Skimming is when an electronic device is attached to an ATM or payment terminal and ‘skims’, or steals, your card information. This is an easy way for criminals to get the knowledge they need to make fraudulent purchases using your card data. Skimmers can be placed over the card reader, in the form of a tiny camera that records you as you enter your PIN, or they can be placed over an ATM keypad.
Unfortunately, this crime is becoming much more common. In fact, quite a few skimming devices in Michigan1,2 have been found over the past few years. Next time you use your credit or debit card, take a few minutes to check your surroundings and look at the machine.
ATMs in dark areas that cannot be seen from the street or machines placed behind large objects (like trees or shrubbery) should be used with caution or not at all. Well-lit ATMs that can easily be spotted from the street are less likely to be targeted by criminals.
When you’re entering your PIN at an ATM or payment terminal, cover the keypad with your free hand. This prevents people around you from seeing your PIN when you’re in a crowded area. Also, if the machine has been tampered with and a pinhole camera is attached to the machine, this precaution prevents criminals from recording your number.
Before you insert your card into an ATM or payment terminal, pull on the card reader. If it seems loose or comes off when you tug on it, then don’t use the machine because it might be compromised. It’s a good idea to check the rest of the machine for pieces of equipment that seem loose or out of place. For example, sometimes criminals attach an extra mirror to an ATM and hide a small camera inside the mirror.
Gas pumps are a prime target for skimming devices because they are used frequently and are often unattended. It’s a better idea to pay inside the store when you go to fill up. If you have to use the terminal, make sure the seal sticker isn’t broken on the machine. And, again, cover the keypad and check the card reader for any signs of tampering.
If you find a skimmer or another suspicious object attached to an ATM, report it to the financial institution right away and avoid using the ATM. Similarly, if you find a skimmer on a payment terminal (like at a gas station) or suspect the machine has been tampered with, let the store employees know and do not use the machine.
It's a good idea to regularly check the recent activity on your accounts using Online, Mobile, or Text Banking. And rest assured that your debit cards are covered under the Mastercard® $0 liability policy1, meaning you’re not responsible for any unauthorized transactions if you meet certain terms.3
Next time you use your cards, take some extra time to look around. Your observation skills are a huge deterrent from having your information end up in the wrong hands.
1Third party website. Lake Trust Credit Union is not responsible for the content, availability, security or compliance of any linked third party websites. In addition, the site's privacy policies may differ from those of Lake Trust.
2Devereaux, B. (2016, September 10). See Where 68 Credit Card Skimmers Were Found in Michigan. MLive. Retrieved from http://www.mlive.com/news/index.ssf/2016/09/see_where_70_credit_card_skimm.html
3Additional terms and conditions apply. View Mastercard $0 liability policy for specific details about coverage. Transactions must be reported to Lake Trust in a timely manner, but no later than 60 days after Lake Trust sends a statement listing the disputed transactions.