Essay on Credit Card Fraud

While identity theft was present in society previous to the appearance of the internet, this medium has provided thieves with an intriguing method to steal identities from people without even having to leave their house. "Today, more and more people engage in online financial activities such as shopping, banking, investing, and bill paying." (Understanding Identity Theft) While this reflects positively on people's lives by saving them significant time, it also exposes them to a world of

The purpose of usury laws was to regulate the maximum interest rates of loans. This law was created to protect borrowers from excessively high interest rates. It insured that lenders could not put the borrower in a situation where they were not able to fully pay off their debt. However, as said on investopedia.com, “In the United States, individual states are responsible for setting their own usury laws.”

An Internet crime can be a developmental scheme by the perpetrator, using different elements of the internet, and false representation to deprive a person's property or any interest (Kim et al., 2012). Although botched representation comes along, with the provision of misleading information or anonymity of data. In the recent years, there has been an increasing trust of consumers and businesses in the carrying out of particular actions. The amplifying usage comes along with the electronic communication during the act of major business rules. The increasingly rising internet crimes have come along with the global advancement that incorporates internet based conduct of business (Anderson et al., 2013). In the digital era the crime perpetrators, have absorbed the idea of shifting with times leading to the high number of the crimes. The reason that we cannot distinguish between the self additionally the risk trader comes in with internet crime given that a face-to-face communication and monitoring barrier. With that respect, the associated internet fraud has greatly affected by the general allowance, trust, and the usage. The paper will center on the effects attached to social cost, trust, and usage associated with internet fraud.

It is important to first gain an understanding of the various types of fraud, in order to aid understanding in regards to the prevention of fraudulent activity. This paper begins with a review of the definition of financial fraud, and identification of the different fraud types. Further, included is an examination of what motivates individuals to commit fraud, including an identification of some of the method in which people commit fraud. A discussion of the importance of the fraud triangle, and how rationalization contributes to fraud is a key area of focus. Finally, there is an examination of some controls that prevent and detect fraudulent behavior, including the value and importance of understanding the nature of fraud for

This evaluation is focused on a school district with 3, 000 high school students in New Jersey. The statistics were gathered from the student management system for this school district the 3,0000 high school students attend two high schools {High School “A” and High School “B”} during the 2014-15 school year. The racial makeup consists of: high school “A”, 78.6 percent of students identified as white, 14.8 Hispanic, 3.3 percent black and 2.7 percent Asian. At high school “B”, 82.8 percent of students were white, followed by 8.4 percent Hispanic, 5.5 percent black and 2.6 percent Asian. The overall graduation rate at High School “A” was 80 percent, and at High School “B”, 87 percent of students graduate.

When online commerce first emerged, many consumers were wary of supplying their credit cards and giving their personal information to online stores. This led to the development of websites such as Paypal, which restricts the access a retailer has to one’s credit card number (Einstein). The threat of fraud has always been a worry for online consumers, but consumers face the same threats when shopping in a brick and mortar store (Chadwick).

A criminal may take out a loan, purchase a vehicle or even obtain a credit card in their victim’s name accumulate debts. Sophisticated career criminals may even establish a full identity or apply for a mortgage in the victim’s name. Credit card fraud is the most common identity theft crime because it is relatively easy to apply for financial services online. Once obtained, the criminal can simply purchase items online without ever having their ID checked by a cashier. Because these crimes are so common, the three major credit reporting agencies, Equifax, Experian and TransUnion, make it relatively easy to file complaints and correct credit

During this project, the question arose; who is or has been the biggest winner of identity theft? In the few rare cases involving identity theft where a perpetrator was caught, the culprits in the following cases were identified. And the runner up in the game of identity theft is: Albert Gonzales who in 2008 stole 30 million credit and bank card numbers, hacked several corporate data bases and stole over $200 million. And our grand prize winner is: Philip Cummings who in 2002 obtained 15,000 consumer’s identities and hacked a credit reporting agency. He stole $2.7 million. (Graphs.net). While there is no clear solution to prevent being a victim of identity theft, a person can only take precautions, be aware of their surroundings, monitor

Credit card fraud is a federal offense and can get an offender up to 20 years in prison depending on the severity of the situation. Should it be a federal offense? Credit card fraud is becoming more and more relevant especially in the United States , matter of fact it increased by 16% in 2016 alone. This is a serious problem in today 's society. The hypothesis that 's being examined in this paper is that credit card fraud should be a federal offense. This has become a relevant topic due to the increased number of teens becoming “scammers” (credit card fraud offenders). The methods that will be used to address the topic are credit card statistics, graphs, and data charts. The key findings of this paper is that 47% of the

Card holders have several countermeasures, including complex software which can assemble a vest interaction and guesstimate the possibility of fraud. For example, a large trade occurring in a great distance from the cardholder’s home might seem mistrustful. Merchants may be commanded to call the card holder for authentication, or reject the transaction or do whatever they want. Customers must call the issuer and prove their identity to get their card back.

Identity theft is when someone, without the consent of the owner, dishonestly uses, or intends to fraudulently use another individual’s personal identity. Personal identifying information can consist of an individual’s name, date of birth, driver’s license number, mother’s maiden name, state identification number, telephone number and other personal information that an individual can be identified with, such as a birth certificate or Social Security number. People who commits this form of fraud is committing a third-degree felony. Proceeding through the system as a victim of identity theft can be an extensive and confusing process. It is important for individuals to keep track of the actions they take and retain a record of their progress, as they contact law enforcement, financial institutions and creditors. If individuals make any decisions regarding their case or decide to talk to investigators without counsel’s advice, they may hurt their opportunity to defend themselves against any identity theft charges.

With the rise in the need for the convenience of online shopping and bill pay, identity theft has become a more prevalent issue around the world. Identity theft is a type of crime in which someone wrongfully obtains and uses another person’s personal data in some way that involves fraud of deception, typically for economic gain (Identity Theft). In 2009, approximately 13.9 million Americans were victims of some form of identity theft (Theoharis). Studies have shown that one out of every 20 consumers will fall victim to identity crimes this year (Theoharis). Death and taxes have always been a certain part of life, but with the rise of online shopping identity theft has become almost as

Money is a necessity in life and is a constant worry for college students especially when you take out a $10,000 loan. Financial aid has replaced studying as the biggest worry for college students. The objective of college is to learn and grow as a person, but is limited by financial capabilities which is a big problem for the U.S. education system and prices continue to go up. Main focus is having to focus on rigorous studying, students may also have to work to stay in school. A student is paying college through a $10,000 loan and working a part time job 20 hours a week. John wonders if getting a credit card will help him financially. The best solution is to attain a credit card that has student benefits included and will make it easier to protect and keep track of your money.

Being the fastest growing crime of today, it is estimated that every 79 seconds an identity is stolen (Consumer Reports 13). Empty promises made by solicitors in spam e-mail offer a free gift in exchange for personal information. These solicitors have no intention of sending any free gifts, but their scams help them obtain the private information desired. If enough information is given, criminals are able to apply for credit cards, apply for a fraudulent loan under the victim’s name, and make illegal withdrawals from random bank accounts. This is only one of the many ways a person’s identity could be stolen (O’Reilly).

Worldwide credit and debit card fraud resulted in losses amounting to $16.31 billion during the year 2014. The United States has been disproportionately affected by this fraud, due to their lack of adoption of the EMV Chip security measure. According to the 2012 Nilson Report, American card issuers lost $3.4 billion and merchants lost another $1.9 billion. America makes credit card fraud easy for fraudsters, by still relying on cards with magnetic strips which are less secure than EMV Chip enabled transactions.