TL;DR
Yes, expired credit card details can still be used for fraud, though it’s more complex. Criminals often try them in automated attacks hoping for updates or re-issued cards with the same number. Protect yourself by monitoring statements, reporting lost/stolen cards immediately, and being cautious of phishing attempts.
Understanding the Risk
While an expired card can’t be used for a straightforward purchase, the information on it is still valuable to fraudsters. Here’s why:
- Automated Attacks: Fraudsters use bots to try thousands of card numbers automatically across various websites. They hope some cards have been re-issued with the same number but new expiry dates.
- CVV/CVC is Time Limited: The Card Verification Value (CVV) or Card Security Code changes with each card issuance. An expired CVV is useless on its own, but combined with other details…
- Account Takeover: If a fraudster has your name, address and the old card number, they might try to take over your online accounts (e.g., Amazon) where you’ve previously saved payment information.
How Expired Card Details Are Used
- Testing Validity: Bots will attempt small transactions on various sites to see if the card still works. This is often done with legitimate merchants, making detection harder.
- Subscription Services: Fraudsters may try using expired cards for recurring subscription payments hoping a new card has been issued and linked to your account.
- Phishing Attacks: They might send emails or texts pretending to be from your bank asking you to update your card details – this is a common scam.
Protecting Yourself
Here’s what you can do to minimise the risk:
- Monitor Your Statements: Regularly check your credit card statements (even after expiry) for any suspicious activity. Online banking makes this easy.
- Report Lost or Stolen Cards Immediately: Even if a card is expired, report it to your bank if you suspect it’s been compromised.
- Be Wary of Phishing: Never click links in emails or texts asking for your card details. Banks will never ask for this information via email. Contact your bank directly through their official website or phone number.
- Update Saved Payment Information: When you receive a new card, update your payment information on all websites and services where it’s stored.
- Use Strong Passwords & Two-Factor Authentication: Protect your online accounts with strong, unique passwords and enable two-factor authentication whenever possible.
What to Do If You Suspect Fraud
- Contact Your Bank Immediately: Report the fraudulent activity to your bank’s fraud department. They will likely cancel your card (if it’s still active) and issue a new one.
- File a Police Report: This can be helpful for insurance claims or if you need to dispute charges.
- Check Your Credit Report: Monitor your credit report for any unauthorized accounts or activity. You are entitled to a free credit report annually from each of the major credit bureaus.
Technical Considerations (For IT Professionals)
If you manage payment systems, consider these points:
- Tokenization: Use tokenization to replace sensitive card data with non-sensitive tokens. This reduces the risk if your system is compromised.
- Fraud Detection Systems: Implement robust fraud detection systems that can identify suspicious transactions based on various factors (e.g., location, amount, frequency).
- Address Verification System (AVS): Use AVS to verify the billing address provided by the customer matches the address on file with the card issuer.