Megan Morise was watching her bank account online and waiting for a paycheck to be deposited this summer when she noticed unusual charges to her statement. The charges ranged from $60 to $80 at Wal-Mart and various gas stations. But that was not the strange part. Morise noticed that the debit card charges occurred in Pennsylvania. Morise, psychology senior, immediately called Chase Bank to cancel her debit card. She knew something was wrong because she had not been to Pennsylvania, and she still had her card. Morise was not alone in her dilemma. Debit cards are growing in popularity as a method of payment. “Annual debit card transactions at the point of sale have been growing at over 20 percent per year since 1996 and now exceed credit card transactions,” according to a report from the Federal Reserve. As a result, debit card fraud is growing as well. New technology allows scammers to steal a debit card number from just a swipe of the card. Electronic devices known as “skimmers” can be used to obtain card information when it is out of sight, commonly in restaurants. “It really wasn’t that much money. If I hadn’t been checking that closely, I wouldn’t have noticed,” Morise said. Greg Hassell, spokesman for Chase Regional Media Relations, said checking your balance regularly online is a good practice. “It really helps you keep up with what’s happening there, and if you see any problems, it’s important to report them quickly,” Hassell said. Chase Bank has a zero liability policy for account holders who quickly report discrepancies with debit card charges. But, under federal law, some banks can hold debit card users liable for up to $500 in fraudulent charges. After a few weeks, Morise was reimbursed for the thief’s charges. “It was a pain to go through, but Chase took care of everything,” Morise said. Morise’s number may not have been stolen during a transaction. She said the bank told her the charges were made with a fake card, and the thieves probably just made up a number that happened to be real. “It sounded weird, but I was aggravated enough at the time that I didn’t really care how they did it. I just wanted it stopped,” Morise said. While Morise had used her card online before, the bank told her that probably was not how her number was stolen. Morise said she does not shop online often, and when she does, she usually uses only Amazon.com. She was not required to file a police report because her actual card was not stolen. Representatives at the bank told her there was nothing they could do to apprehend the person who stole her number. “I couldn’t pinpoint anything that actually caused my number to be stolen, so I didn’t know what to do differently,” Morise said. Morise said she she will continue to use her card online and in restaurants, although she has learned something from the experience. “Check your balance regularly, and call your bank right away,” she said. Hassell recommends signing up for e-mail alerts for all withdrawals over a set amount. Many banks also allow account holders to request text message alerts of suspiciously high charges and withdrawals. The Federal Reserve found the highest debit card usage rates, around 60 percent, are among individuals with some college or a college degree. Thomas Domingue, general studies junior, is a server at Mellow Mushroom, a pizza restaurant just outside campus on Burbank Drive. Domingue said he often sees people pay with debit cards. “I’d say we get more people that use [debit cards] than cash, a lot more,” Domingue said. Allyson Arbo, a recent University graduate and server at Hello Sushi, said she also sees more debit cards than credit cards or cash. Arbo said people might be more likely to use cash instead of a debit card if they were aware of the security problems with cards. Domingue did not agree. “I just think it’s so convenient. I’ll keep using my card,” Domingue said. “I’m not going to change. I’ve never had fraud happen to me.” Hassell said another tip for avoiding debit card fraud include never sharing your personal identification number or card with another person.
—-Contact Emily Holden at [email protected]