With holiday shopping just around the corner and the increase of credit card fraud especially “skimming” on the rise, it is important for everyone to recognize this potential hazard.
Skimming is a form of high-tech financial fraud. It relies on sophisticated data-reading electronics to copy the magnetic stripe information from your credit card or debit card. It can capture both your credit card number and your PIN. There has been an increase of these skimming devices found in the Chicagoland area including Naperville. If you use your credit or debit card to withdraw cash from an ATM, pay for fuel at the pump, or at other machines that accept a credit or debit card then you are at risk.
How does it work?
A criminal slips an electronic magnetic stripe reader over the existing card slot at an ATM, or replaces a point of sale device. When you slide your plastic in, the skimming device reads it first, and then the actual card reader does–at which point the transaction proceeds as expected. But now a crook has an exact copy of your card data without your even realizing it. Thieves use this data to create cloned cards or access bank accounts to steal money.
Spotting a skimmer
Sometimes this can be very difficult. These skimmers can look very similar to a standard card reader, so before you insert your card, check to see if the card reader wiggles or if the placement looks suspicious.
Skimmers are usually the size of a deck of playing cards. The unit fits over the existing card reader. Occasionally, scammers will attach a camera somewhere nearby that can view the keypad on which you enter your PIN. These cameras can either be mounted at the top of the ATM, as part of the skimmer, or in the form of a brochure holder attached to the side of the ATM booth.
Inspect the card reader for any signs of damage or tampering. Sometimes the card reader may look in order, but not feel right. If the machine you’re using is next to another machine, compare them to see if there are any differences. If any part of the machine is a different color or material, or if any graphics aren’t aligned properly, be suspicious. When in doubt… don’t use the machine.
Even if you’re confident that your machine is secure, it’s still best to cover your keypad when you enter your PIN.
Check your statements
Since it may take weeks or months for a thief to use your card information or sell it to another thief, always check your bank and credit card statements for fraudulent purchases and charges. Report them immediately to your banking institution and your local police department.
Until next month… Stay Aware & Stay Safe.
