Fraud is reaching “epidemic levels” with technology and the internet, but the technology also puts power in the hands of consumers, said Stephen Lee, president and CEO of First Financial Bank, Southeast.
Lee spoke with Gary Stelly during a live broadcast Wednesday on KOGT’s Morning Show.
“We’ve got to be vigilant,” Lee said. The days of checking a paper bank statement once a month are gone. He said people need to check their bank accounts and credit card accounts daily. Catching fraudulent charges early is a key to preventing thefts.
Customers can check their accounts and expenditures online or through automated phone lines. First Financial and other companies offer smartphone apps that will send a text message every time a debit card is used or when a charge is made on a credit card.
“Every time I use a debit card, I get a text alert,” he said. “Every time my wife uses her debit card, I get an alert. She hates that.” However, the feature will let people know if a fraudulent transaction is made.
Lee said banks and credit card companies suffer the losses if a customer is a victim of fraud. The companies will work with consumers to help protect them.
Paper checks are not safer than debit cards, he said. Payroll checks have become one of the leading methods of fraud because computers allow the checks and signatures to be forged. He recommends businesses make direct deposits to employees’ accounts or use cash cards for pay.
The elderly are the most susceptible to fraud, he said.
Lee suggests people get to know their bankers, a lawyer or someone they trust to give advice if they suspect fraud or if they have become a victim.
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