For many people nowadays credit cards have become one of the most widely used types of credit. While credit cards and store cards are both a convenience and blessing to some, for others credit cards can be a curse. This is especially true if your credit card is lost or stolen. The worry from losing or having your credit cards stolen is the potential risk of identity theft is particularly high.

Although fraudulent use of any type of credit card, store cards or otherwise is under the authority of the Fair Credit Consumer Act. While this may not hold reassurance someone will not try to use your credit card, it does offer relief in the event someone does. Here are few things to consider regarding your ability to protect yourself from uncertain financial loss:

Timely notification of loss or stolen credit cards

The moment you realize your credit card is missing you should contact the credit card company immediately. It’s best if you call for faster response. You can find contact information and procedure to following on the credit card agreement provided when you initially received the credit card by mail. Generally, if you can’t find this information right away, then technically you’re not responsible for any misuse the credit card the instant you report the card stolen or loss.

Some credit card companies may require both verbal and written notification, so make sure to read the terms and conditions of the agreement carefully. In this case they have to receive written notification of loss within 7 business days following verbal notification. In this case your release of liability for credit card misuse is effective upon receipt of written notice, however activated by the verbal notice.
 

Most often when you notified the credit card company of your stolen of lost credit card, determining liability for misuse largely depends on who is misusing it. For example if your card is stolen by a stranger or lost in public your liability is immediately release. However if your card is subject to misuse by someone in which you gave permission or is joint on the account, such as a spouse or child then your financially liable. In this case you can be liable for repayment of a portion of credit used for food, however phone and internet order misuse you will not be liable for the amount used. Here are a few other tips to take into consideration:

• Make sure to put your credit card agreement somewhere accessible and safe
• Don’t wait to call your credit card company, notify them immediately.
• Conform the necessity to provide written notification upon notifying the credit card company over the phone.
• Never allow anyone to use your credit card
• Always properly destroy all expired or unwanted credit cards. Never throw them away whole.