According to the U.S. Secret Service, more than $1 billion is stolen in U.S each year by credit card skimmers. The process of stealing money from customers credit card is usually the same. Criminals install skimming devices that scan information from the card in the ATM and they use hidden cameras or overlay keypads to get a customer’s pin number.
NYPD wants to fight such crimes more efficiently. The device called “skim reaper” invented at the University of Florida is being tested by NYPD Financial Crimes Task Force. The device has a plastic card reader the same size of a credit or debit card that inspects the card slot of an ATM and alerts if the reader in unsafe.
There are over 425,000 ATMs in the United States. Around 48% of these ATMs are owned and serviced by financial institutions like banks and credit unions. Others operated by independent ATM operators which allow small businesses to install ATMs in their establishments. These ATMs are more likely to become a target for scammers.