Credit Card Thefts on the Upswing

Police are advising people to watch your wallet this holiday season. They are reporting a significant increase in credit card theft. Thieves tend to go after distracted customers, but experts say there are some things you can do to protect yourself.

Don't take your credit card out until it's time to pay. -Be aware camera phones can capture your information. But most importantly, watch your belongings at all times. >>CHIEF TED KOHUTH: 547 "When we think of all the distractions out there, the shopping lists and getting the best deal and running from here to there but all the same we need to stay focused and reduce our vulnerability." >> If your credit cards are stolen contact the police and your financial institution immediately.

An Ill Wind for Credit Card Companies

By Elizabeth Warren

Is the wind blowing from a different direction on credit card issues? Today the Center for American Progress is hosting a program called “Who’s in Charge?” CAP doesn’t spend much time on lost causes; this is their second major event on consumer debt in less than six months.

The CAP event showcases strong, new voices in the consumer credit fights. CAP is also using the event to unveil an innovative idea to make credit safer for consumers using rating systems modeled on car safety systems. The people are terrific and the policy proposal is interesting, but what interests me most is whether middle class economic issues are beginning to take hold on the political agenda. Today a powerful senator, backed up by a professor and a GAO official presenting two pieces of solid research on credit cards, will be turning up the heat under the credit card issuers. A single conference won't spell the end of credit card influence, but it may signal that the climate for the card issues will not be so favorable in the future.

Over the past twenty-five years, the credit card industry has grown like the blob, sucking up money from working families across the country. New tricks, traps and tickles have left millions of families mired in debts they may never pay off. Even as the industry "innovates" with cross-default clauses, double-cycle billing, multiple low-balance cards, and a dozen other practices designed to deceive, there hasn't been a whiff of new regulation. But some new players are taking the field.

Carl Levin, D-MI, the senator who will be kicking off the CAP event, has a perfect background for wrestling with the credit card companies. He jumped into the Enron mess and led efforts to control money laundering, showing that he isn’t buffaloed by complex financial issues. He’s launched investigations on gas price manipulation, suggesting an interest in consumer issues. He also led the effort to ban Senators’ acceptance of gifts and honoraria, which may have given him a little practice in dealing with his colleagues who take money from the groups under investigation. Now he’s sinking his teeth into consumer credit issues.

The CAP program will be long on solid research. Ronald Mann, Professor of Law at the University of Texas, will be talking about his new book, Charging Ahead! Mann pulls together comparative data on credit card and other payment use around the globe, pushing on the US policies that have caused Americans to sink much deeper into debt than their counterparts in Europe, Japan and Australia.

Adding to the hard data at the event will be David G. Wood, Director, Financial Markets and Community Investment of the GAO. Mr. Wood is responsible for a powerful GAO report that shows that most consumers don’t understand the terms of the credit cards. The book lays a solid foundation for better regulation of credit card disclosures.

CAP also adds its own proposal to the mix, initiating a discussion about whether evaluations of credit card safety would have the same benefits that evaluation of car safety produced.

Visa named 'World's Leading Credit Card'

For the ninth consecutive year, the World Travel Awards has named Visa International the "World's Leading Credit Card."

Over two million votes were cast during a five-month independent survey period and the fact that no-one has been able to knock Visa International off the top spot for nearly a decade, is testament that it has a credit card offering that is unbeatable, said an official spokesman.

This achievement is attributed to Visa International's continued focus, its commitment to excellence, the value-added services it provides for travellers, and its innovative online travel portal.

"Visa International is delighted to receive this award on behalf of our member banks. The firm continues to grow with the travel industry. It achieves its success by providing merchants with access to millions of Visa cardholders as well as by providing cardholders with unsurpassed acceptance worldwide along with travel and entertainment programmes linked to Visa payment cards," said executive vice-president for global marketing partnerships and sponsorships at Visa International Top Shepard.

The online voting took place throughout the year 2006 at www.worldtravelawards.com. This website enabled travel agents and professionals in over 200 countries worldwide to let the world know who they thought was the best in the travel industry.TradeArabia News Service - Amman

3 sought in credit-card thefts

Seminole County sheriff's investigators are looking for three women they think stole credit cards from purses in a Sanford area real-estate office while an employee was showing some of the women a model home.

The thefts occurred this month at KB Homes on Habitat Way. They were not discovered until the next day when the victims were contacted by their credit-card companies about the number of charges being made on their cards. The cards used were at stores throughout Seminole County.

