If your credit card is lost or stolen and then subsequently used without your permission, then the extent of your liability is governed by Sections 83 and 84 of the Consumer Credit Act.



But how does this credit act protect you and what procedures should you follow to insure that you are covered?





Report the loss immediately

You should contact your credit card company as soon as you are aware that your card is missing. Their emergency contact information should have been provided when you first received your credit card. Once notified, you will no longer be liable for any later misuse.



Extent of liability

You will not be covered if your credit card was misused by someone who is named as an additional cardholder on your account, for example: if your husband or wife exceeds your authority and they make unauthorised purchases.



If you are an innocent victim of fraud then the most you will be charged is 50. Most banks will normally refund you the full amount, unless they can prove that you have acted fraudulently or without reasonable care. If this is the case, then you can expect to be liable for the entire amount.



Extra Advice

If you decide to no longer use your credit card, don\'t just throw it away. Dispose of it carefully by cutting it up.



When you receive your credit card, keep it safe and remember where you have put it.



Be careful with your credit card and avoid lending it to anyone else, unless you can trust them enough not to misuse it.



For more information on liabilities and losses, refer to The Banking Code sections 12.1 and 12.12.