In this post we will be explaining why we think you should only buy cryptocurrency with a major credit card such as Visa or Mastercard when first entering the crypto markets. This post is especially for the noobs out there that have never bought any cryptocurrency before and feel that they are missing out. Remember that people like you can be easily lured into a crypto scam and you will want to keep reading this post to learn more.
You know that bill that you get every month, it’s probably around $5 or $10 and it comes out of your account miraculously for no apparent reason and is billed to you by the bank just for being the owner of a Visa or Mastercard? Well there is a reason you are making that extra payment each and every month. It’s called insurance. Your major credit card is insured, unlike a debit card or a pre-paid or gift card, you major credit card is insured and if you get scammed you can report the scam to your credit card company and they will help you. You can ask for what is called a “chargeback” and even speak with the fraud team at your local bank.
Remember that cryptocurrencies and initial coin offerings especially are still the wild west. If you have a few Bitcoin or Ethereum and use them to buy a new sort of token that someone is selling through an ICO and that ICO turns out to be a scam, you have no way of filing a chargeback and you will most definitely never get back your precious cryptos. This is why when you are trying to buy into an ICO, no matter how trustworthy it seems to be, you should do so with a major credit card, so that you will have the option to file a chargeback. Your payment is insured in case of fraud!
Also if you are purchasing a cryptocurrency such as Bitcoin or Ethereum at an online exchange or website, do so only with a major credit card. Anyone can open a website that claims to sell Bitcoins and anyone can open an Exchange within a matter of minutes, claiming to be an exchange. Even the most popular Exchanges have had their fair share of fraud and scam allegations – so no matter what you do make sure you are using a major credit card such as Visa or mastercard and never ever use a gift card or pre-paid credit card for buying cryptocurrency, that is just asking for trouble!
How To File For A Chargeback
If you feel that you may have been scammed or defrauded by a crypto vendor or exchange, remember that you will have 60 days to file a chargeback. If you think there might be fraud or a scam going in it will also help you with the chargeback if you make a complaint, call your bank and ask for the fraud department, tell them you think you have been scammed by a cryptocurrency online vendor or by an ICO and they will know what to do to help you with the chargeback. Remember in most cases you will have only 60 days or even less to file a chargeback so you have to act fast if you think you have been scammed.