Fraud hijack | How I fell victim to credit card fraud and what you can learn from my experience

By Nathan Vincent

Oct 7, 2024

While on holiday in Adelaide, a few days in, my wife noticed unusual transactions on our secondary bank account. The first one was a charge of about $140 from a burger place, which seemed odd, but we decided not to let it disrupt our trip. However, the next day, two more transactions appeared — one from Coles and another from a different store. At first, we thought my wife’s card, which we were using in South Australia, had been compromised, likely by a card skimmer. We contacted the bank and were surprised to find out that it was actually my card — the one I rarely use — that had been compromised. We immediately cancelled the card, and although three more attempts were made later that day, they were successfully blocked. Unfortunately, I had fallen victim to credit card fraud.

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My experience with the bank

I’ve heard horror stories about how some banks handle fraud cases, but my experience was quite the opposite. The bank was responsive, sympathetic and eager to help. They quickly confirmed we were indeed in South Australia based on our legitimate transactions. When I reflected on the last time I had used the card, it had been nearly six months earlier for an online purchase. The bank asked several questions, including whether I had signed up for any new online services. I hadn’t, as I typically use PayPal for most online transactions. They also asked if I had used the card in Melbourne within the past month, and again, the answer was no. We filed a dispute to recover the funds, and while it’s still being processed at the time of writing, the bank assured us that because we acted quickly, there should be no issues getting the money back.

How was I compromised?

The bank couldn’t confirm whether the fraudulent transactions were made with a physical card, over the phone or online at the time of our call. I still had the physical card in my possession, which made me think a card skimmer attack was unlikely — especially since I hadn’t used the card in months.

Card skimming involves criminals stealing card information without you realising it. They place a small device called a skimmer on ATMs, petrol station pumps or other payment machines. When you swipe your card, the skimmer captures the data from the magnetic strip, which thieves can then use to create a cloned card for purchases or withdrawals.

To protect yourself, it’s important to inspect card readers for anything unusual, cover your hand when entering your PIN and use machines in well-lit, busy areas. Whenever possible, use chip-enabled cards instead of swiping, as they are much harder to clone. Regularly monitor your bank statements for suspicious activity, and report any irregularities to your bank immediately.

Given that I hadn’t physically used the card in a long time, I suspect I might have been part of an online breach that hasn’t been reported yet. Although I rarely use this card, I have used it online in the past, so I’ll need to monitor the situation closely in the coming months.

The lesson

Even when you’re cautious, like I try to be, you can still fall victim to fraud. If it hadn’t been for my wife noticing the charges through the banking app on her phone, we might have lost a significant amount of money and been too late to take action. Unfortunately, if you don’t catch these things quickly, your account can be drained in a matter of days. I’ve since installed the banking app on my phone as well, so I can keep an eye on our transactions in real-time.

If you’ve had a similar experience, I’d love to hear from you. Sharing our stories can help us all learn from each other’s experiences. As always, if you enjoyed this post or have any story suggestions, feel free to reach out to me at askatech@mmg.com.au