New Credit Card Safety Measures

MSNBC - Denise Richardson says someone wanted to joy ride on her dime.

The Miami woman says someone bought airline tickets in Rome for travel over the Atlantic to destinations across America, flights that piled up the charges to her credit card until she discovered the fraud.

Closer to home, someone else charged their cable TV bills to another one of Richardson's credit accounts.

Now banks are taking further steps to protect credit card holders.

Soon when you hand over your credit card in a store or restaurant, you can get a text or a call from your credit card company before the transaction goes through, asking you if you are really making the purchase.

"It's a great way to protect yourself", said Carol Frederick an expert in identity theft.

Credit card companies are already using the "we contact you first systems" in Europe and said that they are now testing the systems here.

Within seconds of a merchant attempting to make the transaction, you could receive the text, phone call, or e-mail asking you to verify you have the card, where you're located, and the amount of the transaction.

"We were getting hit with identity theft in this country so people are having to learn, businesses are having to learn how to protect themselves," said Frederick.

Frederick said another protection merchants may also move to is bringing the swipe machine to you.

"Overseas, they bring the machine to you, you never let go of the card," she explained. "They also have a chip as opposed to the magnetic strip we use and that chip is harder to counterfeit."

Richardson wishes the "approve first" technology were available before.

One South Florida bank said they are now running a pilot program, another said it's being tested and they clearly see the benefits.

But they couldn't give us an exact date on when it will be available to you.