5 prepaid debit card scams to avoid
As much as prepaid debit cards helps in keeping debt under control, they can make you an unwitting victim of fraud. Since most of these cards are not linked to a bank account and the funds are not insured, criminals continue to find new ways to scam people out of their money. Due to this, it is unfortunate that one may not have legal protection or recourse to get their money back. Here are five of the most common scams used by criminals targeting the users of prepaid debit cards. Flash attacks Fraudsters who commit the so-called flash attacks target prepaid debit cards and traditional debit cards. This is because those cards do not entail the same level of fraud detection that credit cards do, says Robert Siciliano, CEO of IDTheftSecurity.com. Since fraud detection systems are unable to flag nearly simultaneous transactions from the same account, fraudsters make several cloned copies of the victim’s card and use them within 5 to 10 minutes on different ATMs simultane...