Warrants have been issued for the arrest of Winshenia Renee Lamarr and Denise Blanche Fuller, both 24 and from the Sanford area, Seminole County sheriff's spokeswoman Carrie Hoeppner said. Investigators still are trying to identify the third suspect.

A similar theft occurred at a company office in Lakeland about two weeks later, and a worker at a Poinciana office ordered some women to leave after she became suspicious, said KB Homes spokeswoman Cara Kane. In both instances, the women matched the description of those involved in the Sanford theft, she said.

Denise-Marie Balona, Rene Stutzman, Rich McKay and Gary Taylor of the Sentinel staff contributed to this report.

Police: Woman used stolen credit card

A Utica resident was arrested last week after she allegedly used a stolen credit card, town police said Tuesday.

Stacey L. Miller, 22, of Seward Avenue in Utica, was charged with 11 counts of second-degree forgery, one count of fourth-degree criminal possession of stolen property and one count of petit larceny, police said.

Police said an investigation showed Miller used the stolen credit card at the Utica and New Hartford Wal-Marts between Sept. 16 and Sept. 18.

Police said Miller also used the card at area restaurants.

Police said they started an investigation after the owner of the card found charges on his bill statement that he did not recognize.

Miller was released on an appearance ticket, police said, and she will return to New Hartford Town Court at a later date, police said.

Credit-card top rate raised

Maximum interest rates for new credit card users will increase to 20% per year from 18% starting next month, the Bank of Thailand announced yesterday. Existing cardholders with outstanding balances will be given a seven-month adjustment period, with the new rate taking effect on June 30. New outstanding debt, however, can be charged at the new rate starting next month.

Krirk Vanikkul, an assistant central bank governor for financial institutions policy, said the seven-month adjustment period was to ease the burden cardholders would face, particularly those who took out cards before April 2004.

Cardholders before 2004 were granted until April 2007 before facing an increase in minimum monthly payments to 10% from 5% now. Cardholders after 2004 already face the higher rule.Mr Krirk said that to minimise the impact on older cardholders from higher minimum payments, as well as higher interest rates, the central bank decided to give borrowers additional time to clear existing debts before the new rate takes effect.

''We expect old debt to decrease significantly after six months, particularly once the 10% minimum monthly payment rule takes effect,'' he said.

Mr Krirk noted that some banks may not raise rates for new spending despite the higher rate ceiling. ''If the banks can bear with the higher costs, they might not raise rates. We will leave this to market competition.''

Other banks could face technical challenges in calculating multiple rates for new outstanding credit versus debt outstanding before Dec 1, and thus decide to delay a rate hike until next June.

The adjustment followed a petition from card issuers earlier this year seeking permission to raise rates to reflect higher interest expenses in the market.

Mr Krirk defended the central bank's move even as interest rates have stabilised and are expected to fall in 2007.

''Issuers requested that the maximum rate be raised at a time when the 14-day repurchase rate stood at 4.5%. The rate now has increased to 5%, compared with just 2% in 2002,'' he said.

The 18% maximum ceiling was first imposed in 2003.

''Thailand ranks among the countries with the lowest interest rates for credit cards,'' he said. ''Japan, for instance, has a ceiling of 29%, and most range between 20% and 36% per year.''

The new rate rules were published in the Royal Gazette last Friday.

The central bank also eased rules on card applications, with issuers allowed to evaluate the financial position of companies rather than individuals for corporate cards. Applicants with investments in debt instruments issued by banks, government agencies and state enterprises can also be considered in setting credit lines.

Mr Krirk said the central bank was not considering changing the rate ceiling for unsecured personal loans, now set at 28%.

Overall asset quality for credit card receivables also remains strong, with non-performing loans at just 3% of total loans. Outstanding credit card loans stand at 20% of total transaction volume, a ratio unchanged from 2004 and half that reported in 2002.

Growth of non-bank consumer finance issuers has slowed in recent quarters. But banks had seen growth increase to about 10% compared with 7% last year.

Kattaya Indaravijaya, a first senior vice-president at Kasikornbank, said the new rules would help ease margin pressure on the bank, which currently had funding costs of 5%.

She said Kbank planned to increase minimum monthly payment requirements gradually from 5% now to 6% in January to 10% in April.

''The new rules will affect only certain cardholders. Some could face a double burden of higher monthly payments and higher interest rates,'' Mrs Kattaya said.

