se anything but without money we cannot purchase. Past time money as a kind of paper only. Now day’s money very different kind. We know as a plastic money and use it. http://www. blurtit. com/q216104. html Plastic money are the alternative to the cash or the standard ‘money’. Plastic money is used to refer to the credit cards or the debit cards that we use to make purchases in our everyday life. Plastic money is much more convenient to carry around as you do not have to carry a huge some of money with you.
It is also much safer to carry it along or to travel with it as if it is stolen one can consult the bank whose service you are using and get it blocked hence saving your money from getting stolen or even lost. http://www. rediff. com/getahead/2007/jul/27cards. htm A credit card is plastic money that is used to pay for products and services at over 20 million locations around the world. All you need to do is produce the card and sign a charge slip to pay for your purchases. The institution which issues the card makes the payment to the outlet on your behalf; you will pay this ‘loan’ back to the institution at a later date.
A credit card is an electronic, small plastic card issued to users as a system of payment which allows its holder to buy goods and services based on the holder’s promise to pay for these goods and services but pay for them at a later date. When you buy something using a credit card, the credit card provider pays for your purchase. The issuer of the card grants a line of credit to the consumer (or the user) from which the user can borrow money for payment to a merchant or as a cash advance to the user. History of credit card
The credit card market in India, which started out in 1981, is on the verge of an unprecedented boom. Between 1987 and 2000, the market has virtually grown to over 3. 8 million cards with almost 25-30 per cent growth in new card-holders. The credit card embodies two essential aspects of the basic banking function – the transmission of payments and the granting of credit. Therefore, in its true sense, a ‘credit’ card must offer the opinion of revolving credit. This is very akin to the overdraft facility offered by banks to their account holders.
A credit card holder does not necessarily have to settle his entire account at the end of the month for he has the option to make partial payment in subsequent months. In fact, when the card-holder makes the full payment at the end of the month he is said to be using his credit card as a ‘charge card’. Incidentally, the interest paid by the card-holder on the ‘credit’ utilized by him is what makes the business of credit cards profitable from the point of view of the bank issuing Basic information about credit card (http://www. buzzle. com/editorials/12-6-2004-62590. asp)
A credit card is a small plastic card with some numbers embossed on it and which helps to purchase the things with no requirement of cash in pocket. It is 3-1/8 inches by 2-1/8 inches in size and has identification information for example a signature or picture. It permits the person named on it to charge purchases or services to his account charges for which he will be billed periodically. This information is checked where we use it for example by automated teller machines (ATMs), store readers, Internet computers and banks. What is credit card- Front sideReverse side http://en. ikipedia. org/wiki/Credit_card) (http://www. bustathief. com/credit-card-fraud-how-do-they-do-it/) 4 An example of the front in a typical credit card: 1. Issuing bank logo 2. EMV chip on “smart cards”( Europe , MasterCard, and Visa = EMV) 3. Hologram 4. Credit card number 5. Card brand logo 6. Expiration Date 7. Card Holder Name 8. contactless chip An example of the reverse side of a typical credit card: 1. Magnetic Stripe 2. Signature Strip 3. Card Security Cod What is EMV- EMV is the standard defining how to handle debit and credit card transactions based on chip technology.
This standard, and the certification processes linked to it, will guarantee worldwide different for financial smart cards. EMV migration is a common move for the whole banking sector, strongly supported by the international payment schemes Visa, MasterCard and American Express. http://answers. yahoo. com/question/index? qid=20090614105343AAFxc3V What is Hologram – Hologram is a photographic image that is three-dimensional and appears to have depth. Hologram doing the work by creating an image composed of two superimposed 2-dimensional pictures of the same object seen from different reference points. http://www. isegeek. com/what-is-a-hologram. htm What is Magnetic stripe card – A magnetic stripe card is a type of card capable of storing data by modifying the magnetism of tiny iron-based magnetic particles on a band of magnetic material on the card. The magnetic stripe, sometimes called swipe card or magstripe, is read by physical contact and swiping past a magnetic reading head. http://en. wikipedia. org/wiki/Magnetic_stripe#Financial_cards What is Card security code- Card security code (CSC) is a security feature for credit or debit card transactions, providing increased protection against credit card fraud.
