Protecting Yourself from ATM Skimming: What You Need to Know

The Rise of ATM Skimming: How to Protect Yourself from Fraud

As you go about your day, swiping your debit card at various locations, you may not realize the potential risk you face of falling victim to ATM skimming. According to a recent FICO report, the number of compromised ATM cards due to skimming activity nearly doubled in 2023, with over 315,000 impacted cards identified.

But what exactly is ATM skimming, and how can you safeguard your sensitive information and hard-earned money from these fraudulent schemes?

ATM skimming occurs when criminals use special devices installed on ATM or payment terminals to capture your debit card information, including your name, card number, security code, PIN, and more. Despite efforts by financial institutions to combat skimming through technologies like EMV chips and tap-to-pay, the issue persists. In 2023, more than 3,500 financial institutions were affected by card skimming, as reported by FICO.

Skimmers employ various tactics to obtain your personal data, such as attaching devices to machines to read and record card information, placing cameras to capture your actions, or overlaying PIN pads to capture your keystrokes. With this information, they can access your checking account funds, make unauthorized purchases, or even open fraudulent accounts in your name.

To protect yourself from ATM skimming, there are several proactive measures you can take. Firstly, inspect the payment machine for any signs of tampering before use, such as loose card readers or suspicious attachments. Utilizing contactless payments or chip readers can also enhance security by encrypting your card information and minimizing exposure to fraudsters.

Additionally, cover the PIN pad when entering your code to prevent hidden cameras from capturing your PIN. Avoid using non-bank ATMs, as they are more susceptible to skimming incidents. Regularly monitor your account for any unusual activity and set up alerts for transactions exceeding a certain amount to promptly detect and report any fraudulent charges.

By adopting these habits and staying vigilant, you can reduce the risk of falling victim to ATM skimming and safeguard your financial well-being. Stay informed, stay alert, and stay protected against this pervasive form of fraud.