How Common Is Credit Card Fraud during the Holiday Season?

Illinois federal crimes attorney, Illinois criminal attorney, Illinois defense lawyer,The holidays are just around the corner, and people are now starting to plan their holiday shopping strategies. Since shopping has become much more popular on the Internet, many people are resorting to purchasing their holiday gifts online. This has become so common, that people are not always aware of what could be at stake with their credit card. Far too often credit cards are compromised because of hacking activities on the other side. There are many people affected by credit card fraud, and the numbers keep increasing with the massive use of the Internet.

“Friendly Fraud” and Its Consequences

Also called a chargeback, friendly fraud happens when a consumer purchases a product online or on the phone and he or she receives the product ordered, plus a refund from that person’s bank. Since people receiving refunds from their bank tend to use that money with no thought about being scammed, friendly fraud has grown significantly.

One of the biggest consequences of friendly fraud is that businesses and credit card companies tend to lose a lot of money from the “refunds.” Not only does friendly fraud do much damage to merchants and credit card companies, friendly fraud can cause the receiver’s credit score to go down, and he or she may end up spending more than necessary on that item.

What Investigations Are Done on Friendly Fraud?

With today’s technology, banks are now often able to block payments and switch the chargeback over to the merchant, so that they do not lose as much money. However, investigating the friendly fraud scheme may take a long time, as the whole process is often quite tedious and labor intensive. Because of this, many merchants and credit card companies do not bother investigating the scheme.

Contact a Chicago Credit Card Fraud Defense Lawyer

Being able to use the Internet to steal other shoppers’ information may seem like a way to learn how to go online like an expert, but it will always get you into serious trouble. No one wants to spend time in prison during the holidays or spend more money than necessary in restitution.

If you or a loved one has been accused of committing credit card fraud, contact the Law Offices of Hal M. Garfinkel. Attorney Garfinkel has many years of experience in the federal crimes practice, and he is always ready to help you win the best case results. For a free initial consultation, please call a Chicago criminal defense attorney at 312-629-0669 to get the help you deserve.

Sources:

https://www.cbsnews.com/news/friendly-fraud-an-enemy-to-everyone-in-the-e-commerce-chain/

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