What to do if your credit card is lost or stolen? 7 steps to take to avoid financial loss

What happens if you lose a credit card?  

If you happen to lose your credit card, immediate action is critical. When your credit card is lost or stolen, a crook can potentially start making charges to your account within minutes. Under U.S. law (specifically the Fair Credit Billing Act), your liability for unauthorized credit card charges is capped at $50 at most, and if you report the loss before any fraudulent charges occur, you won’t owe anything. 

However, those protections depend on how quickly you report the lost card. If you delay and a bad actor uses the stolen or lost card, you might be on the hook for up to $50 of those charges (though many card issuers have zero-liability policies and won’t charge you even that). More importantly, dealing with credit card fraud after the fact can be time and energy consuming.

Beyond the immediate financial risk, a lost card could also be a gateway to identity theft if other personal information (like your ID or wallet) was taken at the same time.

7 steps to take if your credit card is lost or stolen 

Here is a list of seven essential steps to take immediately when you realize your credit card is lost or stolen:

1. Report a lost or stolen credit card to your card issuer

Your very first move should be to report a lost or stolen credit card to the issuer. Do this as soon as you notice the card missing to prevent unauthorized use. Most card issuers have 24/7 hotlines or emergency numbers specifically for lost or stolen cards. You can usually find the number on your billing statement or the bank’s website. Many banking mobile apps also have a feature to quickly report a lost or stolen card or to temporarily lock the card.

When you contact the issuer, tell it your card is lost or stolen if you suspect theft. It will deactivate the card immediately, which means no further charges can be made on that card number. This quick action is critical — federal law says that any charges made after you report the loss are not your responsibility to pay.

In other words, once the bank knows the card is missing, you’re protected from additional fraudulent charges. If someone does try to use the card, those transactions will be declined.

2. Review your lost or stolen credit card statements

Once you’ve alerted your bank, the next step is to review your lost or stolen credit card statements for any signs of unauthorized use. Crooks who get hold of a credit card will often “test” the card by making a small purchase, or they might go on a spending spree if the card remains active. So carefully review your credit card statement and online transaction history for the lost card’s account. Look at the most recent charges in your mobile app or online banking — do you recognize all of them?

Keep an eye on your account for the next few days because some charges (like online transactions) might hit the account after a short delay. Continue to monitor your credit card statement in the coming billing cycles as well, just to be sure no surprise charges slip through. The Federal Trade Commission (FTC) advises that you regularly check your statements and report any charges you don’t recognize as soon as you find them. 

3. Request a credit card replacement

Be sure to request a credit card replacement as soon as you report a card lost or stolen. In most cases, the issuer will automatically cancel the old card and send you a replacement. It’s standard procedure — the bank will issue a new credit card number for you as a security measure. Be sure to verify this with the customer service representative — confirm that they are sending a replacement card and ask when you can expect to receive it. Typical delivery times range from 3 to 7 business days for a new card to arrive.

Your replacement card will have a new card number, expiration date, and CVV (security code). The account itself (your credit card account with the bank) usually remains the same, but the card credentials change so that the stolen or lost card can’t be used. Make sure the bank has your correct mailing address on file for the new card delivery. If you’re traveling or in an unusual situation, let the bank know — card issuers can sometimes send a card to a temporary address.

Once your new card arrives, activate it following the instructions that usually come with it. Your stolen or lost card will stay deactivated permanently — if you happen to find it later, do not attempt to use it. You should shred or destroy the old card (cut through the chip and magnetic stripe) to be safe.

4. Monitor your credit report

Be sure to monitor your credit reports in the weeks following a lost or stolen credit card incident. Why? While a lost credit card by itself typically doesn’t give a thief enough information to open new accounts in your name (they’d usually need your Social Security number and other data), it’s better to be cautious, especially if your wallet or personal information was stolen along with the card.

You are entitled to a free credit report from each of the three major credit bureaus (Equifax, Experian, TransUnion) at least once a year. In fact, through the official AnnualCreditReport.com website, you can currently get free reports from each bureau weekly (a policy extended in recent years). 

If you do see something suspicious, like a new account you never opened or a credit inquiry from a lender you never applied to, that could be a sign of identity theft beyond just the credit card. The FTC recommends visiting IdentityTheft.gov to report identity theft and get a recovery plan if you suspect your personal data has been misused.

5. Consider a fraud alert or credit freeze

Consider a fraud alert or credit freeze if your credit card was stolen or lost in a scenario where other personal information might have been compromised (for example, your whole wallet was stolen with your ID inside). These free tools can protect you from identity theft in the aftermath of losing a card.

• A fraud alert is a notice you can put on your credit reports that tells lenders to take extra steps to verify your identity before issuing any new credit in your name. For instance, if someone tries to apply for a loan or credit card in your name, the lender will see the fraud alert and should take additional precautions (like calling you for confirmation). Initial fraud alerts last for one year (can be renewed) and are free.
• A credit freeze (also known as a security freeze) is a stronger measure. When you freeze your credit, it completely locks access to your credit reports for new inquiries. That means no new creditor can pull your report to approve a new account, effectively preventing anyone from opening new credit in your name while the freeze is in place. You’ll get a PIN or use your online account to lift the freeze whenever you need to apply for credit yourself. Freezes are also free to place and remove, by law, and they last until you lift them.

