> >And a repeat of the standard:  buy only from known and trusted 
> 
> There are millions of web merchants. I can't know them all. How can I
> tell if a site is trusted?

You can't.  Even if a merchant is trusted, the employees may not be
trustworthy or their database could get broken into and have all of
your info stolen.  I work on investigations of systems when this kind
of thing happens and I can tell you it is *very* frequent and only a
fraction of companies notify customers when it happens, even though it
is required by state law.


Yet, I constantly buy stuff online.  How do I feel safe?  Credit laws.
See:
  http://en.wikipedia.org/wiki/Credit_card_fraud#Cardholder_liability

Use a credit card (don't buy online with a debit card where it
requires you to enter a PIN) and keep an eye on your statement.  If
there's ever any charges that aren't yours, get them removed and have
them reissue you a card.

So if you don't end up paying for fraud, who does?  The merchant who
accepted the fraudulent charges does.  Ultimately, they should have
done a better job validating the card and your identity, so they eat
it.  This is one reason CVV2 numbers are used.  Merchants are required
*not* to store these numbers after the transaction has cleared.  If
all merchants do this and use CVV2 numbers, it makes it quite a bit
harder to reuse a card after a database has been stolen.

HTH,
tim


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