Credit card security: How to stay safe when sharing card details

With a growing number of transactions taking place online, credit card safety and security are essential in today’s connected world.

Online payment safety: Is it safe to pay by credit card?

Is it safe to share a credit card number and CVV (card verification value) when shopping online in Australia? Online credit card payments, when done correctly, are generally safe.

Trusted and reputable merchants or service providers are commonly required to follow strict security protocols to protect data, including the Payment Card Industry Data Security Standard (PCI DSS).²

However, you should never share sensitive information in response to unsolicited emails or on suspicious websites. Scammers often use phishing tactics to trick individuals into revealing credit card details.

Safe online practices for sharing card details

Here are some tips and strategies for credit card safety and security when shopping online:

• Shop using a secure payment gateway: Reputable retailers and brands use secure payment gateways that are PCI DSS compliant. These gateways generally employ robust encryption and security measures to protect data during transactions, so ensure the seller you’re considering buying from is using one.
• Confirm website legitimacy: Verify a website's legitimacy such as checking for reviews, a physical address, and contact information.
• Confirm website authenticity: Some scams have involved fake duplicates of real websites, tricking victims into entering their credit card information. Always navigate to websites through your own searches and never trust that a link sent to you will lead to an authentic site.
• Look for "https://": Check for "https://" in the website's URL, as well as a padlock icon in the address bar. These can indicate a secure connection, which may indicate that information is encrypted during transmission.
• Use strong, unique passwords: Create strong, unique passwords for online accounts, especially those linked to a credit card.
• Enable two-factor authentication (2FA): Whenever possible, set up 2FA for online accounts. This adds an extra layer of security by requiring individuals to enter a one-time code or use biometric verification (like fingerprint or facial recognition) in addition to a password.
• Use virtual card numbers: Some financial institutions offer virtual card numbers that can be used for one-time purchases. This helps keep people’s actual credit card numbers confidential.
• Keep software updated: Ensure a device's operating system, antivirus, and web browsers are up to date with the latest security patches to protect against vulnerabilities.
• Regularly monitor statements: Keep a close eye on credit card statements and transaction history. Report any suspicious or unauthorised charges immediately to the card issuer.

• Avoid sharing credit card information: By using payment providers like PayPal, you can remove the need to share your credit card details at all for most online purchases. Credit card details are encrypted and securely stored by the provider, so you never need to share them with sellers.

Protecting credit card information in subscription services

Ensuring credit card security also applies to recurring transactions like subscription services. Depending on how many memberships someone has, charges can quickly add up and become difficult to track. Sometimes fraudulent or unauthorised transactions may even go undetected.

Consider these strategies when managing and updating credit card information for subscription payments:

• Use a dedicated credit card: By using a dedicated credit card for subscriptions, individuals can manage and monitor payments in one place and limit damage if their financial data is compromised.
• Turn on notifications: Many subscription platforms offer auto-renewal notifications. Enable these notifications to receive alerts before a subscription renews, giving people the opportunity to review and adjust their settings.
• Set up account security: Use strong passwords for subscription accounts. Enable two-factor authentication (2FA) if available.
• Monitor statements: Regularly check credit card statements for subscription charges. Report any unauthorised or suspicious transactions to the credit card issuer and subscription service.
• Use payment apps: Some payment apps, like PayPal’s, allow individuals to manage and monitor their subscriptions in one place.
• Beware of free trials: When signing up for free trials, be cautious and read the terms and conditions carefully. Some trials automatically convert to paid subscriptions if not cancelled in time.

Guarding against credit card fraud

There are several tactics individuals can use to help identify common credit card fraud red flags. Here are some examples of potential credit card fraud:

• Unfamiliar or unauthorised transactions on a person’s credit card statement.
• Unsolicited emails or phone calls requesting credit card information or claiming to be from a bank or a legitimate institution.
• An alert for a card-not-present transaction that a cardholder did not initiate.