Thawatchai Thitisakdiskul, a senior executive vice-president at Krungthai Card, said funding costs at the country's largest card issuer had increased to 6% now from 2% several years ago.

''But only 40% to 50% of card users run credit balances from month to month, so the measures won't affect everyone,'' he added.

By PARISTA YUTHAMANOP & DARANA CHUDASRI

Credit cards can lead to a lot of debt

Spencer Jones has had a credit card since he was 18 years old.

But he hardly ever uses it.

“I’m afraid to because I don’t want to run the balance up,” said Jones, a Kentwood sophomore.

Not enough people utilize Jones’ philosophy, said Charles Walmsley, financial planner and finance and law professor.

College students often run into problems with credit card debt because they use them for everyday expenses, Walmsley said.

“The biggest mistake college students make when it comes to credit cards is living beyond their means,” he said. “They tend to spend more money than they have.”

The average college freshman carries $1,500 worth of credit card debt, according to a 2005 study by student loan company Nellie Mae, and 56 percent of undergraduates have obtained their first credit card by the age of 18.

“Credit cards are very easy to acquire for college students, making credit card debt prevalent for them,” Walmsley said. “Credit card companies will relax credit standards to take on more customers at a higher rate, like college students.”

For complete story http://www.cm-life.com/vnews/display.v/ART/2006/11/27/456a6439d2d3d

How to survive Christmas credit card spending

By Ariane Buteux

Around this time of year, letterboxes are likely to become inundated with mail from major credit card companies offering spectacular introductionary deals or exciting freebie offers, with recent research suggesting that between October and December 2006 the average UK adult will charge £1,270 to their ‘flexible friend’.

Rather than getting seduced by fancy marketing ploys and trapping yourself in a web of debt, if you’re pretty sure you will be spending on credit this Christmas, make sure you don’t grab at the first card available and instead really investigate what’s about. Depending on the reasons for adding another bit of plastic to you wallet, spending that little extra can actually go a lot further than you might think.

Compare credit cards

Transfer your existing balance

If you already have a balance amount running into the hundreds on one or more cards, you could save yourself money by switching them all to one single one which offers a much more attractive interest rate.

Cards like Marks & Spencers’ &More card and Sainsbury’s Bank Platinum card offer very low interest rates (3.9 per cent and 5.94 per cent respectively) for the life of the balance as well as a fee free transfer over to them. The only thing to bear in mind with these type of cards is that the typical APR on any purchases you make on top of this is 15 or 16 per cent, roughly triple the special balance transfer rate.

Get the most from your credit card

If transferring money to a card with a ‘life-long’ low interest rate on the balance and a fairly low interest rate on the purchases you make, make sure you don’t get caught by excessive transfer fees. Lloyds TSB’s Advance card offers a very competitive 11.90 per cent APR on purchases and 5.5 per cent on balance transfers, but it will cost you 2.5 per cent of the amount you want to transfer over when you come to do so.

Interest free deals

If you are looking to buy your presents on credit before Christmas but intend to clear the balance once you get your wages at the end of the month, then it’s definitely worth making the most of an interest-free offer.

Cards from Sainsbury’s, M&S, Halifax, Mint, Nationwide, NatWest, and RBS all offer 0 per cent interest on purchases for between 9-12 months depending on the card, but bear in mind that the longer the initial 0 per cent period, the higher the standard fall back interest rate tends to be.

Find a best-buy credit card

The Bank of Scotland One and the Co-operative Bank Clear cards both offer a 59 day interest-free period which will take you right through December and well into January, and if you go over this then you will only accrue 9.90 per cent interest on your purchases.

Store cards

The same principles apply to store cards. They typically offer a 56 day interest-free period and an attractive introductionary discount on your purchases of around 10 or 15 per cent which can be really worthwhile, but almost all have a crippling APR in the region of 25 – 30 per cent so be wise and pay it off during the interest free period.

Some supermarkets and larger retailers also offer own brand credit cards which can be useful to make the most of their reward schemes – a good example of this being Sainsbury’s. The supermarket is known for it’s Nectar Reward Card but they also offer a range of Sainsbury’s credit cards, allowing customers to accrue points to then spend on their shopping.

