Protect Yourself From ATM Fraud
Memorize your PIN (Personal Identification Number) as soon as possible. Do not write the number down on the card or keep in your wallet/purse.
Use a unique PIN. Do not use your birthdate, phone number, social security number, license number, house number or any number that is easy to guess.
Keep your ATM receipts, don’t leave these behind. Use the receipts to reconcile your account to ensure valid activity. Report any discrepancies immediately. Remember to shred the receipts when throwing out.
Ensure that no one is able to watch you enter your PIN number or how much money you are withdrawing. Cover your hand while entering your PIN at all times, there may be hidden cameras recording you.
Carefully cut up or shred your old cards when you receive a replacement card.
ATM Card Withholding & Skimming
Card Withholding is a scam where the thief places a substance in the machine that will cause your card to get stuck inside the ATM. The thief may be in line behind you watching you enter your PIN or there may be hidden cameras. When you leave the machine frustrated that your card is stuck inside, the thief will remove your card with pliers (or some tool). Now armed with your card and PIN that he watched you enter, he uses it at another location.
Before using an ATM, be watchful for any residue in the card slot. Don’t use it if there is. Don’t use an ATM that has signs posted asking to enter your PIN several times if your card gets stuck or if the machine looks tampered with in any way. If your card is stuck in an ATM machine, call your financial institution (the card issuer) immediately to prevent anyone from using your account.
Card Skimming occurs when a device is connected to the POS device that is used to skim your card when paying for goods (such as convenience stores, gas stations, etc.). Many times the employees are bribed to allow the thief to connect their device to copy the info from the card’s magnetic strip and cameras are installed to record you entering your PIN.
Try to get into the habit of carefully covering your hand each time you enter your PIN, even if no one else is behind you as there may be hidden cameras recording. Without your PIN, the thief won’t be able to gain access to your account.
Be aware of your account balance at all times. Thieves can slowly drain your account with the hope that you won’t notice. If your account and PIN have been compromised, contact your financial institution immediately with as much detail as possible (such as when the fraudulent transactions occurred and where and how you think your PIN may have been compromised). The law limits the liability of ATM fraud victims to $50 which means financial institutions have to reimburse fraud victims for any loss above $50. If you report the fraud immediately, sometimes the insitutions will reimburse the full amount.
Site of interest:
Snopes: ATM houses duplicate card reader and wireless camera