Skimming scammers hit ATMs
Just to explain, as sites such as Consumerist and Gizmodo already have: some crooks tamper with ATMs and credit card machines, adding phony magnetic stripe readers and tiny cameras to record information as well as the keystrokes used to enter PINs. Once they've got the data, they "clone" the cards --- printing new ones --- and go on spending sprees.
Skimming is suspected but not confirmed in a debit card number theft "situation" that affected a number of customers at a South Baltimore Wachovia ATM, a bank spokesman said yesterday.
What can you do?
Well, you should review your bank statements as soon as you get them, and check your bank accounts online regularly and often.
While at the ATM, be sure to cover your hand as you enter your PIN to thwart anyone who might be surreptitiously trying to glean your information.
Of course, watch out for any shady alterations to your ATM. But, don't beat yourself up if you don't spot them --- the tampering could be pretty well done.
And let's keep this in perspective: this kind of work requires a lot of heavy lifting. ATMs, which often have security cameras, aren't the most vulnerable places where we use debit cards, according to Paul Stephens of the Privacy Rights Clearinghouse. He says criminals can steal these numbers from point-of-sale credit card readers more easily and just clone those. There are federal protections in place, and banks and the credit card companies that back these check cards voluntarily pledge to cover consumer liabilities due to fraud, but here's the big problem, Stephens said: the money is automatically deducted from your account, and they can't make up for your losses until they finish investigating.
By contrast, under federal law, credit card companies won't hold you liable for paying for debts you report as fraudulent while they investigate the potential crime.
UPDATED: Scroll down on this Redbox page about credit card skimmers to find pictures of how they were used on the DVD rental machines last year. And for more information about ways Marylanders can protect themselves from identity theft, contact the ID theft program of the Maryland Attorney General's office.
What do you think? Does this make you want to cut up your cards and only withdraw cash directly from a teller?
Comments
Banks should be held responsible. They know what their machines are suppose to look like and it only takes 2 minutes each morning and evening to walk outside to check their machine to insure that they have not been tampered with. Simple as that.
Other ATM machines that are serviced by private corporations or individuals ARE RESPONSIBLE for their product. Again, simple as that.
EJR, I agree with you --- banks need to take responsibility, especially if they're going to be holding the bill for these thefts. But Wachovia's spokesman says within the story that sometimes the devices are sometimes only in place for a few hours, so they might not get caught even by regular checks. --- lfk.
Posted by: EJR | April 16, 2009 9:53 AM
Beware, read your statements. If your savings or checking account information is comprimised, it is possible to have withdrawals showing up on your account statements as ACH withdrawls. Ours were pure theft from a Texas organization. (I believe that ACH stands for Automated Clearing House). The Bankers will tell you that these are legal transactions and by law, they cannot block them. If this happens to you, as soon as possible contact your bank and get this resolved. We were victimized 3 times for over $500. The only way to assure that this will not recur is to move all of your money to another bank.
You have to be tough - the Bankers may humiliate you and tell you this is your mistake.
Posted by: Joe Schmedlack | April 16, 2009 10:30 AM
The United States Border Control uses biometric characteristics which are compared with the data in the electronic passport of each visitor coming to the US. It is a fast and safe procedure. If this system is even more simplified you just leave a finger print at your bank and the scanner at the ATM machine will indentify you together with your PIN or even your picture. However any step ahead or state-of-the-art technology costs money and the banks doesn’t care because it pays either the client or an insurance company.
All the passwords in my laptop are only accessible with a built-in finger print scanner.
Jorg Breuning
Posted by: Jörg Breuning | April 16, 2009 3:07 PM
The best way to prevent atm fraud, is notify customer via sms messages only on withdrals over 150-200$, or everytime contact customers by phone. And one more thing, like in Europe, some bank already use plastic cards with chip, so nobody could make a dublicate. Banks will probably spend more money to make them, it's not cheap, it works. It's worth it...
Posted by: Bobby Schneider | May 13, 2009 3:44 PM