DON'T FALL FOR THIS CREDIT CARD SCAM

A prosecutor with the Waterloo Regional Police circulated this account of a credit card scam. It is an example of the latest method telephone scam artists use to extract credit card information from unsuspecting consumers.

The caller says, " This is name and I'm calling from the Security and Fraud Department at VISA. My badge number is 12460. Your card has been flagged for an unusual purchase pattern, and I'm calling to verify. This would be on your VISA card issued by ______________ (name of bank). Did you purchase an Anti-Telemarketing Device for $497.99 from a marketing company based in Arizona? "

When you say "No", the caller continues, "Then we will be issuing a credit to your account. This is a company we have been watching and the charges range from $297 to $497, just under the $500 purchase pattern that flags most cards. Before your next statement, the credit will be sent to (gives you your address), is that correct?" You say "yes". The caller continues . . . "I will be starting a fraud investigation. If you have any questions, you should call the 800 number listed on your card 1-800-VISA and ask for Security. You will need to refer to this Control #". Then the caller gives you a 6-digit number and asks, "Do you need me to read it again?"

Caller then says, " I need to verify you are in possession of your card. Turn the card over. There are 7 numbers: the first 4 are your card number, the next 3 are the security numbers that verify you are in possession of the card. These are the numbers you use to make Internet purchases. To prove you have the card, read me the 3 numbers."

Then the caller says, "That is correct. I just needed to verify that the card has not been lost or stolen, and that you still have your card. Do you have any other questions? Don't hesitate to call back if you do."

You actually say very little, and the caller never asks for or tells you the card number.

The consumer called back within 20 minutes to ask a question. He is very glad he did! The REAL VISA security department told him it was a scam and in the last 15 minutes a new purchase of $497.99 was put on his card.

He then made a real fraud report, closed off the VISA card and is being issued a new card and number.

The fraudulent caller is after the 3-digit PIN number. When the unsuspecting consumer gets the statement, he sees the charge he's been warned about by the scam artist and thinks the credit will come on the next statement. By that time it's harder to actually file a fraud and the scammer has received the goods.

The VISA officials reinforced that they NEVER ask for anything on the card that they have on file and warn consumers not to give out this information.

What makes this story more remarkable is the next day, the consumer's wife got a call from "Jason Richardson of MasterCard" with a word-for-word repeat of the VISA scam. This time she didn't let him finish, hung up, and filed a police report, as instructed by VISA.

The police said they are receiving several of these reports daily and urged them to inform friends family and co-worker. So consumer beware!