PAN cards are issued by the Income Tax Department of India and it is unique alphanumeric identifiers. For checking the financial background and identity of the person PAN card verification is very important especially when you are applying for loans. It helps prevent fraud and provides accurate information.
However, with the expansion of digital transactions and the widespread use of PAN cards, there has been an alarming increase in cases of PAN card fraud.
Understanding PAN Card Fraud
PAN Card Fraud — When somebody fraudulently uses or tries to use a PAN from other persons for imposture purposes, For example, performing unauthorized financial transactions using the PAN could be a case of fraud that includes tax evasion and other forms of identity theft in addition to creating criminal false identities. There are generally consequences to this kind of fraud, and they usually lead to monetary loss for the victim as well as legal trouble and credit damage.
Following are the some of ways which usually used in fraudulent Activities:
- Cloning: They replicate the original PAN card and place name, DOB etc. on a duplicate or even fake one to carry out fraud. Typically, these cards are used to make high-cost purchases under the victim’s identity.
- Phishing: Phishing scams refer to the method of obtaining PAN card details by sending fake emails, or messages or creating websites that look genuine. After that information is garnered, fraudsters can turn around and use it to apply for loans or open accounts in the victims’ names.
- Unauthorized Access: Some of the time, what happens is that these fraudsters hack some old databases having PAN card information. Fraudsters can later use this information to commit financial fraud or sell it on the dark web.
Warning Signs of PAN Card Misuse?
Understanding the red flags of PAN card misuse can allow you to catch the fraudulent actions and fend for yourself. Some signs that indicate your PAN card is in phishing:
- Unknown Transactions: You may detect unauthorized transactions or loans from your bank statements which says that your PAN number is leaked.
- Income Tax Notices: If you are receiving surprising letters from the income-tax authorities about unpaid taxes or anomalies, there is a possibility that your PAN is being misused.
- Tax Filing Rejection: So in case your return is rejected because of duplicate filing, PAN may be used by someone.
- Credit Score Changes: Having said that, if your credit score suddenly plunges without any action on your part may indicate loans or untouched credits were taken in your name.
- Banks’ manner of communication: Calls or letters about accounts or loans you didn’t open are clear red flags.
Steps to Detect PAN Card Fraud
- Monitor Financial Statements: Review your bank and credit card statements for unauthorized transactions or loans.
Check Your Credit Report: Obtain and review your credit report periodically to spot any accounts or inquiries you don’t recognize.
Keep Track of Tax Filings: Ensure that your income tax returns are filed correctly and check for any discrepancies or unexpected rejections.
How to Report PAN Card Misuse
To complain about PAN Card fraud you have to follow the some steps:
- Step 1: Visit the official portal of the Tax Information Network.
- Step 2: In the Top right corner, there is one section “customer care”.
- Step 3: Next, select the option ‘Complaints/Queries’ from the section drop-down.
- Step 4: In the Complaint form Fill up all the required details, write your complaint, enter the captcha, and click on ‘Submit’.
Preventive Measures to Secure Your PAN Card
Store Your PAN Card Securely:
Keep your physical PAN card in a safe place, and avoid carrying it around unnecessarily. Store digital copies securely, using encrypted storage or password-protected files.
Be Cautious When Sharing: Only share your PAN card details with trusted entities, especially when filling out forms or making transactions. Avoid sharing your PAN over email or SMS unless necessary.
Use Secure Online Platforms: Ensure that any online platform where you enter your PAN details is secure (look for HTTPS in the URL). Avoid entering your PAN on unfamiliar websites.
Be Wary of Phishing Scams: Be cautious of unsolicited emails or messages asking for your PAN details. Always verify the sender’s identity before sharing any information.
Conclusion
Detecting and reporting PAN card fraud is crucial to safeguarding your financial identity. By staying vigilant and taking proactive measures, you can prevent fraudsters from misusing your PAN card. Regularly monitoring your financial activities, being cautious with whom you share your PAN, and promptly reporting any suspicious activity are key steps in protecting yourself. Stay informed, and take action to ensure your PAN card remains secure.
Also, Read:
How Do I Change Address in PAN Card Online?
PAN Card Corrections – How to change Name, Address, DOB & Mobile Number in PAN Card Online
Check TDS Status by PAN Card
