ATM Skimming | blog.firstffcu.com

Recent incidents of sophisticated financial fraud include the uptick in unauthorized capture of consumer card and PIN information through skimming and newer shimming devices, placed inside ATMs or payment terminals. Keep reading to learn how to protect your finances from these fraudulent devices and signs to look out for when using an ATM or other payment terminal.

What are Skimming and Shimming?

Skimming occurs when illegal card readers are attached to payment terminals including at the store, on gas pumps, vending machines, parking meters or on ATMs. These card readers grab data off a credit or debit card’s magnetic stripe without your knowledge. Criminals can then sell the stolen data or use it to buy items online. You can learn more about skimming devices and what to look out for by watching our YouTube video.

Shimming has evolved more recently, as card microchips (EMV chips) started being used on newer cards to curb skimming efforts. Shimmers are thin pieces of metal inserted into an ATM or a machine at a point of payment, used to capture information in the microchip. They are small and almost impossible to detect when looking at a machine from the outside. Shimming devices allow fraudsters to steal data from your EMV chip cards in the same way that skimmers capture the data from a magnetic strip.

How Does Shimming Work?

When a shimming device is installed on an ATM or point-of-sale terminal, a crook can steal the data contained on your card’s chip. They can then use the data to create a fake card and make fraudulent purchases. You most likely won’t be aware that a shimming device is inside an ATM or payment terminal. The device is typically positioned inside the machine’s card reader slot, and is designed to be undetectable. Once the device has shimmed data from unsuspecting cardholders, the crook will pull the device out of the machine to retrieve the stolen data.

Protect Yourself

There are several ways you can protect yourself from shimming, including:

Use contactless payment methods such as Apple Pay, Google Pay and Samsung Pay, like we have available here for our First Financial members.
Use a financial institution owned ATM. ATMs owned by a bank or credit union are more secure than one you might find at a convenience store.
Choose a safe ATM. Skimming and shimming devices are more likely to be installed in poorly lit areas and in less public places, where even if there are cameras – they most likely won’t be able to pick anything up. Read more about ATM safety in our previous blog post.
Always check the card slot. Be aware of how easily your card fits into a card reader slot. If it’s difficult to slide your card in, be suspicious. This might mean there’s a shimming device inside the card reader.

What Should You Do if You’re a Skimming or Shimming Fraud Victim?

Contact your financial institution or card issuer. Once you know your card has been compromised, reach out to your card issuer to lock the card and issue you a new one right away.
Setup account & fraud alerts and monitor your account. You can request that the credit bureaus place an alert on your credit profile, which will ask any creditors to verify your identity before issuing any new credit in your name. You’ll also want to carefully review your bank and credit card statements and online account for any unusual activity.
File a report with the FTC. You can visit the FTC’s website to submit a report about suspected shimming.

At First Financial, your financial well-being is our top priority. Our tools and resources such as our Fraud & ID Theft Protection Guides can equip you with the knowledge necessary to protect yourself from scams. By staying informed and vigilant, you can safeguard your finances and enjoy peace of mind in an ever-evolving digital world.

For more personalized financial assistance with your First Financial accounts, call us at 732.312.1500 or visit a branch today.

ATMs may be one of the easiest ways to access the money in your bank account, but they are also a target for theft. Criminals have been known to try taking cash right out of your hands upon leaving the ATM, or even stealing your personal identification number (PIN) at the ATM. This risk can be higher depending on the machine’s location or the time of day. Don’t let this scare you from ever using an ATM again though – you can take plenty of safety precautions to protect yourself and your money.

Here are our top ATM security tips for the next time you plan to withdraw money.

Keep your PIN private

If someone can steal your PIN, they can likely pretend to be you and use your account. That’s why it’s essential to be aware of your surroundings when using your card at an ATM. Someone waiting in line behind you can peer over your shoulder to see your PIN, or even withdraw more money if you forgot to end your transaction before walking away.

A more stealthy way criminals can try to take your money is by installing card skimmers on ATMs to capture people’s debit cards. Skimmers are hard to identify, making it challenging to even know your information has been compromised. Without taking proper precautions, your information can be sold online or used by criminals to make purchases.

Here are some tips for protecting your ATM/Debit card:

Inspect the ATM for possible skimming devices. Some red flags include sticky residue from an adhesive, damaged pieces, loose or extra attachments on the card slot, or noticeable resistance with pressing the keypad. Check out our ATM card skimming and fraud prevention guide for more information and images.
Cover your hand over the ATM keypad as you enter your PIN so no one around you can see.
Never write down your PIN or tell anyone your number. Keep it as private as possible.
Never give information about your ATM card or PIN over the phone. If your bank calls asking for you to verify your PIN, it is likely a scam.
Consistently check your accounts for suspicious activity.
Keep your card in a safe place and don’t ever leave it lying around – even at home.

Be alert at the ATM

No matter where you’re using an ATM, you’ll need to scan your surroundings for suspicious activity. If you notice someone waiting in a nearby car or hanging around while keeping an eye on you, try coming back later or using a different ATM. You’ll want to use your judgment – if something doesn’t feel safe, you’re probably right.

After withdrawing cash, stay alert. Some criminals may try to follow you. If you think that’s the case, find a heavily populated area and call the police. We recommend following these precautions every time you visit the ATM:

Bring someone with you when you go to the ATM.
Lock your doors at drive-thru ATMs.
Avoid using ATM machines at night.
Have your card ready as you get to the ATM, and do not linger and count your cash once it’s withdrawn from the machine.
Don’t leave your transaction receipt at the ATM.
If someone approaches you at the ATM and demands money, give it to them. No amount of money is worth risking your life. Call the authorities as soon as you’re somewhere safe if this happens.

View additional ATM skimming safety tips in our YouTube video.

At First Financial, we are here to help protect our members from fraud, scams, and identity theft. If you have any concerns or questions about any of your First Financial accounts, please call member services at 732.312.1500 or visit one of our branches.

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