Know how to prevent PAN card fraud and safeguard your financial information. Follow important tips to minimize the risk of fraudulent activities.
A PAN card acts as your financial identity passport. Since it’s linked to your bank accounts, investments, and tax filings, keeping its details confidential is crucial.
Your PAN card is a vital document used for all financial transactions in India. Keeping its details confidential is crucial to protecting yourself from fraud.
Unfortunately, even with caution, cybercriminals can exploit PAN cards to commit financial crimes. This can involve taking loans in your name without your knowledge.
Why Prevent PAN Card Fraud?
- To protect your financial identity
- To avoid unauthorized transactions
- To prevent financial losses
- To maintain your credit score
- Safeguard your personal information
Regularly Check Your PAN Activity: It’s essential to periodically check your PAN card activity. You can do this by logging into the Income Tax e-portal using your PAN details. This allows you to review your PAN information and recent transactions.
The Risks of PAN Card Fraud
Unaware victims are particularly vulnerable to PAN card fraud. Criminals can steal your PAN details to:
- Open fake bank accounts in your name: These accounts can be used for illegal money laundering or unauthorized transactions.
- Apply for loans or credit cards without your knowledge: You’ll be left burdened with the debt.
- Commit tax evasion by filing fraudulent tax returns.
How to Prevent PAN Card Fraud
Follow the essential tips to minimize the risk of PAN card fraud:
- Keep your PAN card safe
- Never share your PAN card details with unverified individuals or entities
- Be cautious of phishing scams
- Monitor your financial statements regularly
- If you find any unauthorized transactions, report the crime to the nearest police station by filing a First Information Report (FIR).
- If the unauthorized transactions involve your bank accounts, immediately report them to your bank.
- Report any suspicious activity to the Income Tax Department
- Keep your personal information up-to-date
- Use strong passwords and 2FA
- Avoid using public computers or public Wi-Fi for financial transactions
Preventive Measures:
Here are some crucial steps you can take to minimize the risk of PAN card fraud:
- Do not share your PAN card details on unsecured websites or apps
- Verify the authenticity of websites or apps before entering your PAN card details
- Use a secure wallet or payment app
- Monitor your credit report regularly
- Scrutinize your Form 26AS (previously known as Form 16) which provides a comprehensive record of all transactions linked to your PAN card.
Preventing PAN card fraud is a crucial step in safeguarding your financial information. By following essential tips, you can minimize the risk of fraudulent activities and protect your financial identity.