Scam: Think Twice Before You Respond to This Credit Card Alert – Technologist

Credit cards have come a long way since the days of carbon paper and perforated receipts, which was a security feature back in the day. Now, it’s not unusual for your credit card issuer to send you an alert when they think something is amiss.

The only problem is that today the alert itself may be the thing that is amiss, according to money expert Clark Howard.

Received a Credit Card Alert Recently? Read This

“It became routine within the last five years, that the credit card that you have, if they’re worried if a charge is legit, they’ll text you,” he says.”Text 1 for yes, 2 for no, or Y for yes, or N for no or whatever.”

Perhaps you’ve received a text like this. If so or even if you haven’t (yet), this article will show you how to tell whether that credit card text alert is real or not.

While many text alerts from financial institutions are indeed legit, many are not.

“Well, criminals always love to pretext, to mimic something that’s legit,” Clark says. We explain pre-texting in this article, but it’s a guise in which the criminal pretends to be someone they’re not. 

“One of the hottest scams out there is where you receive a text from what looks like one of your credit card companies. They’ll send one from Chase or Citi or another big bank. You’ll get one and you’re like ‘Oh, I didn’t do that.’ and it will tell you to respond,” Clark says.

 A while back, I received a text and email alert from a Wells Fargo account asking if charges made on the card were legitimate.

Screenshot via email

The charges were indeed legit, but Clark says for other consumers, such a correspondence can lead to disastrous results.

Oftentimes, a scammer will contact you again and again. Clark says what the crook may be doing is “engaging you with an ongoing pattern of text. Maybe even following up, trying to get you to do a phone call with them.”

“They’re trying to get you to do something that either allows them to engage in identity theft or steal money from you,” Clark says.

Clark says his #1 rule on handling phone scams kicks into gear whenever he faces a similar scenario. Here’s the deal:

“Consider following my rule,” he says. “It’s a simple rule: If I don’t recognize the number as being from someone I know, I do not answer the call.”

But What Happens When You Talk to a Scammer?

“Let’s say you take the bait and you call,” Clark says. “The person will sound very much like someone you might call at your financial institution.”

• What will they ask you for next? “The number to your card,” Clark says.
• And they say, “Let me pull up your account. Let’s validate this as you: What’s your expiration date?”
• Then, at some point, they’ll try to get your three-digit or four-digit PIN, Clark says.

Before you know it, the person on the other end of the line has gotten access to your sensitive information – either your credit card number or some other vital identifying information – “and they’re off to the races,” Clark says.

Pretexting Scam: How To Stay Safe

The way to safeguard yourself and your money from a pretexting scam is to never cooperate with the caller or texter.

Don’t Call That Number

“Anytime you’re asked to validate a charge, and they’ll say, ‘Did you buy blah blah blah at Best Buy for $1,428 or whatever? And you’re like, ‘No, I didn’t!” And then you’ll see “call this number. Do not call that number!” Clark says.

Verify the Number On Your Own

Clark says it’s your responsibility to verify the bank or company’s contact number to ensure that you’re not falling for a scam.

Here are some suggestions that could help:

“If you’ve got the app for the card on your phone, go there or you go to the website for that credit card and you contact the number that you know is legit,” Clark says.

Another option he mentions is to look on the back of the credit card and call the phone number listed there.

Look for Typos or Suspicious Language

Whether it is a text or an email, look out for misspellings or poor grammar. Take that as a warning sign. If there’s a link, don’t click on anything. Do your due diligence and contact the institution by another means.

Read our guide on how to spot a fake website.

Final Thoughts

Pretexting is a big problem that could take many forms, but it doesn’t have to be your problem. “Don’t take the bait from the crooks,” Clark says.

The key, Clark says, is to always take it upon yourself to verify any phone numbers or email addresses purporting to be financial institutions or companies you interact with.

Want to stay safe? Check out these common scams and how to recognize them.

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