HE-0646, April 1998. Fred Waddell, Extension Family Resource Management Specialist, Associate Professor, Human Development and Family Studies, Auburn University. Originally prepared by Josephine Turner, Extension Program Specialist, Professor, Human Development and Family Studies, Auburn University.

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Credit Card Safety

Credit cards are used to buy items and services with tomorrow's money. You can also use your credit cards to get cash. Having and using credit cards can help you because:

• You do not have to carry cash.
• It is easier to pay one bill than to write a check for each item you buy.
• It is easier to keep track of where your money goes.
• You can still buy things you need, even when you don't have money.
• You may have early notice of sales.
• It is often easier to return items.

Credit cards can hurt you because:

• It is easy to overspend.
• You may pay more for goods and services.
• Using credit cards may keep you from shopping around.
• Using credit cards means you agree to the credit terms.

Costs Of Credit

There are different types of credit cards, and they may have different costs.

• Travel and entertainment cards have yearly membership fees. Also all bills must be paid in full when billed.
• Department store cards usually do not have a yearly fee, but they have finance charges.
• Bank cards usually have a yearly fee and finance charges.

Credit Card Safety

Use your credit cards carefully to lessen the risk of losing them.

• Keep your credit cards with you.
• Carry your credit cards so you know where they are. This way you will know if they are all there. Don't carry them loose.
• Carry only those cards you think you will need when you travel. It is easier to lose them on a trip than at home. Put them in a safe deposit box or other safe place while you are gone.
• Make sure you keep a list of the names and account numbers of your credit cards. Keep this in a safe place also.
• When you get a new card in the mail, check the envelope with care. If you think it has been opened, let the creditor know and ask that the card be canceled and a new one issued.

Credit Card Safety Record

Your record will be helpful if your card is lost or stolen. When you make a credit card safety record it should have all the information you will need to report a lost or stolen card. Keep this record in a safe place with other important information. Put the following information on the record:

• The name of the card.
• The name of each person in your family who has a card.
• The account number.
• The telephone number and address to report a lost or stolen card.
• The date the card expires. If you don't get a new card within a week of this date call your credit card company.

What To Do If You Lose A Card

If you lose your credit card report the loss at once:

• Call the company and give your name, address, and account number. Use your Credit Card Safety Record for the telephone number and your account number.
• Make a note of the date and time you called and the person you talked with.
• Follow up with a letter giving the same information as above. Make sure you send it registered mail so you can have a signature and date of when your letter was received.
• Keep the telephone bill showing the long distance call to the company, if any. This will also be proof of the date and time you called.
• When the company gets the information that your card was lost, you are no longer responsible for any unauthorized charges made on the card.
• Keep all the information in your files.

Credit Card Safety Record
Name of Card	Name of Card User	Account #	Lost Card Phone	Lost Card Address	Expiration Date

For Your Protection

When using a credit card:

• DON'T give your credit card number over the phone.
• Avoid losing track of your credit card.
• After making a purchase at a store, check your card when it is returned by the salesperson to make sure it is yours.
• When you make certain types of purchases, your receipt will have the total entered by machine as well as written in (see sample). The machine coded number is often in the upper right corner. Make sure it matches the number written in the total slot.
• Always check your receipt before signing it.
• Make sure there are not blank spaces where someone can write in charges later.
• Make sure the amounts are totaled and the total is clear and correct.
• Request your carbons, if any, or watch while the salesperson tears them in small pieces.
• When you no longer use a card, cut it up in little pieces. NEVER throw a credit card away or mail it back to the company in one piece.
• Keep all the charge slips and check them against your bill.
• If you find a mistake, write the company.
• For more information on your credit rights and responsibilities, contact your county Extension office.

For more information, contact your county Extension office. Look in your telephone directory under your county's name to find the number.