ATM FRAUD
What is ATM Fraud?
ATM fraud is not actually a type of fraud, however it describes the location where that fraud occurs, for example, where the victim withdrew money at an ATM (Automated Telling Machine) and had their account accessed and defrauded.
Although ATM scams have increased significantly in the UK in the last five years, it accounts for less than ten per cent of the types of credit card fraud and debit card fraud. Card skimming at ATMs is a growing trend, often perpetrated by organised Eastern European criminal gangs.
Card Reading Devices
Skimming machines are attached to the cash card entry slot and a separate miniature pinhole camera is hidden overlooking the PIN pad. This enables the criminal to create a counterfeit cash card to withdraw money at ATM machines using the legitimate PIN. These skimming machines are often highly sophisticated and are made to look as if they are part of the ATM machine itself. The skimming machine may only be placed on an ATM machine for a short period of time whilst the fraudsters remain nearby. When the fraudsters eventually take the skimming machines off, they will move to another cash card machine and do the same again.
Shoulder Surfing
This is where criminals look over a cardholder's shoulder to watch the PIN being entered and then steal the cash card, either by distracting the victim or by pick pocketing. A popular distraction technique is dropping money on the floor and pointing out to the victim at the ATM machine that they have dropped it.
Card Trapping Devices
A device is inserted into an ATM machine's cash card slot which then retains the cash cards inside the ATM machine. The victims are tricked into re-entering the PIN while the criminal watches – maybe thinking that there is a genuine problem with the ATM machine. After the cardholder gives up and leaves the ATM machine, the criminal then removes the device which holds the cash card, and withdraws cash with the pin number he has just learned.
How Can We Protect Ourselves Against ATM Fraud
ATM fraud is a growing crime. The Association for Payment Clearing Services (APACS) are working hard with industry and law enforcement to reduce the volume of criminality relating to ATM machines. In the meantime there are some basic points to follow to keep yourself safe from ATM skimming and other ATM scams...simple but effective...
• If you suspect a skimming machine has been placed on an ATM machine do not try to remove it. These skimming machines are expensive, and suspects may use violence if they think their precious commodity is likely to be damaged or interfered with. Instead of taking direct action personally, call the police or contact the bank immediately.
• Never keep your credit card or debit card and PIN number together.
• Do not let others see your PIN number, and be aware of other people behind you at ATM machines.
• Try to cover your typing hand when keying in your PIN.