By Deborah Jeanne Sergeant
The rash of credit card skimming scams in over the summer were not the first type of their kind. However, to CNY shoppers frequenting the stores where the sham credit card readers were installed, it hit close to home.
Skimmers are false card scanners criminals install over a legitimate credit card scanner at a point of sale such as a store or gas station. The equipment works by reading the magnetic strip on the card as customers slide their card through, unwittingly sharing their card number, expiration date and cardholder name. This information enables criminals to use the card themselves, sell the information and open up new accounts in others’ names.
We recently interviewed Russell W. Dombrow, attorney with Dombrow Law Firm in Syracuse, to learn about what you can do to protect yourself — and what to do if your card was possibly subject to a skimming attack.
Q: What should people do to avoid becoming victims of credit card skimmers?
A: 1. Inspect the card reader: Check the card reader before inserting your card. Avoid using the reader if it looks different from other machines or suspicious. Look for tampering signs like mismatched colors or materials. Some skimmers might have a tiny camera. There might be suspicious holes or objects around or above the keypad.
2. Jiggle the card slot: Skimmers are often placed over the existing card slot. Try wiggling the card slot; if it’s loose or if it moves, it could be a skimmer.
3. Hide your PIN: If using your PIN, use your other hand to cover the keypad. Covering helps block hidden cameras from capturing your PIN.
4. Use familiar ATMs: Stick to ATMs inside bank vestibules. Users might need to use their ATM cards to get into the vestibules. Choose ATMs in well-lit, high-traffic areas. ATMs in these locations are less likely to have skimmers.
5. Use credit, not debit: Fraudulent credit card transactions are easier to contest. They also don’t drain your bank account. But neither is impervious to skimming.
6. Use NFC or chip readers: Use EMV chip cards or NFC [like Apple Pay or Google Pay] to pay whenever possible. They are harder to skim than traditional magnetic stripe cards.
7. Check your surroundings: Avoid using ATMs in secluded places, especially at night. If something feels unsafe nearby, then trust your gut and go elsewhere.
8. Set up transaction alerts: Setting up these alerts helps spot unauthorized activity. Ask your bank or credit card issuer how to set up these alerts.
9. Stay updated: Stay informed about the latest skimming devices. Criminals evolve their tactics often. Learn methods to avoid them.
10. Update your contact information: Make it easy for your bank to contact you. Keep your current contact information on file. Your bank should contact you if it spots suspicious activity.
Q: What should shoppers do if they later learn they used a card at a location compromised by a skimmer?
A: 1. Check your statements: Go back at least a month to ensure you catch any unfamiliar transactions.
2. Report unauthorized transactions to your bank or credit card issuer. Follow up in writing right away. Save copies of your reports. Your institution should guide you through the process. They don’t always do this, so ask how the process works. Insist the institution follow the process. Your institution should also cancel the suspect card and issue a new one to you.
3. Inform your bank or credit card provider: Tell your bank or credit card company if you think you used a compromised machine. They might offer more guidance. They also might watch your account for suspicious activity. You keep an eye on your account, though.
4. Change your PIN: If the compromised card had a PIN associated with it, change that PIN as soon as possible. This is especially important for debit cards.
5. Watch your accounts: Pay attention to all your financial accounts for the next few months. Criminals may wait to use stolen data once they think your guard is down.
6. Consider credit monitoring: Think about getting a credit monitoring service. Some services will alert you to significant changes in your credit report.
7. Consider a credit freeze: Report possible identity theft to the Federal Trade Commission. Make a similar report to each credit bureau. This prevents criminals from opening new accounts in your name. If you need to apply for credit later, remember to unfreeze your credit first.
8. File a police report: File a police report with local law enforcement. Your bank or credit card company may ask you for a report. The report also informs law enforcement about a problem it may not have known about. Law enforcement might inform the community.
9. Stay informed: The store with the skimmer might offer remedies or information. Remedies often include free credit monitoring. Information might include when the skimmer was in use.
10. Check your credit report: If you ask, each major credit bureau (Equifax, Experian, TransUnion) must provide you a free credit report via www.AnnualCreditReport.com once a year. Look for unfamiliar accounts or inquiries. File written disputes with each bureau for unfamiliar accounts or inquiries. Do the same with each credit furnisher (e.g., local bank or national credit card company).