Sometimes it is called Card Verification Data (CVD), Card Verification Value (CVV or CVV2), Card Verification Value Code (CVVC), Card Verification Code (CVC or CVC2), Verification Code (V-Code or V Code), or Card Code Verification (CCV). http://en. wikipedia. org/wiki/Card_Security_Code What is Bank Identification Number (BIN) These numbers identify parts of both credit cards and merchant account numbers. Visa/MasterCard assigns unique, identifying numbers to each member acquiring or issuing bank. Type of credit card and issuer – (http://www. economywatch. om/india-credit-cards/types/) In the India many types of credit cards being provided by banks and financial institutions. These cards provide a wide variety of financial benefits to holders. Following are some types of credit cards available in India:- India Credit Cards http://www. economywatch. com/credit-card/ Types of credit card: Premium Credit Cards, Cash Back Credit Cards, Gold Credit Cards, Airline Credit Cards, Silver Credit Cards, Business Credit Cards, Balance Transfer Credit Cards, Co-branded Credit Cards, Low Interest Credit Cards, Lifetime Free Credit Cards and Rewards.
The Rewards credit cards may be subdivided into Points, Hotels/Travels, Retail, Auto and Fuels cards. Issuers Major issuers: American Express, HSBC, ANZ, Macquarie Bank, Aussie, NAB, Bank West, St George, Bank of Queensland, Suncorp Metway, Citibank, Westpac and Commonwealth Bank. The major credit card providers in India are ABN Amro, HDFC, American Express, ICICI Bank, Axis Bank, SBI, Bank of Baroda, Canara Bank, Citibank, Visa, HSBC, MasterCard, Deutsche Bank, Amex, Barclays Bank, Diners Club, Standard Chartered and Kotak Mahindra Deferent between credit card and Debit card-
Credit card: The name it also define the meaning of it. It will be provided to the person who is eligible to get credit by the financial institutions and banks. We can get credit through this card. It is a liability. Debit card: It can be useful when our bank account has sufficient funds at the time of using it. Instead of cheques we can use this card to with draw our money. It is asset. http://www. allinterview. com/showanswers/66620. html Numbering of credit card- (http://www. transactmoney. com/transaction-articles/accept-credit-cards-online. htm) example we will use a MasterCard.
A Credit Card usually has 16 (some visa’s have 13) numbers embossed on their front, and every card has a BIN code. The BIN CODE is the first 6 digits of a credit card: (http://www. bustathief. com/credit-card-fraud-how-do-they-do-it/) * The first 4 digits stay for the country and credit card company * The 5th digit stays for the credit card type (debit card, gift card, credit card) * The 6th digits reveals if the card is a partnercard, secondcard, company card… * The remaining digits stay for the account number, with the last character being the check-digit
Numbering of credit card is the primary account number. Purpose of this number is identification of user. Usually it denotes the particular banker and some sort of identity is also given for the individual customer on the basis of his locality or any other relevant factor that the bank considers fit. Whenever a customer loses his credit card he must inform the bank and quote the credit card number, so that the bank can block all further transactions until the credit card is given to the owner or a new one is issued. Function of credit card- ( http://www. transactmoney. com/transaction-articles/accept-credit-cards-online. tm) Credit cards are not available to all those who maintain an account with the bank. They are available only to people who apply for these services and only after the bank approves to entertain the customer the same. When a customer swipes a credit card the merchant has to check three areas simultaneously before deciding to accept credit cards online. Those functions are performed by the equipments like cart software and credit card processor. Initially it checks if the customer is the legitimate and genuine owner of the credit card (this is done by checking the details of his account).
Then it checks if the customer is having sufficient funds in the account and also clarifies if he is eligible to operate the funds for the said purpose of buying goods on credit from the banker. Only then the merchant will accept credit cards online. ( http://www. creditcardratinginfo. com/) When a purchase is complied, the credit card user agrees to pay the card issuer. The cardholder indicates consent to pay by signing a receipt with a record of the card details and indicating the amount to be paid or by entering a personal identification number (PIN).
Many merchants now accept verbal authorizations via telephone and electronic authorization using the Internet, known as a card not present transaction (CNP). Electronic verification systems allow merchants to verify in a few seconds that the card is valid and the credit card customer has sufficient credit to cover the purchase, allowing the verification to happen at time of purchase. The verification is performed using a credit card payment terminal or point-of-sale (POS) system with a communications link to the merchant’s acquiring bank.
