Making purchases on the Internet seems quick and easy but has its risks. One of the biggest risks to you is credit card fraud and identity theft. Protecting yourself against credit card fraud can be very straightforward, and at relatively little cost. First and foremost, if you experience credit card fraud, it is imperative that you contact your credit card issuer immediately. You will find a 24-hour emergency contact number printed on every statement. As soon as the instance has been reported, your card will be cancelled and a new one sent to you within 5 to 10 working days.

Every cardholder should always take the following easy steps to avoid fraud:

* Keep your personal records secret: Never tell anybody or write down your PIN number or passwords. If you have difficulty remembering the number choose an easily remembered number, which isn't your birthday. * Cover your tracks: Always destroy and shred whenever possible. * Get extra protection: Mastercard and Visa offer a registration scheme, which is a free service. Once registered you will have to enter an additional password for online transactions. * Protect your PC: Make sure you have up to date anti virus and firewall software installed. A 'phishing filter' will protect from fraudsters who attempt to acquire your account numbers and passwords. * Beware of cold callers. * Never email your financial details to anybody. * Be cautious in shops to: Always use your spare hand to cover your other hand whilst entering your PIN in the machine. The same applies at cashpoints too. * Be vigilant: Always check your credit card statements. You should always file and keep all credit card statements. * Cover yourself: Think about taking out additional Identity Theft Cover with your bank or credit card supplier.

Identity theft can ruin your life, even if you are extremely careful. The fraudsters are able to use ever more sophisticated techniques to get your personal details. They can steal your identity and then use it to get loans and even mortgages without your knowledge. These loans will be in your name, and when (not if) defaulted on, will leave you with a big debt. Some credit cards have insurance schemes that protect against such occurrences, usually costing a small amount per month. These may be worth thinking about, especially if you travel a lot (putting you more at risk), or use your credit card often.

'Identity Theft Cover' will cover you and help you to prevent, detect and defend against the theft of your good name. It can take up to 400 hours to clear your name through all the individual credit agencies. However, with cover, this would be entirely dealt with by their team of experts on your behalf. It is possible in the worst cases of identity theft that your bank accounts become frozen pending investigations. Some policies would provide you with adequate funds in this eventuality and cover your legal fees. This type of cover may also offer: * UK-based helplines * Identity theft prevention information * Secure document registration facility: Have all your credit cards listed - so that one phone call can freeze them all * Real time credit reports: email or text message alerts you to any change in your credit status * A case specialist assigned to you if you become a victim * Cover for legal expenses and other costs

If you are cautious and take all the recommended steps to protect yourself, you will be sure of protecting yourself against credit card fraud and identity theft. Think carefully before choosing your credit card and find one that will cover you against fraud. Even if this seems like one more added expense, it could end up saving you thousands of pounds and a great deal of stress and worry.