Imagine the surprise you would feel if you were to review your checking account and discover that someone in Sydney, Australia used your debit card account to purchase a $200 dinner.
That scenario is not far-fetched.
In fact, similar examples of identity theft happen every day.
However, there are five simple steps you can take to help protect your debit card information.
1) Review your checking account purchases on a daily basis Most banks and financial institutions offer their customers access to on-line banking with the ability to check their account on a 24/7 basis.
If you have internet access, staying up-to-date with your checking account is easy.
By checking your accounts often and regularly you can catch questionable or inappropriate transactions and communicate your concerns immediately with your banking institution.
The sooner you catch and report a problem the quicker it can be addressed and corrected.
2) Change your PIN number and on-line banking passwords periodically This safeguard might seem like a pain, but changing your PIN and passwords decreases the chance that a thief will have your current password.
Frequently changing your password not only protects your money but can also safeguard your credit rating and financial security.
Cyber thieves are clever and quite numerous.
Taking the time to make these small changes can prevent huge problems in the future.
3) When eating out, do not give your debit card to the server to pay for your meal It might seem like a convenience to pay your tab by letting the server take your card to complete the transaction elsewhere.
However, when you give your card to the server, it is completely out of your control and sometimes a server is acting as an information thief to gain access to accounts.
Suddenly someone you do not know has access to your debit or credit card number, expiration date, and card security code (the code on the back of your card).
Even if you watch every movement they make you do not know whether they are simply doing their job when they swipe your card through the reader or pirating the information from your card.
A safer alternative is to bring cash to pay with.
4) Consider using two checking accounts While this may appear to over-complicate your life and create twice the likelihood of potential problems, it can actually save you money, time, and frustration.
Dedicate one account for large and essential bill payments, such as your mortgage, rent, or other debt payments.
This is the account you would use to set up any direct deposits.
Use the second separate checking account strictly to make debit card purchases.
Keep a limited amount of money in this account sufficient to cover your purchases.
That way, if your debit card information is compromised, less money is available to steal.
5) Only use ATMs in safe locations When you use your card to withdraw cash, make sure that the ATM you use is in a well-lit, public location.
And even if you have used that ATM before, do not use it if you feel uncomfortable or if you notice suspicious people loitering in the vicinity.