ATM Skimming - what it looks like

[amascuba]

There was a story on Consumerist today about showing ID for Credit Card purchases (which in general violates the Merchant Agreement). In this instance, the clerk-thief in question had a small camera hidden on him, and was asking for ID on all credit-card transactions. He would just hold the card and ID up to the camera and capture all of the necessary info - not only did he get the CC data, but also the CVV2 # which is not on the mag-stripe and not skimmable, but also got the billing address and such by "skimming" the ID. Clever...

The real crime of the whole ID/no-ID debate is that it's the Merchant who gets screwed in the process. They can't use checking ID to lower their fraud, but when something does happen they lose both the money and the merchandise over it.

It's getting pretty clever. There are some researchers who claim that they've figured out how to steal a PIN, before it get's encrypted by the key pad. Ultimately, if it turns out to be true, it will turn the PIN debit industry on it's head. At least in the US, the only part of a ATM transaction that get's encrypted is the PIN. Everything else travels down the wire in clear text.

One of my funny support calls goes something like:

Me: You have the track 2 field turned on, on the card reader.
Tech: No, I don't. I double checked it. It's turned off.
Me: Okay, is your name John Doe and do you live at 123 Flying Leap Lane?
Tech: ......Um, Yeah... How do you know that?
Me: Because the track 2 field is turned on and the ATM sent us the card information from the attempted transaction.
Tech: <LONG silence>...... Okay, I'll check it again.


I'm happy that I don't work in that side of the industry any longer.

[Codyjp]

Wouldn't it be even more ironic if that PDF contained a virus?

Where is Common Wealth bank? They don't have a complete US phone number.

[mangrovejack]

They are the largest bank in Australia.

[Fish Eater]

It's not just ATMs any more!!

A couple of thieves were arrested after placing similar devices at various gas station automated pumps.

Article in today's San Francisco Chronicle.

[drbill]

I solved this problem long ago... I don't use an ATM. What good would it do me anyway, I'm a dive bum and don't have any money. I pay cash at gas stations... still only takes a few dollars in my high mileage Toyota.