Fraud involving ATMs: how to not become a victim

ATM is a convenient way to receive cash. Sadly, where there is money, there are fraudsters. It is important to know how fraud schemes work and how to protect oneself.

Fraud schemes

Skimming

Fraudsters install special devices onto the ATM card receiver that read data from your card’s magnetic stripe during insertion. These devices are invisible from the outside as the fraudsters make them seem as part of the ATM machine.

Keypad overlays

Fraudsters may install overlays on the ATM’s keypad that looks like a real one but instead reads the press of the buttons when you enter your PIN-code.

Hidden cameras

Skimming is often combined with the hidden cameras installed near the ATM machine that records entered PIN-codes.

Fraud prevention

Check the ATM machine before using it

Gently tug the card slot before inserting your card. It shouldn’t be wobbly or detach. Check the keypad for the presence of something that looks like it has been attached on top of it. If you have the smallest doubts about its appearance, you should look for another ATM.

Cover the keypad while entering the PIN-code

Simple yet effective way to protect yourself. Even if there is a hidden camera, it wouldn’t be able to capture the PIN-code you entered.

Use ATM machines located inside the bank outlets

It is harder to install hacker devices on such ATMs as they are located in the area under the constant CCTV surveillance.

Be aware of your surroundings

If you spot suspicious people near the area or you notice that someone carefully watches you while you are cashing out, it is better to cancel the transaction and use another ATM machine.

Activate push or SMS-notifications

That way you will receive messages about every transaction, which will help to spot possible fraudulent actions.

Conclusions

Skimming, keypad overlays, and hidden cameras are a real threat to the card holders, especially when you are in a rush and don’t pay attention to the details. But even simple actions such as checking the ATM, the keypad, and awareness of your surroundings can significantly decrease the possibility of losing money.

ATMs should be used carefully, as this is a part of financial literacy that helps you protect your money and peace.