Most credit cards do not offer online payment protection

December 27, 2006

Many people may be surprised to hear that over forty percent of credit cards do not offer online payment protection. The figures come to light after American Express has said that they are going to provide online purchase and fraud protection to all of its customers.

You would think that payment protection would cover online fraud but apparently it only covers theft, accidental damage or lost cards. So, basically if you are a victim of online fraud, often there isn’t anything you can do about it as you do not have protection with your bank.

There is payment protection especially designed for online purchases and online fraud but you do have to pay for them separately and as mentioned, over forty percent of companies do not offer it.

Amex cards are now allowing customers to pay up to £20,000 protected and up to £2,000 per single item. This will help to give Amex customers peace of mind this Christmas as they log on and purchase their last minute gifts. The Christmas protection lasts for up to 90 days which is great news as often you do not always realise straight away that something is wrong with your credit, especially if you have been a victim of online fraud.

With more and more people turning to the Internet for their regular shopping as well as Christmas shopping, it is no wonder that people are going to want payment protection. So just why do other banks and credit card companies offer this protection? Well it seems that more and more companies are taking notice but it will no doubt take a while for any real progress to be made. American Express has begun the process and hopefully more local banks in the UK will follow suit shortly after. Until then remember that you can still be a victim of online fraud unless you do take out some further protection from another company.