Debit card fraud

How debit card fraud happens

Debit card fraud happens when someone steals or uses your debit card or debit card information without your permission.

Your information or your card is used to:

• make a purchase in a store or at a payment terminal
• make a purchase or transaction online
• withdraw cash from an automated teller machine (ATM)
• withdraw money with an in-store purchase

A person might steal your debit card information by:

• swiping your debit card through a device that copies the information stored on the magnetic stripe on the back of your card when you make a purchase
• looking at your personal identification number (PIN) over your shoulder when you’re using your debit card
• sending you a fraudulent email or text message asking for your banking information, also called phishing
• pretending to be a bank employee and asking for your banking information over the phone
• using a device that jams your card in an ATM. A helpful stranger then suggests that you try to put in your PIN a few times. When the card remains jammed, this person later removes your card and has your PIN
• accessing your lost or stolen mobile device

Protect yourself from debit card fraud

Debit cards issued by financial institutions have a computer chip that makes transactions more secure. The computer chip works with your PIN to make sure you give permission for each transaction. This helps protect you against fraud if someone steals your debit card.

There are also certain actions you may take to protect yourself from debit card fraud. Follow these tips to protect your debit card and your personal and banking information.

Keep your PIN safe

Choose a PIN that is hard to guess. For example, avoid using your birthday, Social Insurance Number (SIN), address or telephone number as your PIN.

Be sure to keep your PIN safe:

• never share your PIN with anyone, not even a family member
• memorize your PIN rather than writing it down. If you write it down, keep it in a safe place, away from your card or wallet
• never save your PIN on your computer or mobile device
• change your PIN often
• don’t use the same PIN for multiple cards and accounts
• always protect your PIN when making purchases at payment terminals

Some financial institutions offer the ability to pay with a mobile device, such as a smartphone or tablet. Even with this payment method, you must always keep your PIN safe.

Contact your financial institution and change your PIN immediately if you suspect someone knows it.

If you share your PIN with someone, you may be responsible for transactions you haven’t made or approved.

Learn how to protect yourself from unauthorized mobile payments.

Reduce your daily limit

A daily limit is the amount of money you may spend or withdraw from your account each day. It applies to ATMs and to online and in-store transactions. This limit also applies to debit cards that have a contactless feature. Someone who finds or steals your debit card may access this amount.

Contact your financial institution if you think your limit is too high. You may also ask them to disable the contactless feature on your debit card.

Protect your debit card and your debit card information

To better protect yourself from debit card fraud:

• keep your debit card in a safe place
• never lend your debit card to anyone, not even a family member
• hide the keypad when you enter your PIN at an ATM or payment terminal
• keep your debit card in sight at all times when making a purchase
• take your debit card and transaction receipt with you once you’ve finished a transaction
• complete your transaction before answering anyone who may be trying to get your attention
• retrieve your card quickly after a transaction
• check your account statements often to make sure all transactions are correct and legitimate
• keep paper and electronic copies of your account statements and store them in a safe place
• contact your financial institution right away if your card is lost, stolen or stuck in a machine
• don’t allow your computer or mobile device to remember your password or banking information like your account number
• don’t use public Wi-Fi or public computers to do your online banking or shopping
• if you must use a public computer, clear its history and cache when you finish using it

You may use a mobile device to do your banking from an app or an online banking site. If you lose this device let your financial institution know right away. You should also contact your mobile service provider so they can block your account.

If you're a victim of debit card fraud

If you think you’re a victim of debit card fraud, contact your financial institution immediately. Take note of whom you talked to and when you spoke to them.

You may then proceed as follows:

1. write down what happened and how you first noticed the fraud
2. keep all documents that you think might be helpful when the police investigate the fraud
3. contact your local police service to file a complaint
4. if you believe a company, for example, your telephone company, has been hacked, contact them
5. continue to check your bank account statements to make sure there are no additional fraudulent charges

Report the fraud to the Canadian Anti-Fraud Centre

The Canadian Anti-fraud Centre is Canada's central repository for information about fraud.

Contact the Canadian Anti-Fraud Centre.

Related links

• Getting your credit report and credit score
• Resolving an unauthorized transaction
• Mobile wallets