Data from the card is obtained from a magnetic stripe or chip on the card, the system is called Chip and PIN . United Kingdom and Ireland, and is implemented as an EMV card. For card not present transactions where the card is not shown (e. g. , e-commerce, mail order, and telephone sales), merchants additionally verify that the customer is in physical possession of the card and is the authorized user by asking for additional information such as the security code printed on the back of the card, date of expiry, and billing address. http://en. wikipedia. org/wiki/Credit_card What is Virtual Credit Cards- http://www. economywatch. om/credit-card/virtual. html A virtual credit card is a disposable payment card that can be used to make purchases or payments over the Internet. These cards provide protection to cardholders, since the user is provided a new credit card number every time s/he makes a purchase on the Internet. This is why this card is sometimes also called the “single-use card numbers. ” Virtual Credit Card: Features although a virtual credit card is very similar to a regular credit card, it has several distinguishing features, such as: * It works like a prepaid card, where the credit limits equals the amount you want to be available on the card. A new credit card number is issued every time a cardholder wants to make a purchase. Thus, there is no possibility of your credit card being used fraudulently. * Cardholders can set the monetary limit and the expiry date for their virtual cards. While the virtual number of a card is linked to a real credit card number only the cardholder has the knowledge of this information. What is Secured Credit Cards- (http://www. transactmoney. com/transaction-articles/accept-credit-cards-online. htm) Secured credit cards are usually preferred by persons whose credit statements are not noteworthy and those who want to rebuild their credit.
A cardholder under this scheme will be required to pay an amount for availing the credit card. It should be understood that in a regular credit card an account holder is not required to pay any amount as most of them are issued at free of cost to the account holder and even if they are charged they are priced nominally. If the secured credit card holder does not pay his dues to the banker he has two options. Like any other credit card holder he can ask the banker to accumulate the interest or follow other penal actions as the case may be. Another option is requesting the banker to make adjustments from his eposits so and thereby not take any penal actions. The second option has different consequences. If the customer does not clear the subsequent dues the banker will be forced to withdraw money from the deposit amount. Finally the customer will have no money left in his deposit. Therefore it is not desired to follow the second alternative unless the customer is able to repay the deposit at the earliest or unless it is unavoidable. Advantage of credit card http://www. pbs. org/opb/electricmoney/teaching_guide/eMoney_Lesson_two. pdf Credit Cards as Transactions Medium-
Credit card is also a transaction medium in many situations. It translates the money anytime anywhere, where the card holder is presents. Modern communications media have made it possible to order merchandise by telephone, mobile or over the via Internet. It is largely impossible to transmit cash or checks by these media. If you had to send a check by mail every time you ordered something over the phone, your transaction would be no faster than if you ordered by mail. Credit card as a payments medium- In the payment system credit card is a mostly worth fully for merchants that can easily recognize and authenticate the card.
If a customer buy some goods and services and given the payment through the check, the merchant must worry about whether or not the customer actually has sufficient funds in his or her checking account to complete the payment. Reserve bank of India guidelines- (http://www. rbi. org. in/scripts/NotificationUser. aspx? Id=2627&Mode=0) Credit card may be issued by a Bank and any Organization. Who want the credit card so open the account in the Bank and follow the guidelines of Reserve Bank of India. Issue of cards- a.
Banks / NBFCs should independently assess the credit risk while issuing cards to persons, specially to students and others with no independent financial means. Add-on cards i. e. those that are subsidiary to the principal card, may be issued with the clear understanding that the liability will be that of the principal cardholder. b. As holding several credit cards enhances the total credit available to any consumer, banks / NBFCs should assess the credit limit for a credit card customer having regard to the limits enjoyed by the cardholder from other banks on the basis of self declaration/ credit information. c.
The card issuing banks / NBFCs would be solely responsible for fulfillment of all KYC requirements, even where DSAs / DMAs or other agents solicit business on their behalf. d. While issuing cards, the terms and conditions for issue and usage of a credit card should be mentioned in clear and simple language (preferably in English, Hindi and the local language) comprehensible to a card user. The Most Important Terms and Conditions (MITCs) termed as standard set of conditions, as given in the Appendix, should be highlighted and advertised/ sent separately to the prospective customer/ customers at all the stages i. . during marketing, at the time of application, at the acceptance stage (welcome kit) and in important subsequent communications. Interest rates and other charges a. Card issuers should ensure that there is no delay in dispatching bills and the customer has sufficient number of days (at least one fortnight) for making payment before the interest starts getting charged. b. Card issuers should quote annualized percentage rates (APR) on card products (separately for retail purchase and for cash advance, if different).
