ATM cards are greatly in use these days. People find it convenient carrying money in the form of bank debit card instead of keeping the cash. As the use of ATM cards has increased, it has given rise to numerous issues. One of the main problems is to recover a lost ATM card.
Users need to be a bit cautious about the safety of plastic cards which is an alternative form of cash. In case a consumer loses a plastic card, it may be taken by a hacker who can easily misuse it. In case one loses his wallet having a debit card in it, he needs to take immediate action to deactivate card to avoid any kind of loss further. [irp]
The following course of action should be followed for avoiding any prospective loss in case of loss or theft of ATM card.
1-Report the concerned authority: The owner of the lost card should immediately inform the loss of card to a concerned bank or issuing authority. In case any transaction is done after the theft reporting, it can be controlled.
Almost all banks have a toll-free number or hotline where customers can immediately get their complaints registered. Normally ATM machines have an adjacent phone from where customers can contact the respective bank.
Saudi Arabian Monetary Authority (SAMA) has suggested that the user may send a follow-up letter which includes the respective account number and states the reason for the loss of the card. Moreover, unauthorized withdrawals and fraudulent transfers need to be reported at its earliest for stopping such activity in future.
2-The setting of Liability limits: The user of an ATM card has potential liability in case loss of the card is not reported wit a in prescribed time. The extent of liability of a consumer differs according to different conditions associated with loss of the card.
In case the user of card reports the loss of card before the misuse of the card by a hacker, he has zero liability of loss in this regard. If someone has already withdrawn some amount from through ATM card, this loss needs to be borne by the ATM card holder.
In few cases, some famous banks offer full compensation to customers as a matter of goodwill retention. In other cases, customers have to bear loss according to the condition set out by Saudi Arabian Monetary Authority (SAMA).
Apply for New ATM card: Usually, all banks offer ATM replacement card services. Some banks offer free of charge new cards whereas another charge a nominal fee for processing. In case a customer is willing to get his replaced card before normal processing period, he has to pay some extra charges.
That customer who loses their card for multiple times is encouraged by banks to use another type of ATM cards which don’t offer debit or credit transaction facilities to avoid monetary losses.