Credit card scam hurts newsagents

The credit card scam which I blogged about on July 9, has hit more newsagents.  A couple of days ago, a newsagency in a Melbourne bayside suburb was hit and is facing a loss of more than $2,000.

There scam is the same – they use credit card numbers to buy mobile phone recharge and to load prepaid debit cards.  They say they have forgotten their card but have the number in their mobile phone.  They usually purchase multiple mobile recharge coupons.  In the most recent case they said it was for employee rewards.

If someone is buying many, more than three, mobile recharge vouchers at once, be suspicious.

Here is a repeat of the advice I blogged two weeks ago:

1. Only allow credit and debit card transactions where the customer has the physical card.
2. If you are unsure of a cardholder, ask for photo ID, say it is store policy.  This is common in the US now.
3. Never allow a customer to enter any numbers or touch any buttons on your eftpos terminal except for entering their pin number.
4. Do not permit the loading of credit to a prepaid debit card from a credit card.
5. Get all your employees together and warn them, run them through the proper handling of eftpos transactions.

You could also:

1. Place a height guide by the door so you get this right when you call the police.
2. Use a security system and have a monitor in store, behind the counter so that all customers can see that they are being recorded.
3. Bring in an expert to provide security training for your employees.

The incident last week involved a male.  Another, a couple of months ago involved a female.

These people are exceptionally good.