Old Fraud Scheme is Back – U.S. Institution, Cards Struck by European Fraudsters
Credit Union Info Security reports an old payment card fraud scheme seems to have resurfaced in France, according to one U.S. credit union’s report of suspicious low-dollar charges coming in from European toll booths. International Airline Employees Federal Credit Union of Briarwood, N.Y., reported earlier this month to the National Association of Federal Credit Unions that suspicious transactions, usually for amounts ranging from $10 to $15, have been hitting IAEFCU Visa cards. IAEFCU President and CEO John Gebhard says the fraud does not appear to involve stolen card numbers; rather, fraudsters are likely creating cards using nothing more than the credit union’s bank identification number. So far only small charges have been made in France, usually at tolls. The volume and dollar amounts are too low for chargeback rights.
