Credit card risk refers to the possibility of losses to the card issuer, cardholders and special merchants due to various adverse factors during the operation and management of the credit card business. The reasons why credit cards are risky are:

1. There is a lack of a good social credit system, and citizens’ personal credit control is in a state of disorder. On the one hand, banks pay attention to credit, on the other hand, they also require cardholders to pay attention to credit. The issuing bank has a certain degree of blindness in the process of issuing cards, thus giving opportunities to those with bad intentions.

2. The cost of fraud is low and the legal crackdown is too broad. The provisions on credit card fraud need to be further improved in practice, made concrete and quantitative. Therefore, it is very necessary to establish and improve the applicable laws for credit cards. It is an intrinsic factor and the first line of defense to prevent credit card risks.

3. The professional quality of the staff at credit card acceptance points is not high, and the card usage environment needs to be optimized. Cashiers are relatively new to the credit card payment business, and some are not even familiar with normal credit card acceptance procedures, let alone how to identify counterfeit and counterfeit credit cards.