[ronnierules]

B. The Prevention of Frauds:-

a) Duplicate Card: -

The duplicate fraudulent credit cards are those where the defrauders have made sincere efforts to duplicate the original cards through photo-mechanical processes.

They follow the footsteps of the original manufactures of the genuine credit cards to produce as close a replica of the genuine card as possible, employing similar materials and similar processes of printing and embossing, besides magnetic encodings.

b) White Plastic: -

The counterfeit credit cards known as ‘white plastics’ are imitations of credit cards in general aspect.

c) Banker’s Role: -

The credit card industry is one of the fastest growing activities of the banking industry. The artist has to be there (where the money is). The banks have to suffer losses.

d) Cyber Laws: -

Information Technology Ministry be approached for stringent laws against credit card crimes.





e) Altering Sales terminals: -

Internet E-Mail should be utilized on the pattern of Hot Box organized about a decade ago suitably modified to benefit from the advances the information technology has made since them.

f) Internet Relays: -

Computers should be pressed into service via internet connection by suitably upgrading the Television System Vertical blanking Intervals for notifying the fraudulent cards in the market.

g) Monitoring Deposit: -

Monitoring system can help locate the unscrupulous merchants who use or allow the use of ‘white plastics’ and fraudulent cards, knowing full well their fraudulent nature for making a fast back.

h) Risk Management: -

To meet the menace one of the top card companies has imitated risk management service to identify these high risk centers where daily all the inter-change transactions of the areas are scrutinized and the credit card number are checked against those which have been declared fraudulent, stolen or lost.









i) Central credit Card Clearing House: -

There should be a joint list of credit card holders on central basis with their addresses and other details, if any. New applicants to any bank for credit cards should be checked: -
• If he is holding card from other issuers.
• If he has held a card at other times. If so, when? Why did he discontinue?
• If he has applied to more than one credit card issuers
• The new card holder’s business transactions should be watched for some time.

j) Loss of Credit cards in Transit: -

It must be prevented.

It is simple for either the customer to collect personally or the banker should deliver it personally, or it should be sent by courier and confirmation obtained on telephone, in addition to the paper receipt.

k) Fraud Consciousness: -

The problem of credit card frauds must be brought to the notice of users as well as of the servers at sale terminals.

Proper training in the check up of the credit card in its various aspects has no substitute and in view of the huge issues the same is indispensable.





l) Physical Evidence: -

Immediately on the discovery of fraud all the physical evidence available should at once be taken into possession and the case reported to the police for investigation.

m) Check the Handwriting: -

Handwriting (in signatures) is available on sale drafts and on credit cards. The comparison of hand-writing inter se and with that of the suspect and of genuine card holders, can lead to the identity or non-identity of alleged writer.