Skimming Alert

Many credit unions have card readers to control access to their ATM vestibules.  There has been a recent string of attacks on these card readers by fraud artists attempting to skim debit cards.  An overlay is placed on the entry door card reader so that information can be taken off of the magnetic stripe when the member attempts to gain entry to the vestibule.  A pinhole camera is installed on the ATM itself in order to capture the accompanying PIN.  It is our understanding that the Bank of Montreal, Bank of Nova Scotia and TD Canada Trust have removed most of these card readers as they could not protect them.  Bank of Montreal advised that some card readers remain however they are equipped with tamper detection alarms.  These banks have also taken steps to prevent the attachment of skimming devices to their ATMs.   

Criminals have had a lot of success with this method of skimming cards, so credit unions are advised to carefully consider whether the benefits outweigh the risks of maintaining card readers on their ATM vestibule doors.  Please keep in mind that if the banks have removed these devices, we could see a dramatic increase in the number of attempts at credit unions.