The method of calculation of APR should be given with a couple of examples for better comprehension. The APR charged and the annual fee should be shown with equal prominence. The late payment charges, including the method of calculation of such charges and the number of days, should be prominently indicated. The manner in which the outstanding unpaid amount will be included for calculation of interest should also be specifically shown with prominence in all monthly statements.
Even where the minimum amount indicated to keep the card valid has been paid, it should be indicated in bold letters that the interest will be charged on the amount due after the due date of payment. These aspects may be shown in the Welcome Kit in addition to being shown in the monthly statement. c. The bank / NBFC should not levy any charge that was not explicitly indicated to the credit card holder at the time of issue of the card and getting his / her consent. However, this would not be applicable to charges like service taxes, etc. hich may subsequently be levied by the Government or any other statutory authority. d. The terms and conditions for payment of credit card dues, including the minimum payment due, should be stipulated so as to ensure that there is no negative amortization. e. Changes in charges (other than interest) may be made only with prospective effect giving notice of at least one month. If a credit card holder desires to surrender his credit card on account of any change in credit card charges to his disadvantage, he may be permitted to do so without the bank levying any extra charge for such closure.
Wrongful billing a. The card issuing bank / NBFC should ensure that wrong bills are not raised and issued to customers. In case, a customer protests any bill, the bank / NBFC should provide explanation and, if necessary, documentary evidence to the customer within a maximum period of sixty days with a spirit to amicably redress the grievances. b. To obviate frequent complaints of delayed billing, the credit card issuing bank / NBFC may consider providing bills and statements of accounts online, with suitable security built therefore.
Use of DSAs / DMAs and other agents a. When banks / NBFCs outsource the various credit card operations, they have to be extremely careful that the appointments of such service providers do not compromise with the quality of the customer service and the bank / NBFC’s ability to manage credit, liquidity and operational risks. In the choice of the service provider, the bank / NBFCs have to be guided by the need to ensure confidentiality of the customer’s records, respect customer privacy, and adhere to fair practices in debt collection. . The Code of Conduct for Direct Sales Agents (DSAs) formulated by the Indian Banks’ Association (IBA) could be used by banks / NBFCs in formulating their own codes for the purpose. The bank / NBFC should ensure that the DSAs engaged by them for marketing their credit card products scrupulously adhere to the bank / NBFC’s own Code of Conduct for credit card operations which should be displayed on the bank / NBFC’s website and be available easily to any credit card holder. . The bank / NBFC should have a system of random checks and mystery shopping to ensure that their agents have been properly briefed and trained in order to handle with care and caution their responsibilities, particularly in the aspects included in these guidelines like soliciting customers, hours for calling, privacy of customer information, conveying the correct terms and conditions of the product on offer, etc. Protection of Customer Rights
Customer’s rights in relation to credit card operations primarily relate to personal privacy, clarity relating to rights and obligations, preservation of customer records, maintaining confidentiality of customer information and fair practices in debt collection. The card issuing bank / NBFC would be responsible as the principal for all acts of omission or commission of their agents (DSAs / DMAs and recovery agents). RBI guidelines given some protection of customer right-s
Right to privacy a. Unsolicited cards should not be issued. In case, an unsolicited card is issued and activated without the consent of the recipient and the latter is billed for the same, the card issuing bank / NBFC shall not only reverse the charges forthwith, but also pay a penalty without demur to the recipient amounting to twice the value of the charges reversed. b. Unsolicited loans or other credit facilities should not be offered to the credit card customers.
In case, an unsolicited credit facility is extended without the consent of the recipient and the latter objects to the same, the credit sanctioning bank / NBFC shall not only withdraw the credit limit, but also be liable to pay such penalty as may be considered appropriate. c. The card issuing bank / NBFC should not unilaterally upgrade credit cards and enhance credit limits. Prior consent of the borrower should invariably be taken whenever there are any change/s in terms and conditions. . The card issuing bank / NBFC should maintain a Do Not Call Registry (DNCR) containing the phone numbers (both cell phones and land phones) of customers as well as non-customers (non-constituents) who have informed the bank / NBFC that they do not wish to receive unsolicited calls / SMS for marketing of its credit card products. The DNCR should be set up within two (2) months from the date of this circular and wide publicity should be given to the arrangement. e.
