Everything you need to know about Credit Card scams, including how such scams work, warning signs to look out for, and the legal options that may be available.
What is a Credit Card scam?
Credit card scams are usually defined as a fraudulent scheme that aims to deceive individuals into providing money or personal information.
Scammers often use various tactics to gain the trust of their victims, presenting false information or inviting offers that seem legitimate. This can include non-existent services such as investments, online jobs or purchases.
A credit card scam is no different from a regular financial scam. However, the payment was made from a credit card rather than a debit card. These scams have become increasingly common as the use of credit cards continues to grow, with a significant rise in incidents as more transactions are conducted online and through credit cards.
Credit card fraud can lead to serious charges, and understanding the legal process can help individuals navigate the complexities.
What are the common signs of a Credit Card scam?
You may be dealing with a Credit Card scam if you have:
- Received requests for unusual payment methods such as being asked to pay via cryptocurrency, Coinbase or wire transfers.
- Received phishing (scam) emails or text messages
- Had unexpected contact from someone you do not know asking for money
- Received ‘Too good to be true’ offers that are ‘too good to miss’
How are Credit Card scams often most likely to happen?
Making initial contact
Scammers may reach out to you out of the blue by phone call or WhatsApp. They may offer you an opportunity that seems too good to be true, such as:
- High profit investment opportunity with promised returns
- Paid online work from home
- Cheaper than usual purchase of an item (car, bike etc).
Attempting to build trust
The scammer will often be very charming and give the impression that they are on your side and trying to assist you.
They will show interest in your personal life, attempting to build a friendship and a feeling of trust. They will reveal false information about their own personal lives and contact you on a regular basis, usually daily.
These scammers appear to be very genuine, pretending to be from trusted companies and use convincing security language to give the impression that they are the person they say they are or from the company they say they are from.
Financial losses
Financial loss happens when the scammer convinces you to transfer money to them. You believe that you are transferring it to a reputable company or person, for genuine reasons. However, you have transferred the money to the scammer.
What should I do if I think I’ve been scammed?
Cease any communication with the scammer. Do not send any more money or personal information. Scammers often manipulate victims into sending more funds under false pretences.
Do not respond to any company that contacts you out of the blue claiming that they may be able to assist in recovering the funds if you pay them a fee in advance. They are usually part of the scam. Once you have sent money, you won’t hear from them anymore.
Gather and save all evidence related to the scam. This includes downloading all conversations and taking screenshots of messages, emails, contact information and any financial transactions.
Keep as many details as possible, such as dates, times and details of your interactions with the scammer.
- Report the crime to the police
Contact your bank or credit card provider and report the fraudulent profile to the app or online platform (where necessary).
Speak to a specialist Solicitor experienced in bank scam and cryptocurrency scam claims. They may be able to review your case, advise you on your options, and make a complaint on your behalf.
How can Oakwood Solicitors help?
Investigating the fraud
If you have been a victim of a Credit Card scam, Oakwood Solicitors can see if they can help you get your money back. Our team will review the evidence you have to see if it is possible to make a complaint to the bank for a refund of the monies lost.
Determining recovery options
There are options available to recover your money. Recovery can be sought from the financial institution that should have prevented the fraud. For credit cards, there is the added protection of a Section 75 claim under the Consumer Credit Act 1974.
In some instances, there may be other regulated firms involved who also could have detected the fraud and issued a warning.
You can attempt to recover the funds yourself without legal representation. However, there are benefits to having instructed Oakwood Solicitors do this for you.
We are a regulated firm of Solicitors with over 20 years’ experience in financial mis-selling claims. We aim to take the hassle out of the claims process, as we do all the hard work for you.
Where can I find additional support?
If you believe you have been victim of a Credit Card scam, whether you transferred money to the scammer or not, there is further advice and support available from the following services:
Frequently Asked Questions
- Can I recover money lost through my credit card?
Yes, this falls under Section 75 Claims. This law holds the credit card provider jointly liable for any breach of contract or misrepresentation.
- How can I recover the money lost to a scam?
You can make a complaint to the bank where the payments were made from.
- Would the bank refund me?
The bank will review complaints on a case-by-case basis. They can assess all factors of what happened in the scam, and determine whether it should have done more to protect you and your money.
- Are there any upfront fees for you to make a claim on my behalf?
Oakwood Solicitors charges no upfront fees, and we would never ask for any upfront costs to make a claim on your behalf.
- Am I liable to pay any fees if the claim is unsuccessful?
No. Subject to compliance with the agreement between us, you would not be liable to pay any legal fees unless your claim was successful.
How much will I pay you if I win my case?
Oakwood Solicitors is authorised and regulated by the Solicitors Regulation Authority. The SRA introduced fixed fees for this area of work.
We receive payment as a deduction of any payments you receive. This means that the payment is a fixed percentage of the refund amount. The exact percentage is fixed as per the table below:
| Band |
Redress awarded for a claim (3) |
The maximum percentage rate of charge |
The maximum total charge (£) |
| 1 |
1-1,499 |
30% |
420 |
| 2 |
1,500 – 9,999 |
28% |
2,500 |
| 3 |
10,000 – 24,999 |
25% |
5,000 |
| 4 |
25,000 – 49,999 |
20% |
7,500 |
| 5 |
50,000 or above |
15% |
10,000 |
How do I pay your fees?
This depends how the bank pays any refund. If it makes payment to our client account, we will deduct our percentage fee from the money and the balance will be sent to you.
Alternatively – if the bank refunds the payment to your account, we will raise an invoice for payment of our percentage and you will be required to pay this invoice.
Why should I choose Oakwood Solicitors to handle my case?
- We are a regulated Firm of Solicitors with over 20 years’ experience of recovering money for clients
- We take all the hassle and stress out of the claim
- We do not charge any upfront fees. They are a fixed deduction of any money you recover.
- Our fee is only payable if your claim is successful
Further reading
Bank fraud and scam claims – Oakwood Solicitors
Speak to our team today
If you would like advice regarding Credit Card scams, we are here to help. Contact us on 0113 200 9720, or fill in our online contact form on this page and a member of the team will be in touch.
Laura Barbera joined Oakwood Solicitors Ltd as a Solicitor in May 2022. Laura is a dual qualified professional in both the United Kingdom and Spain.
Laura comes from a legal and financial services …
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