When you go to a store or ATM, you may not think twice before inserting your card into the reader and going about your day. However, when checking your credit card statement, you may be shocked to discover charges you never made. Since you didn’t lose your card, you may be unsure how these charges transpired. Unfortunately, you may be a victim of credit card skimming. This occurs when criminals hide devices on point-of-sale terminals and card readers to steal your information. If you’re unsure what this is or what to do if you’re a victim, you’ll want to keep reading. You’ll also learn what to look for to avoid this and how a San Diego County ATM fraud lawyer can assist you.
Why Credit Card Skimming Is a Growing Problem in California
As a digital payment system becomes more common throughout California, skimming schemes continue to evolve. Criminals often target point-of-sale terminals and card readers at high-traffic locations like gas stations, ATMs, convenience stores, and even self-checkout lanes in major retailers. Unfortunately, consumers in San Diego County, and throughout Southern California, as a result of:
- High tourist activity
- Common credit and debit card usage
- Public transportation and retail locations
- Increased use of self-service and self-checkout systems
Unfortunately, skimming devices are designed to seamlessly fit over legitimate card readers, often making them incredibly difficult to detect. As such, understanding the signs that a card reader may be compromised is critical to mitigating the risk of serious financial fraud. Common signs include:
- The card reader appears loose, bulky, or misaligned
- The buttons on the keypad feel thick or hard to press
- The card reader or slot looks different from other terminals
- The machine declines your card before accepting it
What Is Skimming?
When someone intends to steal the card information of other unsuspecting consumers, they can create devices that skim or steal the information from a card. Most commonly, these impact ATMs, gas station pumps, and point-of-sale terminals at businesses.
When you insert the card, the device attached to the terminal will take the card information. As a result, you may be the victim of unauthorized purchases and identity theft, as someone with access to this information can use your card information against you.
How Credit Card Skimming Devices Work
Skimming devices, as mentioned, are designed to fit and blend seamlessly with legitimate terminals as a means of gleaning and collecting payment information when consumers:
- Insert cards into ATMs
- Swipe cards at gas stations
- Use readers at self-checkouts
- Punch in a PIN on a compromised keypad
Often, skimming devices are utilized in conjunction with other technology to make stealing information easier, like:
- Wireless transmitters
- Hidden cameras
- Bluetooth skimmers
- Malware on payment systems
Is There Anything I Can Do to Prevent This?
If you are worried about becoming a victim of credit card skimming, you should choose the safest method possible when making a payment. For example, if you can avoid inserting your card into a reader by tapping it instead, you should opt for that method. If not, inserting it for a chip read is safer than swiping, but credit card shimming can take data from a chip.
Also, if the card reader looks different or bulky, compare it to another one nearby. If it looks different, like the key numbers varying in color or size, one may be outfitted with a skimmer.
Finally, if you have concerns about the security or validity of a card reader, you should avoid using it. Additionally, using a credit card is safer than using a debit card, as when you use a debit card, the money is taken directly from your checking account.
Prevention Methods
- Use tap-to-pay or digital wallets when possible
- Avoid using damaged or bulky readers
- Cover the keypad when entering your PIN
- Set up both fraud and transaction alerts for credit and debit accounts
- Do not use isolated or poorly lit ATMs when possible
What Should I Do if I’m a Victim of Credit Card Skimming?
If you are a victim of credit card skimming, it may take time to realize something is wrong, as it may not be brought to your attention until you receive your statement. As soon as you discover unauthorized charges, you should inform your financial institution of the theft and dispute the charges. It’s crucial to stay on top of this information, as the sooner you report the skimming, the easier it is to prove these charges were unauthorized.
You should also request a new credit card to prevent being responsible for any additional charges that arise because of the theft.
Immediate Steps After Discovering Fraud
- Immediately contact your credit card issuer and financial institution to report the fraud
- Request a replacement card
- Freeze compromised accounts
- Dispute unauthorized and fraudulent transactions
- Monitor your credit to look for signs of suspicious activity
- Change passwords on all financial accounts, not just those impacted
- Report identity theft if you believe you are a victim
Contact an Experienced San Diego Consumer Defense Attorney
At Barthel Legal, we understand how upsetting it can be to discover that you are a victim of credit card skimming. As such, our dedicated team will do everything possible to assist you during these challenging times. Our team will work with you to help fight so you are not liable for the unauthorized charges on your account. Contact us today to learn how we can assist you.
