably noticed this surge in online shopping yourself, maybe you buy books off Amazon, or order groceries from Tescos, all these places make shopping so much more convenient. But is it safe?

Is it Safe?

It’s quite likely that you or someone you know has been a victim of some kind of card fraud, it’s often hard to tell if this is a result f online fraud or old fashioned real-world fraud, either way many people are worried about card fraud online. However, the benefits of being able to shop online are huge. You can browse the stores of all major retailers for bargains from the comfort of your home and you can find those rare niche items; then you can have it all delivered straight to your door.
But how do you keep your card details safe online? Well to start with shopping on big name websites such as Amazon is a safe bet, any store big enough to have a national reputation is not going to be committing card fraud. This is one way to avoid card fraud, only shop on well established shops which you know are trustworthy, either because of their reputation or because people you know and trust have vouched for them.
This is not an ideal solution however, much of the value of shopping online is in the smaller niche stores which provide rare or hard to find items. These stores however, are unlikely to be ones you have seen before or which have been vouched for. Happily, these sites, as well as some of the larger ones,  usually allow you to pay via PayPal or Google Checkout. PayPal and Google Checkout are separate websites to whom you give your card details. When you pay using PayPal or Google Checkout on a website your details are not given to the website, rather the money is taken through Google Checkout or PayPal. You have to agree to every transaction so it is no possible for a company to take your PayPal or Google Checkout details and take money from you. So if you do want to shop on a site you don’t know, it is best to use one of these services.
Finally, you should always watch out for phishing websites, for more information read our guide to avoiding identity fraud in the advice centre.

What to do if it happens to you

You should always check your bank statements for withdrawals or expenses you don’t remember. If you do find that you are a victim of card fraud there are a few things you can do:

• Record all information connected with the fraud, this includes emails and bank statements.
• Immediately contact your bank or credit card agency and ask them to cancel the card.
• Report the case to the police.
• Talk to your bank, usually your money will be repaid by an insurance agent but there are often hoops you will need to jump through, your bank is the best person to advise about this.

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