Elite Credit Cards Twice as Vulnerable to Fraud

April 3, 2015, Written By Bill Hardekopf
Credit Card Security

New research from fraud prevention firm Forter shows elite credit cards, like the American Express Centurion and Visa Black card, are twice as vulnerable to fraudulent online transactions as standard credit cards.

According to Forter’s most recent data, elite credit cards carry a 1.7% fraud rate for ecommerce transactions, while gold and platinum cards maintain a 1% rate. Corporate cards are used 0.7% of the time.

Luxury credit cards are more appealing for online thieves because of their high credit limits. Big purchases are less suspicious on these cards as well because of the clients that qualify for them. Forter’s research indicates cybercriminals prefer to purchase name-brand products that are easy to sell at high values, like Go Pro cameras, Rolex watches and Prada merchandise. These transactions fall in line with standard purchases for elite cardholders.

Online credit card thieves typically make their purchases between 2 AM and 6 AM, a time frame that has 10 times the fraud rate of 2 PM to 6 PM. Fraud rates drop on big shopping days like Cyber Monday and Black Friday, but they increase by over 200% on Christmas Eve and Christmas Day compared to average rates.

Elite credit cards may be the preferred platform for cyber fraudsters, but that does not mean your basic rewards card isn’t vulnerable as well. Regardless of the plastic you carry in your wallet, keep an eye on your account and watch for unauthorized transactions. Set up email alerts for your credit card account so you are instantly aware of any charge. Report potential acts of fraud as soon as you notice them, and you will minimize the credit damage and inconvenience you incur.

The information contained within this article was accurate as of April 3, 2015. For up-to-date
information on any of the terms, cards or offers mentioned above, visit the issuer's website.