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How Scammers Made Millions Through Small Credit Card Charges

Monday, August 23, 2010 - 5:05 AM
According to this New York Times article, the FTC has filed suit against scammers who placed more than $10 million in fraudulent charges on consumers’ credit and debit cards. The bogus charges weren't large. All were under $10, and each cardholder was only hit once which all allowed the scammers to go unnoticed for years.

Article has some useful info on the cardholder liability:
By law, consumers are liable for no more than $50 in fraudulent charges on a credit card and no more than $500 in fraudulent charges on a debit card, if reported by specified deadlines. But in practice, most major banks offer full protection from losses attributable to fraud. Someone must first identify the fraud, however.

Ken TuminKen Tumin5,471 posts since
Nov 29, 2009
Rep Points: 125,634