Counterfeit Card Fraud - Skimming

A counterfeit, cloned or skimmed card is one that has been printed, embossed or encoded with your genuine card details. Credit Card Skimming It’s usually a process where your data on the magnetic stripe is copied electronically onto another card.

The most common occasions when skimming happens is in a retail outlet, particularly bars, restaurants and petrol stations, especially in major cities and resorts.  You are most at risk in areas of high card activity that are not local to you. The employee who processes your payment takes a copy of your details and returns the card to you normally – then sells the details to an organised crime gang.

Sometimes skimming can take place at cash machines where tampering has occurred and a skimming device has been fitted.

Often you are unaware that you have been the victim of this type of fraud until your credit card statement arrives, showing purchases you did not make. Your cloned card is then used to make purchases by telephone or on the Internet with card-not-present (CNP) transactions or is used to construct a convincing but fake credit card used in retail outlets to make purchases in the usual way.

Transactions by criminals using stolen card details or cloned cards often occur in the Far East or the US.  Your card company will monitor your card usage and will often spot a transaction which is inconsistent with your normal behaviour, or which is physically impossible (e.g. if you appear to purchase expensive goods in Malaysia hours after using it near home).
AdviceCash Machines

• Be wary of suspicious delays in obtaining authorisation for you purchase – try to ensure that your card remains in view at all times, especially in restaurants and petrol stations.
• Check your card statements for suspicious purchases immediately on receipt
• Consider using a separate credit card for your online purchases and reduce the credit limit on it to what you think you will need.  This limits your risk and makes it easier for you to check your online purchases
• Always notify your card company before you travel abroad.  The card company will advise you if they need to know or not
• Avoid ATMs in places that don’t look right.  For example, hotel lobbies or anywhere where the machine looks like it’s portable.  Stick with Bank ATMs but look out for fake skimming devices.  Familiarize yourself with the normal look and feel of your ATM
• Keep your credit cards close when shopping or eating out.  Watch how salespeople and waiters handle your card.  Don’t let them take it away – don’t let it out of your sight