Credit- and debit-card fraud is a multibillion-dollar problem. To help you keep tabs on your accounts and thwart the bad guys, the major credit-card issuers, including American Express, Bank of America, Capital One, Chase, Citibank and Discover, offer a number of fraud and account-activity alerts that you can receive by text message or e-mail. To sign up, just go online to your card issuer's Web site and select the alerts you would like to receive.
A survey by Javelin Survey & Research in 2009 showed that few customers had signed up to receive alerts from credit-card issuers, although many said that they thought the alerts could help mitigate fraud. That's partly because the bank's alert may be delayed anywhere from a few hours to as long as 48 hours after a suspicious transaction has occurred. But now Visa has solved the timeliness issue with Rapid Alerts, which are delivered almost in real time. (MasterCard expects to make its version, inControl, available in the U.S. later this year.)
Wells Fargo is the first U.S. bank to offer the new Visa alerts. They're sent from VisaNet, Visa's processing network, within seconds of a transaction. Cardholders may elect to be notified when a transaction exceeds a specified amount, occurs overseas, is made online or by phone, or is declined. You may also check to see whether an ATM withdrawal is made using your Visa card. Wells Fargo is not charging for the service, but your cell-phone provider may charge you if you exceed your allotment of text messages. Some credit unions will soon offer near real-time alerts as well. (South Carolina Federal Credit Union is currently testing them.)
From just $107.88 $24.99 for Kiplinger Personal Finance
Become a smarter, better informed investor. Subscribe from just $107.88 $24.99, plus get up to 4 Special Issues
Sign up for Kiplinger’s Free Newsletters
Profit and prosper with the best of expert advice on investing, taxes, retirement, personal finance and more - straight to your e-mail.
Profit and prosper with the best of expert advice - straight to your e-mail.
Some banks are also providing more timely information about your checking account's status. For example, Mercantile Bank of Michigan has created Funds Manager, which not only offers crucial information but also provides it early enough for you to take preventive action. Customers who check their accounts online between 11 a.m. and noon see a list of checks that will clear that day. If you are about to overdraw the account, you may deposit cash by 5 p.m. or transfer funds by 7 p.m. and avoid a $30 overdraft fee. The service costs $4 a month.
The Bank of Stockton, in northern California, is offering real-time overdraft alerts warning customers that they might be overdrawn by the end of the day. For $5 per transfer, account holders can transfer funds in $20 increments by texting a code back to the bank. Moving funds via online banking or ATM is free.
-
I'm want to give my 3 grandkids $5K each for Christmas.You're comfortably retired and want to give your grandkids a big Christmas check, but their parents are worried they might spend it all. We ask the pros for help.
-
If You're Not Doing Roth Conversions, You Need to Read ThisRoth conversions and other Roth strategies can be complex, but don't dismiss these tax planning tools outright. They could really work for you and your heirs.
-
Could Traditional Retirement Expectations Be Killing Us?A retirement psychologist makes the case: A fulfilling retirement begins with a blueprint for living, rather than simply the accumulation of a large nest egg.
-
Seven Things You Should Do Now if You Think Your Identity Was StolenIf you suspect your identity was stolen, there are several steps you can take to protect yourself, but make sure you take action fast.
-
The 8 Financial Documents You Should Always ShredIdentity Theft The financial documents piling up at home put you at risk of fraud. Learn the eight types of financial documents you should always shred to protect yourself.
-
How to Guard Against the New Generation of Fraud and Identity TheftIdentity Theft Fraud and identity theft are getting more sophisticated and harder to spot. Stay ahead of the scammers with our advice.
-
12 Ways to Protect Yourself From Fraud and ScamsIdentity Theft Think you can spot the telltale signs of frauds and scams? Follow these 12 tips to stay safe from evolving threats and prevent others from falling victim.
-
Watch Out for These Travel Scams This SummerIdentity Theft These travel scams are easy to fall for and could wreck your summer. Take a moment to read up on the warning signs and simple ways to protect yourself.
-
Amazon Resale: Where Amazon Prime Returns Become Your Online BargainsFeature Amazon Resale products may have some imperfections, but that often leads to wildly discounted prices.
-
How to Guard Against Identity Theft in 2025Scammers are getting better at impersonating legitimate businesses.
-
Roth IRA Contribution Limits for 2026Roth IRAs Roth IRAs allow you to save for retirement with after-tax dollars while you're working, and then withdraw those contributions and earnings tax-free when you retire. Here's a look at 2026 limits and income-based phaseouts.
