Credit Card Security: What to Do If Yours Is Stolen

We all use credit cards, and many of us use them daily. We use them at local businesses, online and over the phone. With credit cards being used in so many different places, thieves have many opportunities to steal information. One of the biggest fears of credit card users is that their accounts will be compromised.

In the event that your card is stolen, it is important to know exactly what to do to prevent significant financial loss. There are several things you can do both before your information becomes compromised, as well as after the fact.

Here are some tips to keep in mind.

1. Notify your credit card company:

Before the theft happens, be sure you have the phone number of your credit company and your account number in an easy-to-find place. Call them immediately upon learning that your information has been stolen, so that they can deactivate your card and prevent future purchases by the thief.

Often credit card companies will not hold you liable for fraudulent charges made on your card. By notifying them quickly, you not only are able to stop future purchases, but your credit company can document the date from which you are not liable for purchases made on your card.

Be sure to write down the names of each person you talk to when you call the company, and document the date and time that you called. It is also useful to have a short, written summary of your phone conversations with each person. This information may be crucial in the event you need to prove that you took immediate action, and that you were instructed by official representatives from your credit card company.

2. Call the credit-reporting agencies:

Alert these companies of the theft so that they can put a fraud-alert on your account. Do this as soon as you become aware that your account has been compromised. This prevents the thieves from opening any new accounts in your name. Here is the contact information for two of the major national credit-reporting agencies.

TransUnion: 1-800-680-7289 ( www.transunion.com ) Equifax: 1-800-525-6285 ( www.equifax.com )

3. Document your credit status:

You are entitled to a free copy of your credit report from each of the three credit bureaus every year. Take advantage of this if your credit card information falls into the wrong hands. If your credit card information is stolen, it is important to get documented proof of your current credit standing before any fraudulent activity is reported.

Keep in mind that even if you have already obtained a free copy this year, you may be able to get another one if there is a fraud alert on your account.

4. Call your local police

Let them know of the theft and file a police report.

5. Consider filing an identity-theft report:

This report is generally in two parts. You will probably complete part at your local police station and part at a consumer reporting agency.

Hopefully, your credit card information will never be compromised. But if you should become the victim of fraud, these tips will help you take control of the situation as quickly and efficiently as possible.