Remember, these measures don’t affect your current credit cards or accounts — your existing card accounts will continue to function.

6. Update recurring payments

When your credit card is lost or stolen, one often-overlooked task is updating recurring payments that were tied to that card. Think about subscriptions and bills you pay with the card: streaming services, utility bills, phone bill, gym membership, insurance payments, annual renewals — any service that regularly charges your credit card. Since your old card is now deactivated, those upcoming charges will be declined if you don’t update your card details.

If you have a lot of recurring charges and you’re not sure you remember them all, keep an eye on your email or mail for any failure notices. Companies will usually alert you if a scheduled payment doesn’t go through. But it’s better to get ahead of it.

One more thing — if you had any online shopping accounts or digital wallets (like Amazon, PayPal, rideshare apps, etc.) where that credit card was stored, log in to those and update or remove the old card. This ensures you won’t accidentally try to use the canceled card for a purchase and get declined.

7. Review insurance coverage 

It’s a good idea to review what coverage you might already have (or might want to have) for financial losses related to credit cards or identity theft. Start with your homeowner’s or renter’s insurance policy. Many standard homeowners’ and renters’ insurance policies include a small amount of coverage for credit card fraud or theft. Check the “additional coverage” section of your policy or ask your insurance agent about credit card coverage. 

Also, if you have any premium credit cards or membership services that advertise purchase protection, lost wallet assistance, or identity theft resolution, review those benefits. Some high-end credit cards provide concierge assistance if you lose your cards or help you cancel all your cards if your wallet is stolen.

How to find a lost credit card?

One question that might cross your mind when you realize your card is missing is: Can I track or locate my lost credit card? We’ve all used “Find My iPhone” or similar features for gadgets, so is there anything like that for a credit card?

Unfortunately, no,  your credit card does not have a GPS tracker. The EMV chip and magnetic stripe on a card carry payment data, but they don’t enable any locating functionality. You can’t ping your credit card’s location like you would a lost smartphone. So finding a lost credit card comes down to good old-fashioned searching.

Here are a few tips on how to find a lost credit card:

• Retrace your steps. Think about where and when you last used the card. Was it at a store, a restaurant, or an ATM? If you remember the last transaction, that’s a good starting point. Check that location if possible. If you were at a restaurant, for example, call it and ask if a card was found or left behind. Many people simply forget to take their card back after paying the bill at a restaurant or store. Businesses often hold lost cards in a safe place awaiting the owner.
• Search your surroundings. Thoroughly check the places where your card could logically be. Look in your wallet (maybe it’s stuck in a fold), your purse, your pockets, your car, around your desk, or wherever you might have had the card out. It sounds obvious, but in a panicked state, you might overlook a spot.

Tips to avoid losing a credit card

Here are some practical tips to help you avoid losing your card. After all, prevention is always better than cure.

• Carry only essential cards: Don’t carry every credit card you own in your wallet “just in case.” Stick to the one or two cards you actually use frequently. This way, if your wallet is lost or stolen, you minimize your exposure. 
• Store unused cards securely: Keep the credit cards you rarely use in a safe place at home. This reduces the risk of losing them outside the house.
• Have a consistent spot for your card: Always return your credit card to the same place after its use. If you keep it in a certain slot in your wallet, make it a habit to put it back immediately after paying. Many losses happen when we’re distracted.
• Double-check before leaving: Whenever you use your card to pay, take a second to double-check that you got your card back. It’s easy to leave your card on the counter or for a waiter to forget to return it. Countless people have lost their cards by leaving them behind after a purchase.
• Be cautious in public: Keep your wallet or purse secure and be mindful of your surroundings in crowded places. Pickpocketing is one way cards get “lost.” Consider using a wallet that closes firmly or even one with RFID protection to prevent skimming.
• Use digital wallet apps: Consider using digital payment options like Apple Pay, Google Pay, or Samsung Pay on your smartphone. Mobile wallets tokenize your card information, meaning you can pay via your phone or smartwatch without pulling out the physical card. 
• Set up account alerts: Take advantage of credit card alerts offered by your bank. You can usually set up text or email notifications for transactions over a certain amount, for online purchases, or for any purchase at all.
• Use a credit monitoring/identity protection service: Enrolling in an identity protection service like NordProtect that includes credit monitoring can add an extra layer of security. Such services can monitor your credit reports and personal info, alert you to suspicious activity concerning personal data or credit and often assist in recovering from identity theft. While services like NordProtect can’t prevent you from losing a card, they can greatly mitigate the damage if a lost card leads to broader fraud. 

By following these tips, you’ll reduce the likelihood of losing your credit card, and even if you do lose one, you’ll be in a much better position to handle it smoothly.