Credit cards offer a lot of protections against fraudulent activity, but it’s important you know the risks as well.

Before you start using your credit card to make purchases, let’s review some tips about how to leverage your card’s convenience, how to use your credit card to build and maintain a strong credit score, and how to protect yourself against fraud.

As scammers become more sophisticated, keeping your money safe will be a continuous priority for you. 

Here are our top tips: 

Spend what you can afford and monitor your balance

Credit cards have plenty of advantages. They’re convenient, they offer fraud protection, and they let you make purchases instantly. Some credit cards even let you collect rewards or points that you can redeem for cash back or gifts. 

As you begin using your card, track your balance as this is the best way to quickly determine fraudulent activity and monitor your budget. 

Always aim to at least pay off your minimum payment each month to achieve maximum benefits and rewards from your card. 

Remember that your credit score is an important number

A credit score is how financial institutions evaluate your ability to manage debt. You need a good credit score to get a loan for a vehicle or a mortgage for a home. A poor credit score indicates to lenders that you’re a high-risk borrower, meaning they’ll be less likely to lend you money or will offer only very high interest rates.

You can build a good credit score by ensuring you make the minimum payment on time. 

Use secure sites to shop online and avoid public WiFi 

One of the biggest advantages of a credit card is the ability to make online purchases for things like flights and concert tickets. But be aware of who you are giving your credit card information to. Only give it to companies you trust. If it’s a website you haven’t used before—such as a new business—do your research to determine if it is a credible and secure site. 

To be a secure website, it should have https:// ahead of the URL and a lock icon in the address bar. You can protect yourself further by keeping your computer firewall, anti-virus and anti-spyware systems up to date.

Don’t forget: 

• Never give out credit card information (including photos of your credit card) over text or email.
• Avoid using public WiFi and computers to do your banking or online shopping. If possible, try to use a VPN when using public WiFi. 

Review your credit card transactions and dispose of paper documents regularly 

Check your mobile app or log onto online banking regularly to spot any unfamiliar transactions that could be fraud—especially if the vendor listed isn’t one you recognize. Verify the amount charged to your card matches the receipt amount that you paid.

If you receive paper statements in the mail or print them at home, stealing and using your credit card information can be as simple as finding old credit card statements in your garbage. 

To help avoid this, shred any documents that contain personal banking information, including all credit card statements. This will discourage any fraudsters who might be going through your garbage.

Always remember to: 

• Shred receipts and credit card statements when you no longer need them.
• Shred unused credit card solicitations (when your name appears on lists that credit card companies purchase from credit reporting agencies. These lists contain the names of people that qualify for a credit card based on criteria pre-established by the credit card company.)

Be mindful when you’re out in public

When you enter your PIN to pay for a purchase, cover the keypad with your hand or body. Keep your credit card in sight at all times. 

If you're paying at a credit card terminal with your physical card and something feels suspicious, trust your gut. Contact the business’ head office and your credit card company immediately. Devices known as card skimmers can be hidden and used to copy the information in the magnetic strip of your card.

Card skimmers are commonly found at gas pumps or ATMs. If something doesn’t feel quite right, you can always try another machine.

If you lose your credit card, let your bank know immediately. By telling the bank, they can cancel that card sooner and you’ll ideally reduce the risk of someone fraudulently charging purchases to your account. Reporting a lost card early also reduces your chances of disputing false charges down the road.

Avoid clicking on unexpected emails claiming to be from your bank or credit card company

Scammers are getting crafty with their emails. They can even replicate a bank or company’s unique branding. Even if the email may look and sound authentic, don’t open it if it’s not an email you typically receive. 

These fraudulent emails are known as phishing scams. 

If you do click on an email that doesn’t seem quite right—hint: it may include spelling and grammatical errors—close it immediately and do not click on any links within the email or disclose any personal information. If you are ever unsure, contact your bank directly (using the number on the back of your credit card) to confirm if the communication was legitimate. 

Be cautious if someone asks for your credit card information 

You might get a call from a company that says it urgently needs you to share your confidential information over the phone. If they don’t reach you directly, they might leave a message. This is likely a scam. 

Even if the voicemail says you must return their call as soon as possible, you don’t have to return the call if you don’t feel comfortable. If the caller insists that the matter is urgent, don’t feel pressured.

If the situation is genuine and you must make a payment, you can do that in person at an ATB branch or ATB Personal online banking. 

Don’t forget: 

• Only give out your personal information on phone calls initiated by you.
• When making phone calls where you have to give out your personal information make sure you are not in a place where someone may overhear you share your credit card information.

Visit our content hub to learn more about how to protect your personal and business finances from fraud.