Mass credit card recall over suspected Spanish fraud
19 November 2009 | 9387 views | 0
More than 100,000 German credit cards have been recalled by banks following a suspected security breech at an unidentified Spanish payment processor.
Yesterday Financial Times Deutschland reported that Volksbank and Raiffeisenbank are taking more than 60,000 cards out of circulation on the advice of Visa and MasterCard, bring the total number of recalls in recent weeks to around 100,000.
The recall affects people who have used Visa and MasterCard credit cards in Spain and comes after police began an investigation into a payment processing company in the country.
Visa and MasterCard reportedly warned banks about a potential problem four weeks ago when inconsistencies appeared on monthly statements.
According to the BBC, British cardholders will be contacted directly if they are thought to be at risk.
In a statement, Visa Europe says it "is aware of a possible card data security issue in Spain. No details are yet confirmed, but we do not believe that the issue is specific to Visa."
The firm continues: "As is normal in these circumstances, we have contacted a number of our member banks to make them aware of the situation and some may decide to take action as a precautionary measure."
Sarah Blaney, card fraud expert at life assistance company CPP, says: "Our own research shows that Spain is the place where Brits are most likely to have their cards lost or stolen, so we urge all cardholders using their cards in Spain to be particularly vigilant."