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What is fraud?

Fraud can occur through various different methods of payment. Using the example of card payments, a charge is fraudulent when the cardholder has not authorized the charge. Most fraudulent charges are made using stolen credit cards or card numbers. Often, a fraudulent charge will be disputed by the real owner of the credit card (after being notified that the charge was made or reviewing a credit card statement). Cardholders typically call their bank and the bank will issue a dispute (sometimes called a chargeback).

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