[cynwoody]

The odd thing is that just a couple of days before the fraudulent charges, we received replacement cards from Discover, because they were concerned that our account had been compromised.

Did the cover letter for the new card explicitly state that your card had been compromised? Did the new card have a different account number?

If not, it's probably just a coincidence. If Discover doesn't think you are using your card enough, they will send you a new one out of the blue, even though your old one hasn't expired, just to kick-start you into spending mode. IOW, it's strictly a marketing ploy, not a security issue.

It's happened to me more than once. The new card has distinctively different aesthetics, but the same account number and expiration date. If you read the mag stripe, it will be the same except for an incremented sequence number.

[Theo]

They said it may have been compromised. Only the 3-digit code on the back changed, not the 16-digit number on the front.