Get the best from your bonus scheme

However a new type of credit card has been launched by American Express and provides Sainsbury’s customers with a new way to save Nectar points by spending money on their everyday shopping. It gives customers the opportunity to earn up to 4 loyalty points for every £1 spent at participating stores which can then be cashed in for luxury treats or money off shopping as part of their Nectar reward scheme.

Get a card with cashback

The final option for credit-happy big spenders this Christmas is a card with a cashback facility. These are a really good option if you are a stickler for paying your balance off in full each month, as you can dodge harsh interest rates while getting something back in return. Companies like Egg, Morgan Stanley and American Express all offer cards with very competitive rates, giving you a rebate of anything up to 3 per cent cashback on the purchases you make with it.

As the credit market is increasingly competitive towards the end of the year when us Brits struggle to cover the cost of Christmas, some cards combine the advantages outlined above so you don’t have to take out 4 different credit cards to address your different financial needs, but still get a fantastic deal to suit you.

One big thing to remember however is that, when committing to a card with free balance transfers, low interest deals or an interest-free period, make sure you are aware of the standard APR. This means that when the special interest-free periods finish or if you spend over a particular limit, you don’t end up feeling the sting in the tail if you have balance left on it.

Most importantly, resist using it to withdraw cash from an ATM as it will cost you an average of £2.50 every time you do so. This means just 4 trips to the cashpoint will cost you a tenner, with the apparent ease of getting ‘free money’ causing your well-planned finances to spiral out of control.

Surprises in your credit card bill

By Carl Levin

WASHINGTON — When you get your credit card bill this month, take a good look at the fine print. Are there any charges or fees you don’t recognize? Is it difficult to find details on what you’re being charged for and why? If so, you are not alone. Credit card companies are making more and more of their money off of hidden and unfair fees, complex interest charges and poor disclosure practices that take advantage of working families.

Millions of Americans use their credit cards every day to purchase essentials like groceries and gas. In fact, Americans used nearly 700 million credit cards last year to purchase more than $1.8 trillion in goods and services, a 25-fold increase since 1980. Credit cards make it easier to purchase the things we need, but there are also traps that can be difficult to avoid.,/p>

Not surprisingly, this increased use of credit cards has put many families in debt. The Federal Reserve estimates that the average American household owed about $5,100 in credit card debt in 2004. I often hear from constituents that they are having a hard time figuring out their credit card bill and climbing out of that debt.

With that in mind, I asked the Government Accountability Office (GAO), the investigative arm of Congress, to look into the billing practices of credit card companies. The GAO report helped to shine a light on several abusive or confusing practices that are hurting Americans’ efforts to pay off debt and ought to be stopped as a matter of simple fairness.

First, the practice of so-called “double-cycle” billing is particularly galling. With double-cycle billing, practiced by a third of the credit card issuers studied by the GAO, consumers are charged interest on debt that has already been repaid. As an example, imagine a cardholder who begins a billing cycle with a zero balance, charges $500 on his or her credit card and makes an on-time payment of $450. Under double-cycle billing, he or she would be charged interest on the full $500, rather than on only the $50 that is still owed. This is a dishonest way to make a few bucks at the expense of a responsible and unwitting consumer.

Second, the GAO found that the account information provided to consumers is often inadequate or confusing. Current fee disclosures are difficult to understand and poorly organized, with much of the important information buried deep in the fine print, and it is often unclear when or under what circumstances late fees or penalty interest will be charged.

Third, some fees are plain unfair. For instance, some card issuers charge a fee of $5 to $15 to make an on-time payment by telephone without any mention of this fee in the account materials. This means that some families are being charged $15 to pay their bill over the phone before the due date. It is inexcusable to charge families a fee to pay their bill on time.

Finally, penalty interest rates and fees are higher now than they ever have been. In 2005, the average fee was $34 for a late payment and $31 for going over a credit limit. Both fees have more than doubled from $13 in 1995. In addition, interest rates for those who pay late or exceed their credit limit can reach over 30 percent. These are hefty penalties that can take a real bite out of the family budget and hinder a good faith effort to pay off debt.

It is outrageous for credit card companies to use hidden fees, penalty interest charges and unfair practices to exploit consumers. American families simply cannot afford to hire a lawyer to decipher their credit card statements, and they shouldn’t have to. If credit card companies do not take the initiative to clean up their act, I will introduce legislation to ban these abuses.

Story source Surprises in your credit card bill

Customer’s anger over credit card

A TWYFORD man was left furious when supermarket staff destroyed his credit card after he left it in a store.

