Consumers often ask whether debit or credit cards provide greater consumer protection against fraud. The question itself indicates a few key preconceived notions about fraud as it relates to personal finance. As a consumer it’s important to know that:

1. You aren’t liable for unauthorised purchases. All major credit and debit card issuers provide $0 liability guarantees for unauthorised charges.
2. Fraud isn’t all that prevalent. Of all the purchases made with credit cards and debit cards, less than 0.05% are affected by fraud.

Yet it’s understandable that consumers are concerned about the security of their hard-earned money. Many people want to know if using either a credit card or a debit card might make dealing with fraud easier.

How to protect yourself

There are a few steps you can take to further protect yourself from financial intruders, no matter how you choose to go about spending your money. It’s always a good practice to:

• It is good practise to make your payments on time and if you cannot make your payments then make arrangements with your credit provider to avoid your name ending with Data Bureau.
• Check your credit reports for inaccuracies. It’s a good idea to request a copy of your report from a credit reporting agency every year.
• Shred financial documents. Garbage bins are a main source of information for identity thieves.
• Make arrangements for your mail while on holiday. Mail overflowing from a mailbox is a sign of opportunity for both identity and property thieves.
• Use secure passwords. Avoid opening up your financial world to anyone who knows your pet’s name or your birthday, and make sure to change your passwords regularly.
• Verify web security. Only provide personal financial information on “https” websites.