The intimation for including an individual’s telephone number in the Do Not Call Registry (DNCR) should be facilitated through a website maintained by the bank / NBFC or on the basis of a letter received from such a person addressed to the bank / NBFC. f. The card issuing bank / NBFC should introduce a system whereby the DSAs/ DMAs as well as its Call Centers have to first submit to the bank / NBFC a list of numbers they intend to call for marketing purposes. The bank / NBFC should then refer to the Do Not Call Registry (DNCR) and only those numbers which do not figure in the Registry should be cleared for calling. . The numbers cleared by the card issuing bank / NBFC for calling should only be accessed. The bank / NBFC would be held responsible if a Do Not Call Number (DNCN) is called on by its DSAs / DMAs or Call Centre/s. h. The card issuing bank / NBFC should ensure that the Do Not Call Registry (DNCR) numbers are not passed on to any unauthorized person/s or misused in any manner. I. Banks / NBFCs/ their agents should not resort to invasion of privacy viz. , persistently bothering the card holders at odd hours, violation of ‘do not call’ code etc. Customer confidentiality a.
The card issuing bank / NBFC should not reveal any information relating to customers obtained at the time of opening the account or issuing the credit card to any other person or organization without obtaining their specific consent, as regards the purpose/s for which the information will be used and the organizations with whom the information will be shared. Banks / NBFCs should satisfy themselves, based on specific legal advice that the information being sought from them is not of such nature as will violate the provisions of the laws relating to secrecy in the transactions.
Banks / NBFCs would be solely responsible for the correctness or otherwise of the data provided for the purpose. b. In case of providing information relating to credit history / repayment record of the card holder to a credit information company (specifically authorized by RBI), the bank / NBFC may explicitly bring to the notice of the customer that such information is being provided in terms of the Credit Information Companies (Regulation) Act, 2005. c. Before reporting default status of a credit card holder to the Credit Information Bureau of India Ltd. CIBIL) or any other credit information Company authorized by RBI, banks / NBFCs may ensure that they adhere to a procedure, duly approved by their Board, including issuing of sufficient notice to such card holder about the intention to report him/ her as defaulter to the Credit Information Company. The procedure should also cover the notice period for such reporting as also the period within which such report will be withdrawn in the event the customer settles his dues after having been reported as defaulter.
Banks / NBFCs should be particularly careful in the case of cards where there are pending disputes. The disclosure/ release of information, particularly about the default, should be made only after the dispute is settled as far as possible. In all cases, a well laid down procedure should be transparently followed. These procedures should also be transparently made known as part of MITCs. d. The disclosure to the DSAs / recovery agents should also be limited to the extent that will enable them to discharge their duties.
Personal information provided by the card holder but not required for recovery purposes should not be released by the card issuing bank / NBFC. The card issuing bank / NBFC should ensure that the DSAs / DMAs do not transfer or misuse any customer information during marketing of credit card products. Fair Practices in debt collection (a) In the matter of recovery of dues, banks / NBFCs may ensure that they, as also their agents, adhere to the extant instructions on Fair Practice Code for lenders (circular DBOD. Leg.
No. BC. 104 /09. 07. 007 / 2002–03 dated May 5, 2003) as also IBA’s Code for Collection of dues and repossession of security. In case banks / NBFCs have their own code for collection of dues it should, at the minimum, incorporate all the terms of IBA’s Code. (b) In particular, in regard to appointment of third party agencies for debt collection, it is essential that such agents refrain from action that could damage the integrity and reputation of the bank / NBFC and that they observe strict customer confidentiality.
All letters issued by recovery agents must contain the name and address of a responsible senior officer of the card issuing bank whom the customer can contact at his location. (c) Banks / NBFCs / their agents should not resort to intimidation or harassment of any kind, either verbal or physical, against any person in their debt collection efforts, including acts intended to humiliate publicly or intrude the privacy of the credit card holders’ family members, referees and friends, making threatening and anonymous calls or making false and misleading representations.