Steve Harris, 58, went shopping at Sainsbury's in Badger Farm late on Wednesday evening, but noticed his credit card was missing at lunchtime the next day, He called the store to find out whether it had been found.

But the journalist and importer of fine wines said he was angry to be told that his card had been destroyed for security reasons.

Sainsbury's store policy is to destroy any credit or debit cards found in store after 24 hours, but in Mr Harris' case, it was destroyed much earlier.

Mr Harris said: "I find this quite mindless, not least because I am now being put to a lot of inconvenience.

"We're very loyal customers of Sainsbury's, so it's a poor reward to our loyalty."

In a letter to the supermarket's head office, he complained of the "ill thought-out policy".

He said he would check to see if other supermarkets did the same, and if not, he would take his custom elsewhere.

Mr Harris spent the rest of the week without a credit card, although a replacement arrived a few days later.

A spokesman for Sainsbury's, said: "The company policy is we will keep any card we find for 24 hours and destroy it after that. In this case it seems it was destroyed before that.

"We're sorry he was upset, but it was as a precaution for him."

Twentysomethings battle debt

Nearly two-thirds carry some debt

Thirty years ago, the "generation gap" reflected the cultural gulf between World War II-era parents and their children. Parents then just didn't get sex, drugs and rock 'n' roll.

Today, the gap is about debt.

This generation of twentysomethings is straining under the weight of college loans and other debt, a crushing load that separates it from every previous generation.

Nearly two-thirds carry some debt, and those with debt have taken on more in the past five years, according to an analysis of the credit records of 3 million twentysomethings that Experian, the credit-reporting agency, did for USA Today. Their late payments are rising, and they're more likely to be late than other Americans are.

Nearly half of twentysomethings have stopped paying a debt, forcing lenders to "charge off" the debt and sell it to a collection agency, or had cars repossessed or sought bankruptcy protection.

For complete story visit Twentysomethings battle debt

Credit Card Alarm: for slow consumers everywhere

Are you an idiot? Sure, you might make excuses for your blatant lack of acumen, claiming that you're "absent minded" or "flakey," but we all know what that means. You're dumb. Stupid. Not the sharpest arrow in the quiver. But hey, don't despair; technology is here to pick up where Mother Nature so cruelly left off. Like that problem you have of always leaving your debit card in the ATM, even when you're just supposed to slide it in and out quickly. You might have gotten flustered trying to remember your four-digit PIN (here's a hint: it's your birthday), but the Credit Card Alarm is paying attention for you. Once your card is out of it for a few moments, it sounds the alarm to remind you that you really should be taking that connection to your bank account with you. Sure, the alarm is pretty simple and its $55 price tag is kind of ridiculous, but the price is less ridiculous than you leaving your credit card somewhere every couple of weeks, you big dummy. — Adam Frucci

Collegians and Credit Card Debt

Those offers you get in college sound great, but you could end up paying for them for a long time.

If you have children nearing college age, how can you effectively warn them about the dangers of credit card debt? Let's review a few things you might want to mention.

Your kids already know college can be great. They won't have parents nagging them with curfews. They can eat ice cream for breakfast and popcorn for dinner if they want. And America's banks keep offering them credit cards!

Now, fast-forward your kids to their graduation. They've racked up $5,000 in debt on one of those credit cards. Of course, they aren't worried -- their minimum monthly payment is only 2% of the balance, or just $100 per month. But have them consider a few things: When they signed up for the card, it offered a low 6.9% interest rate. But did they notice that the rate swelled to 18% after six months? Sneaky devils, those card companies.

Now, even if they don't accumulate any more debt on that card, it can take more than 40 years to pay off the balance if they make only the minimum payment. Holy guacamole! All told, they will have paid nearly $18,000 just for the privilege of charging $5,000. No wonder the banks keep sending them unsolicited credit card applications.

Here's another danger. Let's say your kids are fired up to invest in stocks, but they still owe that $5,000 and are paying 18% annual interest on it. If a $5,000 stock investment nets them an 11% return, they're still losing money -- 11% in, 18% out. Investing doesn't work well if you're deep in debt at high interest rates.

Don't worry, though. We're not going to tell anyone to use credit cards only as shoehorns, eye patches, and after-dinner snacks. It's OK to have a credit card. Just make sure (and this goes for everyone) that you're charging only what you can afford to pay and that you pay the bills off in full each month. Choose your cards carefully. Use an electron microscope to read all of the fine print. Look for cards that offer a low interest rate, no annual fee, no unreasonable penalties, and a protected, interest-free grace period. Then, when the bill arrives, take five minutes and scrutinize your statement for any mysterious charges.

