Hi Guys,
I hope you are well. All is good here 🙂
I am writing a short article about securing your bank card against ‘Card Cloning’ and ‘Card Data Theft via the Internet’. As payment services become more convenient and secure, cybercriminals are still finding ways to steal funds from cards worldwide. Here are two of the most common methods for such theft, including recent statistics. I will also tell you how to counteract them to protect yourself and your money better. Let’s get started.
Card Cloning:
In the past, fraudsters used skimmers mounted on ATMs or store terminals to produce an exact copy of a card’s magnetic strip information. Now, criminals infect payment terminals with malicious code that copies some data from the card while processing a legitimate purchase, sending cleverly generated payment requests using this information.
Some recent statistics,
- According to the European Central Bank, the number of card fraud incidents in Europe in 2020 increased by 11.4% compared to the previous year, with card cloning remaining the most common type of fraud.
- In the United States, card skimming at ATMs and gas pumps has cost Americans nearly $2 billion over the past few years, according to a report by NBC News.
- In 2018, cybercriminals were able to steal over $1.5 million from ATMs in New York City through a card-cloning scheme that involved the use of skimming devices and cloned cards.
To protect yourself,
- Use the contactless payment function on your phone when possible.
- Carefully check the PIN-code panel for suspicious modifications when inserting a card into a terminal.
- Cover the panel with your hand, purse, or other object when entering the code.
- Set a low limit for spending money on the card.
Card Data Theft via the Internet:
Scammers are after bank-card details to make payments online. They collect the card number, expiration date, and verification code, and sometimes the cardholder’s name, zip code, or passport number. Scammers can lure victims with fake online stores, phishing copies of real online stores, or under the guise of raising money for charity. They can also intercept information by infecting either the web page of the actual online store or the victim’s computer/smartphone.
Some recent statistics,
- According to a report by CyberNews, there were 2.2 billion records exposed in data breaches in 2020, with financial information being the most commonly exposed data type.
- In the United States, the Federal Trade Commission reported that credit card fraud was the most common type of identity theft in 2020, accounting for 30% of reported cases.
- In 2019, Capital One experienced a data breach that exposed the personal information of over 100 million customers, including credit card information and Social Security numbers.
To protect yourself,
- Get a virtual card for online payments.
- Set a low limit on your online payment card or keep a very small amount of money on it.
- Make sure the bank always requires you to confirm online payments with a one-time code (using 3-D Secure or similar mechanisms).
- Carefully check payment forms and addresses of sites where you enter financial information.
- Use Incognito Website Checker to check if a website is safe before using it.
If you need more advice or information, contact the Incognito Privacy Care Team through the Incognito app.
Talk to you soon,
Max Roberts,
Incognito Privacy Care Team.