Card Skimming: Know The Signs

Did you know scammers can “hijack” point-of-sale terminals, ATMs, and fuel pumps to capture card data and create fake payment cards to make unauthorized purchases? This scam costs financial institutions and their customers more than $1 billion each year. Learn how to recognize these signs of card skimming to avoid becoming another victim.

How Does Card Skimming Work?

A skimmer is a device that connects to the internal wiring of an ATM, fuel pump, POS terminal, or any other card reader to collect card numbers. Once the numbers are collected, the scammer who installed the skimmer can use these card details to make fraudulent purchases. Skimming devices are often installed at ATMs and fuel pumps. It’s hard to spot these devices as the scammers do their best to make sure the device is camouflaged into their background and matches the style of the card reader.

Scammers who choose this tactic usually choose fuel pumps and ATMs (like at a convenience store) that are out of sight and a little worn down. It’s especially easier for them to install a device if wires are already exposed from the card reader. Or, they will distract store clerks to install a device.

Installing a card skimmer only takes seconds. Luckily, there are still some physical signs to look for to avoid card skimming scams.

The Telltale Signs

Card skimmers are often placed on top of the card reader to gather the data, while disguising itself. After closer inspection, you can usually spot one of these devices because:

  • Alignment issues – The device does not line up perfectly with the card reader below, or it sticks out in places.
  • Missing buttons – A skimming device may cover up arrows or other unique buttons you are used to seeing.
  • Wrong colors – One size does not fit all when it comes to POS terminals. Some have different color buttons, which can compromise a card skimmer’s disguise if the colors don’t match.
  • Hidden camera – To collect PINs, sometimes a small, pinhole-sized camera is installed somewhere discreetly near the card skimmer.

How To Protect Yourself

  1. Always inspect the card reader. Look for any anomalies like loose corners or misalignment issues. Pull at the edges of the card reader to ensure there isn’t a keypad overlay.
  2. Choose ATMs that are in well-lit, indoor places. These are less likely to be compromised.
  3. Use Tap-to-Pay frequently. This payment method is more secure than swiping or inserting your card into the card reader. A card skimmer can’t access your data if you use this payment method.
  4. Use your credit card. Credit card transactions are easier to dispute than debit card transactions.
  5. Check your account activity regularly. Check your bank statements and log into your account to check transactions and ensure they are yours.

If you think you have become a card-skimming victim, please report it immediately to the Internet Complaint Center and inform your financial institution.