Several dismantlers have warned of a spate of attempted scams using stolen credit cards. It appears that people will call and request high value items for delivery by courier. They will give what appear to be valid credit card details over the phone and the transaction will process through the credit card system.

It might then be several months later that the credit card company will contact the selling company saying that they are withholding payment because the card used was stolen or cloned.

Roy Nixon of Nixon Car Spares in Co. Fermanagh says, “It might be several weeks and even months before the fraudulent transaction comes to light. You think you have a legitimate sale because the credit card processes OK, but you have no comeback when the card company says the card was stolen.” Roy also points out that even in cases where you think a purchase might be suspicious there is not always a simple way of checking if the card is stolen or asking the credit card company to get confirmation from the card owner that the purchase is indeed legitimate.

Roy quotes an example recently where a man ordered a turbo and later an engine for a vehicle, requesting delivery by courier. Although the first payment processed, Roy became suspicious that the orders could be fraudulent. He says “I thought something was not right and enquires with the courier firm that delivered the turbo found that the man placing the order had arranged to meet the courier on route rather than have it delivered to the given address. This sent alarm bells ringing.”

Credit cards will process until such time as they are reported stolen, which gives fraudsters a good window of opportunity to use them. Also in the case of cloned cards, criminals will often be able to use the cards until the original card holders notice fraudulent transactions on their statements. Credit card theft and cloning is not just an opportunistic crime and often involves sophisticated international gangs. Fraudulent transactions can therefore be difficult to spot.

At present banks advise that the best precaution to protect yourself as a seller is to ask the buyer for the credit card registered address. This can be then be checked with the bank to ensure it matches the one file. Fraudulent buyers will often be put off a transation by this question.

Roy Nixon says, “This type of crime can actually put you off making credit card sales, however, we have found that with a few basic precautions we can generally stay safe.” Roy says he will now only dispatch parts to a confirmed address of a reputable business and he also insists that customers must provide a valid land line telephone number which he will always check.”

All dismantlers are asked to be extra vigilant about credit card transactions and Autobiz is keen to hear from all businesses about fraudulent transaction and suspicions credit card activity.