Recent news of breaches in security at several major retailers has revealed the uncertainty of consumer safety at the checkout line. Locally, White Lodging, a company that manages national lodging brands such as Marriott and Sheraton is currently investigating a possible data breach at 14 of its locations. The alleged breach affected lounges, and restaurant locations connected to the hotels but luckily did not interfere with guest check-in information.
Although both credit and debit cards are designed to provide customers with a certain level of protection, not all plastic is created equal.
Check out these Yahoo Finance tips on the safety of credit vs. debit cards:
- Fraudulent charges on a credit card can be reversed in 24 hours or less, but it can take up to two weeks to have funds restored to a debit card account.
- The most dangerous places to swipe your debit card are outdoor or freestanding ATMs and gas pumps. These terminals are more susceptible to being outfitted with skimming devices.
- If your credit card information is lost or stolen, all major financial institutions and card issuers promise zero liability for fraudulent transactions.
- Credit cards offer an added level of protection because they are not directly linked to your bank account.
- Sign up for and don’t ignore text alerts from your bank that let you know whenever unusual transactions are made.
- If you do spot something fishy, contact your bank immediately. The FTC recommends following up with a certified letter detailing the fraudulent charge so there’s a record of when you notified them.
