What Is Credit Card Fraud?
California law criminalizes various type of credit card fraud, and there are different laws that address each type of misuse. However, in some instances, you may commit credit card fraud without even using stolen information. This blog is a primer on all things credit card fraud in California.
Differing Types of Credit Card Fraud
California has five different statutes that prohibit individuals from committing credit card fraud. These crimes include:
- Possessing or using stolen credit cards. You can be convicted of this offense even if you do not use the card. For example, if you take a family member’s wallet without their permission and intend to buy gas with a credit card, that may be a crime.
- Forging credit card information. This criminalizes altering a credit card or signing someone else’s name for a credit card transaction.
Creating counterfeit credit cards. The offense includes any attempt to manufacture fraudulent credit cards or possessing equipment used to make fake cards. - Publishing someone else’s credit card information with the intent to defraud. Publishing includes transferring through private communication.
Obtaining any good, service, or money through the fraudulent use of a credit card or an account. If you know a credit card is fake, expired, or otherwise invalid, you cannot use it to buy something.
For any of these crimes, whether or not you use a physical credit card is not important. It is the use of credit card information that is illegal.
The definition of credit card information includes:
- Credit cards.
- Passwords.
- Private information regarding the account.
- Personal Identification Numbers (PINs).
- Can a Business or Restaurant Commit Credit Card Fraud?
- In addition to the five credit card crimes that can be committed by individuals, credit card fraud can also be committed by a retailer or other merchant who accepts payments using credit cards. This would include restaurants, caterers, service providers, freelancers, and home resellers, amongst others.
Credit card fraud by a retailer can be committed in one of two ways. First, it is illegal to receive payment using a card the retailer knows is stolen, fake, or fraudulent in some way. Second, retailers are prohibited from creating false invoices or receipts to take payment for transactions that did not exist or were for lesser amounts.
What Are the Penalties for Credit Card Fraud?
The punishment you can face for credit card fraud will depend on the facts of the case and your criminal history. For the crimes that involve obtaining goods or services, you can be charged with petty or grand theft. Petty theft is capped at $950, so any amount or value stolen above $950 will lead to grand theft charges.
Both petty and grand theft can either be a misdemeanor or a felony offense. At the lowest level of petty theft, you can face a maximum of six months in county jail and a $1,000 fine. The longest sentence available for grand theft is three years in jail.
Likewise, counterfeiting or forging credit card information also are crimes that can be charged as either a misdemeanor or felony. Again, the maximum sentence is up to three years in jail.
Finally, illegally publishing credit card information is a misdemeanor offense that could end up with you serving up to six months in jail. However, that is for each violation, so if you publish multiple information on multiple credit cards, it could add up quickly.
If you’ve been arrested for credit card fraud in Anaheim, California, it’s essential to seek out experienced defense attorneys to represent you. The skilled team at Chambers Law Firm can help you fight the charges. Set up a no-obligation consultation today by calling 714-760-4088 or emailing dchambers@clfca.com.
