Credit card security

A recent security breach at a chain grocery store put 4 million credit-card users at risk when their card numbers and expiration dates were stolen.

While it’s not the first time a credit-card breach has occurred, it brought to light a new way of stealing data: during the transaction itself. In the past, stored data has been at risk if the information wasn’t encrypted.

This time the breach appears to have occurred between the initial swipe of the card at checkout and the transaction approval, an interval of seconds or a minute.

What does this mean for you, the consumer? It means there’s a need for even more vigilance in the way you handle your credit and debit cards.

If you were in the compromised millions, have the issuer or bank cancel your card and give you a new one.

If you had automatic deductions through the card to make automatic payments, notify those businesses of the new card number — or use this opportunity to rethink whether you want to cut back on the number of automatic deductions. For example, if you pay for a gym membership by automatic deduction each month, ask yourself if you really want your credit-card number stored in the database of a small gym with questionable security.

Check your statements carefully and report questionable transactions immediately.

Many bank cards function as an ATM, credit and debit card, all in one. Debit cards, also known as check cards, usually have a brand logo in the bottom corner, look like a credit card and are tied directly to your checking account.

Debit cards have their own special security issue: the PIN. Use it as a credit card, not a debit card. Here is the difference: With a credit card, you’re required to sign. With a debit card, you’re required to put in your PIN. When you’re at the checkout about to swipe your card, ask yourself this: Is anyone about to steal your information over the network? With that in mind, choose the “credit” option and sign your receipt. If anyone did steal information during the transaction, they got your card number and expiration date, but they didn’t get your PIN.