Automated Teller Machines or ATMs have become the most convenient way to carry out quick cash transactions. It saves you from the hassle of visiting the bank. These machines are available everywhere, from shopping malls to offices to airports and stations.
Over the years, incidents of ATM fraud have increased. ATM fraud is basically the fraudulent activity of gaining illegal access to someone's ATM card and PIN to withdraw money from their account. Another kind of ATM fraud is breaking into an ATM and stealing money from the machine.
It is necessary to be aware of various kinds of ATM frauds and to safeguard oneself from being the victim.
ATM scams and frauds: Know more to stay safe
Electronically stealing data from an ATM card to imitate it completely, thus making unauthorised transactions from the victim’s account.
Installation of a small device called a shimming device on the machine that gathers magnetic information from the ATM card.
ATM card cloning is a type of phishing too. Cloning fraudsters primarily target elderly people who are not as aware and cautious regarding such scams and frauds.
Installation of a trapping device that makes an ATM card get stuck in the machine’s card slot. The scammer steals the card while the victim asks for help with getting it unstuck.
Fraudsters jam crucial ATM buttons, such as the ‘Enter’ or ‘Cancel’, to have the victim face an unsuccessful transaction. Scammers steal the card when the victim leaves to get assistance.
ATM card fraud: Preventive tips
- Check the machine for any attached foreign or unrecognised devices.
- Refrain from entering ATMs in desolated areas or without a guard.
- Check for any hidden cameras.
- Leave the premises if you see suspicious people lingering inside or around the ATM.
ATM skimming: Things to know
Fraudsters place a small device in the machine itself that steals the card’s data when swiped.
Scammers also place cameras inside the ATM to get the victim’s PIN.
How to know if there is a skimmer in the ATM
Inspect if the card slot is abnormally protruding outwards.
Examine if the keypad appears to be thicker than usual.
Check for tape or glue on the machine and a camera in the ATM.
How ATM skim works
ATM skimming happens using a skimming device, which has two parts:
One part is a small device that copies the card’s magnetic strip information placed in the machine.
The other part is a small camera that clicks photos of the victim while entering the PIN.
Tips to prevent ATM skimming
Follow these given tips:
Inspect the area in and around the ATM for anything suspicious.
Examine the machine and its keypad for unusual thickness or damage.
Keep the keypad covered while entering the PIN.
Reporting a skimming incident
Skimming victims should report the ATM fraud case to the bank’s customer care service centre immediately to block and replace the compromised card. Simultaneously, it is wise to buy a plan to safeguard you against such frauds like the Wallet Care plan through Bajaj Finance Insurance Mall.
While we speak about ATM frauds, it is also essential to let you know about the other types of frauds. This would make you more alert when you share or use your information online or with people who we are not acquainted with.