Why credit card fraud penalties are so important to know? The cost of the credit card fraud cases in United Kingdom in 2006 is approximately £428 million. Credit card is the preferred method of payment nowadays. It is a very convenient way of purchasing good online or in any shops. People prefer to carry their credit cards when traveling rather than bring hard cash for safety reasons. It is also noticeable that most of the booking transactions, which can either hotel booking or airline reservations, are guaranteed by credit card details.
These extensive use of credit card transactions result to various cases of credit card frauds. Consequently, there will be credit card fraud penalties imposed. To have a better understanding of the credit card fraud penalties, it is necessary to understand what credit card fraud is and how fraud cases can be identified.
Credit card fraud is the unauthorized used of credit card such as using the credit card details without the credit card holder’s knowledge. Criminals in purchasing goods can use stolen or lost credit cards unless it is reported to the banks. The counterfeit credit card is a fake credit card. The criminals obtain the credit card details by skimming the information on the magnetic stripes of the cards.
Other category of fraud is the no-card fraud. This normally happens when you give out for credit card details to some bogus telemarketers or sites in exchange for some services and goods. The identity – theft fraud is when someone has stolen your personal details and applies for credit card using your personal details.
The last is the non-receipt fraud, which happens when your new card is couriered or mailed to you and during the delivery process is stolen.
These are the grounds for the credit card fraud penalties. If the verdict is guilty for offenders of credit card fraud cases, the penalties include ten years imprisonment that can also be subject to $10,000 fine varying on the weight of the offense while the maximum sentence is twenty years. This applies to fraud and fraud related activities such as access for device like PINs and account number.
The credit card fraud penalties as mentioned will vary also according to the weight of the offense and the applicable rule will depend on certain states. Like in Wyoming, the penalty is imprisonment of not more than five years or fines amounting to not more than $ 10,000 for first time convictions. Any subsequent convictions will be imprisonment to not more than 10 years and fines of not more than $25,000.
While in Virginia, credit card fraud penalties are punishable by Class 1 misdemeanor if the accumulated worth of purchased goods or expensed amount through credit card frauds does not exceed $ 200 within six months while if it exceeds, it is punishable by Class 6 felony.
These are only few highlighted credit card fraud penalties for offense considered minor. However, the severe the offense, the heavier the penalty is.
Always remember the credit card fraud penalties are created and executed to give justice to the victims.