Finally, if you find it difficult to manage a revolving-debt card, consider getting the type of charge card that requires full payment each month -- like an old-fashioned American Express card.

The typical American household owes thousands of dollars on credit cards. Be above average, college-bound Fools. Graduate without credit card debt.

You can learn much more about the surprisingly interesting credit card industry by taking a peek at our Credit Center, which also features tips on getting out of debt, along with guidance on how to manage your credit effectively. Really. I mean it. There's some great stuff in our Credit Center, and it's all free reading.

By Motley Fool Staff

Credit card Cash costly at Christmas

With the peak shopping season on our doorstep, it's not unusual for many Christmas shoppers to turn to their credit cards to get some extra cash for that perfect present. But getting cash this way could cause long term financial pain, warns MoneyExpert.com. The average annual percentage rate (APR) on cash withdrawals is 21.27 per cent, making this a costly way to boost the Christmas coffers.

Only 11 providers charge less than 15 per cent for cash withdrawals. Even for those who pay off the balance, the costs are still high, with the charge for withdrawals at an average of £2.60 or 2.46 per cent for larger sums. That means you pay £2.60 up front plus £21.82 in interest for the first year. Even for small sums the fee is the same, so a £20 withdrawal could still cost you 13 pence for the withdrawal.

So what's the best move for shop-happy consumers? Whatever they do, they shouldn't withdraw cash with their credit cards unless it's a real emergency. Instead, debit cards are best as most banks and building societies don't charge customers to withdraw their own cash.

Credit cards, on the other hand, are an expensive form of borrowing, with most providers charging a premium. In addition, because of the way debts are repaid on credit cards (the most expensive paid off first), you could be paying for that Christmas shopping cash for a long, long time.

APACS research suggests that Brits are using their credit cards to withdraw £750 million a month from cash machines. That added up to £9.2 billion last year, with another £1 billion withdrawn abroad. That could cost them dear once payback time comes around.

Instead, consumers should take MoneyExpert's advice that 'there's never a good time to withdraw cash with your plastic' unless it's a real emergency, in which case you may not worry about the cost.

MoneyExpert.com - Credit card users given tips to fight fraud

Consumers who use debit or credit cards have been alerted to a number of tips from the British Bankers' Association (BBA) to help tackle financial fraud.

The BBA states that although users have a "low" chance of being victims of card fraud, many people are not taking sufficient care to ensure that their personal details are kept safe.

Some tips offered by the financial body include shielding your hand when typing in a pin number, never keeping passwords or pin numbers written down and making sure there is adequate security software installed on a computer if you plan to shop online.

"The banks have a duty to protect their customers…but people have to take responsibility for their own security too," said Angela Knight, chief executive designate of the BBA.

In related news, Apacs has found that overall levels of card fraud have fallen since the chip and pin system was implemented throughout the UK.

Mark Bowerman, spokesman for the UK payments association, said: "It's definitely had a positive impact.

"Our cards are definitely safer than they were pre-chip and pin."

BBA offers tips to beat card fraud

The British Bankers' Association (BBA) has said that customers and banks need to "work together to fight financial fraud" and offered some guidance to consumers to help them avoid being a victim of crime.

Firstly, customers should make sure they do not let their cards or card details out of their sight when making a transaction.

All documents or receipts that contain personal information should be destroyed and details such as pin codes and login details should not be written down.

Customers should not reply to unsolicited emails that claim to be from a bank or the police and ask for bank details. Personal information should only be supplied over the phone if the cardholder has instigated the call.

It is important to ensure security when using a computer, which should have anti-virus software and a firewall installed. Details should only be entered on secure websites which display a padlock or unbroken key symbol at the foot of the page.

Angela Knight, chief executive designate of the BBA, said: "Everyone has a responsibility to fight financial fraud. The banks have a duty to protect their customers and to keep information safe. They are good at it but isolated incidents can crop up.

"These are fully investigated and procedures changed where necessary. But people have to take responsibility for their own security too."

The BBA stressed that, while there are some risks, cards are still safer than cash, as plastic can be frozen if it is lost or stolen. If a purse or wallet with cash in it goes missing, however, there is a high chance that the money inside will never be seen again.