What You Should Know About Skimming

Eve Sherrill York By Eve Sherrill York, 29th Mar 2015 | Follow this author | RSS Feed
Posted in Wikinut>Reviews>Technology>Security

What people need to know about skimming. What it is and how it affects you.

Skimming

Skimming is a term for fraud committed when an electronic device is used to steal credit card information. A salesperson scans your credit card and the device is used to store important information from the card. Then this dishonest employee will either sell this information or use it themselves to make purchases online. Credit card skimming is the number one form of credit card fraud and is used in 98% of all fraudulent cases of this kind.

This is also a form of white collar crime where money is taken from daily receipts of businesses, from cash transactions when a third party is involved. A skimmer is also used in extortion and in forms of bribes and kickbacks. Small businesses are 35 times more apt to be victims of this crime. Retail crime now is more than $30 billion dollars per year.

In 2014 there were 13 perpetrators charged in New York with installing Bluetooth skimmers in gas pumps. They had stolen more than $2 million from around 70 bank accounts in New York, Texas, Georgia and South Carolina.

In Central Ohio Secret Service more recently, arrested six people who are said to have been part of skimming ring. Small electronics being bought with fraudulent credit cards. In past July five others were arrested in a separate investigation in the area.

Your credit card is a valuable commodity. If it is stolen, you need to call the police and make a report and immediately contact your credit card issuer. If you don't do so quickly you could find yourself liable for the unauthorized charges made on your card. Federal law caps your amount of liability at $50 but only if you report it quickly.

Most credit card companies do not charge you at all for any of the amount, but the process is still long and frustrating. You will want to contact all three credit bureaus and have a security freeze put on your credit, which will stop any new authorizations on any of your cards without your okay.

In Conclusion

It is important to realize how valuable your credit card is and to take appropriate action to keep it safe. It's a smart idea to use cash where ever you can and visit the ATM only when you have no other option. Use a protective sleeve when your card is in your wallet or purse and hide your PIN number with one hand whiling typing it into the keypad.

Tags

Identity Theft, Internet Fraud, Skimming

Meet the author

author avatar Eve Sherrill York
I am an award winning author and have enjoyed writing online for about a dozen years now. I like to write about what interests me and that list is long.

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