Redressal of Grievances a. Generally, a time limit of sixty (60) days may be given to the customers for preferring their complaints / grievances. b. The card issuing bank / NBFC should constitute Grievance Redressal machinery within the bank / NBFC and give wide publicity about it through electronic and print media. The name and contact number of designated grievance redressal officer of the bank / NBFC should be mentioned on the credit card bills. The designated officer should ensure that genuine grievances of credit card subscribers are redressed promptly without involving delay. . The grievance redressal procedure of the bank / NBFC and the time frame fixed for responding to the complaints should be placed on the bank / NBFC’s website. The name, designation, address and contact number of important executives as well as the Grievance Redressal Officer of the bank / NBFC may be displayed on the website. There should be a system of acknowledging customers’ complaints for follow up, such as complaint number / docket number, even if the complaints are received on phone. d.
If a complainant does not get satisfactory response from the bank / NBFC within a maximum period of thirty (30) days from the date of his lodging the complaint, he will have the option to approach the Office of the concerned Banking Ombudsman for redressal of his grievance/s. The bank / NBFC shall be liable to compensate the complainant for the loss of his time, expenses, financial loss as well as for the harassment and mental anguish suffered by him for the fault of the bank and where the grievance has not been redressed in time.
Internal control and monitoring systems With a view to ensuring that the quality of customer service is ensured on an on-going basis in banks / NBFCs, the Standing Committee on Customer Service in each bank / NBFC may review on a monthly basis the credit card operations including reports of defaulters to the CIBIL, credit card related complaints and take measures to improve the services and ensure the orderly growth in the credit card operations. Banks / NBFCs should put up detailed quarterly analysis of credit card related complaints to their Top Management.
Card issuing banks should have in place a suitable monitoring mechanism to randomly check the genuineness of merchant transactions. Right to impose penalty The Reserve Bank of India reserves the right to impose any penalty on a bank / NBFC under the provisions of the Banking Regulation Act, 1949 for violation of any of these guidelines. Appendix  1. Most Important Terms and Conditions (MITCs) (a) Fees and Charges  i. Joining fees for primary card holder and for add-on card holder ii. Annual membership fees for primary and add-on card holder iii. Cash advance fee iv.
Service charges levied for certain transactions v. Interest free (grace) period – illustrated with examples vi. Finance charges for both revolving credit and cash advances vii. Overdue interest charges—to be given on monthly and annualised basis viii. Charges in case of default (b) Drawal limits i. Credit limit ii. Available credit limit iii. Cash withdrawal limit (c) Billing i. Billing statements—periodicity and mode of sending ii. Minimum amount payable iii. Method of payment iv. Billing disputes resolution v. Contact particulars of 24 hour call centres of card issuer vi.
Grievances redressal escalation—contact particulars of officers to be contacted vii. Complete postal address of card issuing bank viii. Toll free number for customer care services (d) Default and circumstances i. Procedure including notice period for reporting a card holder as defaulter ii. Procedure for withdrawal of default report and the period within which would be withdrawn after settlement of dues iii. Recovery procedure in case of default iv. Recovery of dues in case of death / permanent incapacitance of cardholder v.
Available insurance cover for card holder and date of activation of policy (e) Termination / revocation of card membership I) Procedure for surrender of card by card holder – due notice (f) Loss/theft/misuse of card i. Procedure to be followed in case of loss/ theft/ misuse of card-mode of intimation to card issuer ii. Liability of card holder in case of (i) above (g) Disclosure i. Type of information relating to card holder to be disclosed with and without approval of card holder 2. Disclosure of MITCs – Items to be disclosed in stages i. During marketing – Item no: a i. At application – Item nos:all items from a to g iii. Welcome Kit – Item nos: all items from a to g iv. On billing – Item nos: a, b and c, v. On an ongoing basis, any change of the terms and conditions Note: i. The font size of MITC should be minimum Arial-12 ii. The normal terms and conditions communicated by the card issuer to the card holder at different stages will continue as hitherto. About Credit Card Fraud- Introduction of credit card fraud http://www. seminarprojects. com/Thread-credit-card-fraud-detection-using-hidden-markov-models–5664#ixzz12KHf5P00
The use of credit cards has significantly better due to development in the e-commerce technology. In the Case of Credit card fraud are also increasing. Credit-card-based purchases can be categorized into two types: 1) Physical card the cardholder presents his card physically to a merchant for making a payment. An attacker has to steal the credit card to show fraud in this case. 2) Virtual card. Here, card number, expiration date, secure code or similar information is required to make the payment. The only way to detect his kind of fraud is to analyze the spending patterns. Most simple and common form of credit card fraud is identity theft.
It can be happen when some other person stolen your person informati