A Sydney-based financial planning startup is warning people not to pay for their taxi fare using a manual credit card swipe machine as they risk being the victim of fraud.
Pocketbook co-founder Bosco Tan told Computerworld Australia that approximately 10 of his customers discovered they were charged by a deregistered New South Wales company called F.F.G Holding Pty Ltd after having their card swiped manually.
He said the fraudulent charges usually occur at an odd time of the day or for an amount that is not in whole numbers such as $24.85.
"Networks and forums exist for unscrupulous individuals to exchange and sell credit card numbers online. By collecting your information via a manual machine, you're at a higher risk," Tan said.
He advised people to pay attention to their credit card and debit card transactions. The company name may appear on statements as variants including FFG, F F G or FFG Hldg.
"If anything looks suspicious, you should question it with your bank. Monitor your account for future occurrences," he said.
"The taxi driver may suggest that the electronic payment systems are not available but don't allow your card to be used in manual machines. Pay cash instead."
Tan said that if it receives more reports from customers, it will report the scam to consumer watchdog authorities next week.
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