New ATM Scam

Thieves have created new methods to steal cash from ATM's by developing false keyboards to record pin numbers as they are typed in.

This new method is being used instead of concealed cameras previously used to record pin numbers contradicting the banks advice to customers to cover their hands when using the keyboard.

The false keyboards used in conjunction with a card skimmer, which is attached to the machine, sit on top of the ATM keyboard. The data is recorded and transmitted to the thieves' mobile phones using Bluetooth technology.

Special investigation teams have been set up at all four of the major banks to observe the methods used by scammers', which has cost banks millions of dollars.

The devices are virtually undetectable to the untrained eye, and were presented to CBA branch staff as spot the differences images. Experts have stated that most skimmers are attached to ATM's in the early hours of the morning or late at night, and most operate for less than 24 hours. Unlike previous devices, modern skimming machines fit directly on existing parts of an ATM such as the card slot.

Scammers have also started hiding devices and wiring inside the outer casings of ATMs. Once activated, these are programmed to record information on the magnetic strips of customers' bank cards and later used to skim their bank accounts.

In the past, scammers used distraction techniques, or looked over your shoulder to gather which numbers were being pressed. Hidden cameras were also used to photograph the digits being recorded.

Security officials have warned the public to look out for tell-tale signs of ATM tampering, some of which are scratches, marks or adhesive tape located around the machines.

Authorities admit that over the past six months more than 40 ATMs have been discovered carrying electronic skimming devices. Fraud squad police have refused to release details of which machines have been robbed and where they were located.

Bank officials have stated that progress is being made to halt ATM skimming.

Published on May 5-th, 2009 in Credit Cards
Damon Rasheed is the CEO of Rate Detective, an Australian financial service comparison sites specialising in Life Insurance, Income Protection Insurance and home loans. Damon holds a Master's Degree in Economics from the University of Melbourne and has been involved in many start-up internet businesses.

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