Cashpoint fraud jumps 200% in a year
The number of people hit by cash machine fraud has almost trebled in the last year, according to new figures.
Fraudulent incidents at ATMs increased by almost 200% to 7,525 incidents in the first four months of this year compared to 2,533 in the same period of 2012, according to Financial Fraud Action UK (FFA).
The organisation said that criminals were finding it increasingly hard to beat chip and PIN security measures and so were reverting to older tactics, such as shoulder surfing, where fraudsters obtain your pin by simply looking over your shoulder at the ATM.
But tactics such as 'skimming;' and card-cloning were still being used, the organisation added. Card skimming devices capture credit and debit card details from victims who place their card into them.
The police said consumers should shield the Pin code pad while entering their number, with an object or their spare hand.
FFA also highlighted a growing number of these incidents have taken place at Transport for London ticket machines.
How to stay safe from ATM fraud?
- Be alert and put your safety first. If you feel someone is watching you can cancel the transaction, and do not accept help from seemingly well-meaning strangers.
- Beware fraudster devices. Fraudsters sometimes fit devices to ATM that trap your card, if this happens report it to the card company immediately.
- If you notice anything unusual with the cash machine do not use it.
- Stand close to the cash machine. Always shield the keypad to protect your pin from anyone who might be looking over your shoulder.
- Once you have completed your transaction put your money and card away before leaving the cash machine, and shred any receipts or statements.
The illegal copying of information from the magnetic strip of a credit or debit card by “skimming” it through a rogue card reader out of sight of the cardholder or attached to an ATM machine. Skimming is a more direct version of a phishing scam. Once scammers have skimmed the card, they can create a fake or “cloned” card with the cardholder’s details on it and can then run up charges on the account, borrow money or take out loans in the cardholder’s name and use the details to commit identity fraud.
Issued by a bank as part of a current account and, in a nutshell, serves as electronic cash. Unlike a credit or charge card, where you get an interest-free period before you have to settle the bill, the funds spent on a debit card are withdrawn immediately from your current account. Unless you’ve arranged an overdraft, if you don’t have the cash in the account, you can’t spend it.