Card Protection Plan - Analysis

We have already discussed about the Card protection plan including the benefits as well as the drawbacks. Let us discuss about the validity and worthiness of the plan and the real problem Indians are facing regarding the Credit cards as well as debit cards. A view at the drawbacks I think would have provided you an idea regarding the Card Protection plan and the conclusion you would have arrived,I hope is that the plan is useful because it offers you Pre-notification benefit which means if any fraud happens even before the report of Card holder those fraud will be covered but not fully when it comes for more than three card and if credit limit is above forty thousand since the maximum compensation that will be paid for a single card is just Forty Thousand Rupees if it is misused by fraudster( only when the card is physically lost or stolen).

This plan is offered by majority of the banks in India and still the reason for this is not clear, since Card protection plan is applicable only for the fraud that happens in your card after you get it physically lost or stolen. The probability for loosing credit card or debit card is very less and more over stealing cards is a very old story because nowadays majority of the cards are misused through skimming, a technique of getting the card details and misuse the data later. Once again the bank should take the liability for the fraud that happens in your lost or stolen card if u got it signed or if your card is a photo card(card that have the photo of the authorized card holder) or the liability goes to the shopkeeper who dint care to verify whether signature is matching or not.

The above stated details are true facts and you can claim the money that was misused in credit card if you dint acted with a total negligence or helped out the fraud to happen with your knowledge. So, signing the back of your card is very important and do it as soon as possible after receiving them. Now the only benefit offered by CPP itself become invalid and still what baffles me is why banks in India are still providing their customers this Card Protection Plan and many of them when there are possible ways to protect their card without spending a sum of thousand four hundred and four rupees.