With fraud increasing, credit card issuers are looking for more ways to offer better security. Many card issuers are calling their new cards “Dynamic” in that they are going to have constantly changing passwords. With an increase of 43 percent in two years, the UK companies have decided that they have to crack down on internet, telephone, and mail order shopping. The chip and pin is not offering protection to these types of transactions.

“Card not present” transactions are very easy for fraudsters to get around. All they need is a credit card number, the security code, and full name of the card holder. This is easy enough for them to find. Credit card companies are upset by the losses they are suffering. They have decided to make car holders change their passwords more often. In fact numerous companies already offer an online one time use number. This number does link to the actual account, but the fraudster hacking in cannot use that number. Essentially they get something useless.

Visa and MasterCard have already introduced the password protection system for online shopping. They have a form that reads “verified by Visa” and “MasterCard SecureCode” systems. You have to enter a pre- registered password before you can buy goods from the website.

Cards are also being sent out that have small batteries on them. They last for three years. They have a 12 button keypad and tiny digital display. These new “Dynamic” cards are the same size as regular credit cards. The idea is that these battery powered options will be more secure and harder to crack for the fraudster. Consumers are increasing their online spending, so it is most imperative that credit card companies rectify these credit card fraud issues. Now all that needs to happen is the consumer to take advantage of these security options.