When Denise George received an alert that her replacement credit card had been used before she even received it in the mail, her heart sank. She knew something was wrong. Attempting to log into her banking app, she discovered she had been locked out. Even worse, her savings account had been completely drained by unknown criminals.
George had fallen victim to a rapidly growing scam known as “card not received” fraud. In this devious scheme, thieves intercept credit cards en route to cardholders’ mailboxes, activate them, and quickly rack up fraudulent charges before the victim realizes anything is amiss. According to banking industry data, losses from this type of fraud spiked by a staggering 39% in the first half of this year alone.
Exploiting Vulnerabilities in Card Delivery
Fraudsters often target properties with communal mailboxes or lobby drop-offs, where intercepting a card is as simple as fishing an envelope out of an unlocked box. People who fail to promptly redirect their mail after a move are also prime targets. “These criminals are constantly seeking out weak points in the credit card delivery chain,” warns a representative from UK Finance, a banking industry trade association.
In George’s case, the fraudsters likely used her personal details gleaned from online sources to trick her bank into granting account access. “They knew my mobile number, date of birth, address, email – every identifier,” she laments. Armed with a stolen physical card and a victim’s sensitive data, thieves can swiftly drain accounts before red flags are raised.
Mounting Losses Despite Security Measures
While still relatively uncommon compared to other forms of card fraud, “card not received” crimes are surging at an alarming pace. Banks are scrambling to fortify their security protocols, but are often one step behind determined criminals.
Keeping our customers safe from fraud remains our top priority…We are always monitoring how fraudulent behavior changes and developing further features for customers to get more control over their card use.
– Statement from Barclays bank
Yet as George’s case illustrates, even major financial institutions can miss red flags in the face of sophisticated social engineering. “Due to human error, a temporary block was not correctly applied to the customer’s account as it should have been at the first sign of suspicious activity,” Barclays admits.
Protecting Yourself from “Not Received” Scams
While banks and card issuers work to improve their anti-fraud measures, experts say vigilant consumers are the first line of defense against “not received” theft. Some key steps to safeguard your plastic:
- Request signature on delivery for credit cards and other sensitive mail
- Promptly update your address with card issuers when moving
- Enable instant alerts for card transactions and banking activity
- Use a secure mailbox and retrieve mail daily
- Consider a PO box for financial mail if in a high-risk residence
- Review your credit report regularly for suspicious activity
If you suspect your card has been intercepted, experts advise immediately contacting your bank and reporting the card stolen. Acting fast can limit potential losses and damage to your credit. Most banks will reverse any fraudulent charges, but the investigative process can be stressful and time-consuming for victims.
For Denise George and a growing number of credit card fraud victims, the emotional toll can linger long after the financial effects. “They’ve got every single identifier for me,” she says. “I worry it could happen again at any time.” In an increasingly digital financial landscape, consumers must remain ever-vigilant to keep their accounts – and identities – secure from bold new breeds of fraudsters.
