22 hours Ago
India is going through an epic credit card boom. The Reserve Bank of India (RBI) recently stated that the credit surge in the country has more than doubled in the last five years. The total number of credit cards has crossed 10.
80 crore by January 2025. This number was around 5.53 crore in December 2019-20, as detailed in a report by Press Trust of India.
Now, this boom has also resulted in an increase in credit card scams. For instance, a Chandigarh resident recently was tricked by scamsters into a well-planned and sophisticated credit card scam . The incident leaves behind important lessons for all credit card users to always keep in mind to protect themselves, their peace of mind and finances.
How was the credit card scam planned and executed? A resident of Chandigarh, Sector 31, T Rajesh Kumar, randomly received a call from a person posing and promoting himself as a representative from Punjab National Bank (PNB) . The caller told Rajesh that his name was Ajay Tripathi. He further offered his assistance and support to Rajesh with the assurance that he would help him secure a new credit card.
The call was designed to look like a simple promotional call users generally receive daily from various financial institutions. Kumar took the call casually, considering it to be legitimate and agreed to continue with the conversation through WhatsApp for more details as per the instructions of the caller. Then, during another subsequent video interaction, the scammer requested Kumar to provide him with personal information for identification and cross-verification.
He again assured Kumar that this was part of the standard process. Now, trusting the caller's words and directions, Kumar shared personal information and even displayed his wife’s Axis Bank and American Express credit cards. Post the completion of the call, he received a link purportedly to finish the application process and submit the details.
Stunning financial loss Unfortunately, clicking on the link provided by the caller led to unauthorised transactions. The total transactions amounted to about ₹ 8.69 lakh on Kumar’s American Express card and ₹ 60,000 on his Axis Bank credit card.
Even after promptly blocking the cards and reaching out to bank officials, significant financial damage was already done. The fraudulent transactions were too much for Kumar and his family to bear. The scamster reached out to Kumar again the following day to let him know about more transactions and even hacked into his Amazon account.
Rising trend of credit card scams This particular incident is part of a worrying trend in the country, where fraud cases have surged immensely. On similar lines, according to a report, another incident of credit card fraud took place recently in Ahmedabad's Anandnagar, where a resident, Soumya Jain, lost about ₹ 50,000 to a similar credit card scam . The cybercrime unit has been informed about the incident, and they are looking into it.
How to keep yourself safe and protected from fraud? Now, to safeguard themselves against such credit card frauds, card users should adopt several preventive measures: As online credit card frauds are becoming increasingly complex and sophisticated, staying vigilant is essential for protecting your financial well-being. Disclaimer: Mint has a tie-up with fintechs for providing credit, you will need to share your information if you apply. These tie-ups do not influence our editorial content.
This article only intends to educate and spread awareness about credit needs like loans, credit cards and credit score. Mint does not promote or encourage taking credit as it comes with a set of risks such as high interest rates, hidden charges, etc. We advise investors to discuss with certified experts before taking any credit.
.
