Alabama Credit Card Fraud

Credit card fraud in America is far-reaching, with identity theft driving many criminal cases. Credit card fraud occurs when someone uses another person’s credit card or credit card information to make purchases, without permission.

Credit card fraud is a crime that affects the credit card owner, the issuing bank, merchants, and the government. There are different types of credit card fraud, including the fraudulent possession of a credit card or the fraudulent use of a credit card. Alabama law prohibits both types of credit card fraud in Section 13A-9-14 of the Alabama Code.

Alabama’s Credit Card Fraud Laws

Although the Alabama Code and this article address credit card fraud, the laws include the illegal possession and use of debit cards. Section 13A-9-14 of the Alabama Code includes definitions of credit cards and debit cards.

Credit Cards

In Alabama, the following are included in the definition of a credit card:

• Cards used to obtain telecommunications services
• Traditional credit cards (i.e., Visa, Mastercard, American Express)
• Credit plate
• Bank service card
• Check guarantee card
• Welfare card
• Electronic Benefits Transfer (EBT) card
• Similar cards or account numbers, issued for use (by the cardholder) in obtaining goods, services, or anything else of value

Debit Cards

In Alabama, debit cards include any instrument (or writing) issued by a financial institution for a depositor’s use against funds already deposited into their checking or savings account.

Fraudulent Use of Credit Card

The crime of fraudulent use of a credit card occurs when a person uses or attempts to use a credit or debit card to get goods, services (or anything of value) knowing one of the following is true:

• The card is stolen
• The card was revoked or cancelled
• Their use of the card is unauthorized by the issuer or the cardholder

For example, if the alleged perpetrator uses someone’s EBT card without permission. The government did not authorize that person to use that EBT card.

Illegal Possession of a Credit Card

The crime of illegally possessing a credit card occurs when a person uses or exercises control over another person’s credit card, knowing they do not have the cardholder’s consent. For example, if someone steals a credit card and then uses the physical card to make purchases, they are likely engaging in illegally possessing a credit card. The term credit card includes the full range of credit and debit cards described above.

Punishing Credit Card Fraud in Alabama

Both types of credit card fraud are Class D felonies, with potential punishment ranging from 366 days to five years in prison. Unlike other types of crimes, Alabama does not classify credit card fraud into degrees (i.e., first-degree, second-degree, etc.).

Overview of Alabama's Credit Card Fraud Laws

 Get Legal Help

Although some consider credit card fraud a white-collar crime, law enforcement takes it seriously. It is a felony, not a misdemeanor and punishment includes jail time. If you are facing credit card fraud charges, you should speak to a local criminal defense lawyer. They can provide sound legal advice and help to protect your rights.