A common form of ATM fraud is the theft of your card data and PIN when using. How fraudsters can do this? Using a device known as a ATM skimmer , which can often be so small and discreet, you might not even notice. According to the FBI, skimmers may be responsible for the loss of hundreds of millions of dollars each year. That is why it is important to know exactly what ATM skimmers are, what they look like and how you can protect yourself against falling victim to an ATM that has been compromised by one.
What exactly is an ATM skimmer?
A skimmer is a device that can be placed above or inside the ATM card reader that scans and copies your card information when you insert it. Skimmers have been around for a while, and they are smarter and smaller. Because these devices can be sophisticated in design, they are often difficult to detect, especially if people are not looking for them in the first place. Many skimmers are also paired with a hidden camera somewhere near the keyboard, which saves you when you enter your PIN. Sometimes, instead of a camera, scammers place a false keypad overlay over the existing keyboard. This will store the keystrokes you type. The thieves use the information obtained from these devices to create a copy of your debit card, which they then use as quickly as possible to drain your bank accounts.
Some skimmers recently found in Europe were powered mobile, which means that they transmit data via a text message to the thief - so they are not even back to the ATM to access the stolen data . Older designs fit over the slot of the card reader, often obscuring the flashing green light to create a visual tell to anyone paying attention that something is off. However, the new models are thinner and sit in the throat of the actual card slot. If you are interested to see what look like skimmers, the blogger Brian Krebs Security wrote a long series of skimmers which includes lots of photos to give you an idea of what to look for.
How can I protect myself against skimmers
skimmers are not only used on ATMs - they were also found on gas pumps, POS machines in stores retail and other machines where people swipe their credit / debit card. Although knowledge of these scam devices could be scary to understand, you can take steps to protect yourself from falling victim.
1. Protect the keypad with your hand when entering your PIN. This is a good practice if you are to ATM or grocery store, and fewer people to do what they should. Protecting the keypad with your hand while you type your PIN, you not only prevent any spy cameras to capture you as you enter the data, but you can also ward off any potential thieves lurk on your shoulder. Of course, if a skimmer installed, it will not stop reading your card data. But without your PIN, the thief can not use the stolen data to withdraw money from your bank account -. And at least a shopping spree leaves a written record
2. Avoid using ATMs of suspect notes. It may seem obvious, but few people take the time to inspect an ATM before using it. Yes, you might be in a hurry, but this is what the scammers count on. Inspect the machine before inserting your card, checking for signs of damage or deterioration of the card reader, unusual buttons or overlays and suspicious holes that could be concealing a hidden camera. Many ATMs have a camera installed for security purposes, but these are usually prominently so customers know security is provided. It is also wise to avoid ATMs in isolated areas or who do not seem to be controlled or maintained regularly. Automatic ticket machines inside banks are generally your best bet.
3. Beware of card readers on doors, as well. Although the ATM inside the lobby of your bank is often the safest option because they are more likely to be kept by employees on a daily basis, they are not completely free of risk. Skimmers can be placed on the device that reads your card to unlock the door after hours. That alone or coupled with a camera on the ATM's all a thief needs to steal your card details, so be sure to look closely at any device connected to the door of your bank before sliding.
4. Consider upgrading to a chip and PIN card. Already in use across Europe, smart cards and PIN-also known as EMV cards are designed with a chip that encrypts data for each individual transaction - rather than the design of the magnetic strip that holds all your information there. Since the introduction of these cards in Europe, according to CBS News, ATM skimmers have become less popular crimes because of these cards are more difficult to duplicate. These new cards are being deployed by banks in the United States right now, and the goal is for merchants and banks to fully upgrade their systems by the end of 2015. It is important to note that the most aTMs and retail systems at point of sale has not been updated, so you may still need to use the tape for certain transactions. - But it does not hurt to be ahead of the curve
5. Closely monitor your bank statements. Although this is not a preventive measure against having your card stolen by an ATM skimmer, keeping a watchful eye on your bank statements ensure you catch suspicious activity immediately. Setting up alerts on your account to indicate a low balance is also a good safety measure, especially as this type of theft often involves withdraw money from your account. It's bad enough to have your stolen debit card information, but nobody wants to know when they will pay to the cashier of grocery online store.
The criminals are always a step ahead, it seems, but knowing the dangers there is a way you can protect yourself and your identity. Staying safe is not always easy. Learn more about protecting your identity on our blog protective against identity theft.