The rate of credit card fraud alerts is increasing, and here’s why it matters to you:
What’s Driving the Rise?
- New Shopping Patterns: Unexpected or high-value purchases can trigger alerts.
- Lack of Monitoring: Inadequate use of fraud detection services and security measures.
- AI and Fraud: While AI helps detect fraud, it can also cause false alarms.
How AI is Involved:
- Fraud Detection: AI improves fraud detection, but can also lead to more false alarms.
- Fraud Prevention: Fraudsters use AI to commit fraud more rapidly, but AI also helps detect these activities.
How Technology is Helping:
- Better Detection: Mastercard reports a 20% increase in fraud detection accuracy and up to 300% improvement in detecting fraud without false alerts.
- Quick Verification: Technology now allows faster resolution of false alarms, sometimes within minutes.
Tips to Minimize Unnecessary Alerts:
- Monitor Your Accounts: Set up monitoring services and limit alerts for large transactions.
- Use Secure Methods: Employ two-factor authentication, biometric passcodes, and password managers.
- Shop Wisely: Use reputable sites, limit card usage for specific transactions, and avoid public Wi-Fi for purchases.
Stay Vigilant:
- Always pay attention to fraud alerts, even if they seem frequent. Ignoring them could leave you vulnerable to fraud.