Beware Of Credit Card Skimming Devices 

Credit card skimming has become a serious problem all over the world. This cost a loss of huge $1 billion a year. A fraudster anywhere in the world could be using a cloned credit card with your name and account number on it.

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Amazing, but it is true. A waiter or a person on gas filling station could have swiped an extra swipe of your credit card to whom you have handed over your credit card for payments. It is possible with the help of a small hand-held device known as a skimmer. The credit card skimming devices are very cheap.

How does it work?

A skimmer simply copies the information from your credit card, which is used by a thief to make a cloned credit card. At a time a skimmer can hold data from hundreds of different credit cards. As the credit card skimming devices are easily available, thieves are using it.

This data can be easily uploaded on the net from a skimmer and e-mailed anywhere in the world. Skimming and counterfeit credit card scams are widespread all over the world. A factory located Far East has capacity of 10,000 cards per day, which is dispatched, mainly to Europe and Latin America.

Small-scale skimming operators are also active in a full fledge. Just look at this example, two waitresses skimmed a large number of credit cards from restaurant situated in Orlando. They then sold the credit data to a middleman who sold the information to a group making cloned credit cards in Miami.

Few years ago, skimming was less common. Skimmers were too bulky to carry, so it is difficult to hide under counters. Smaller skimmers, roughly the size of a pager, hit the market four or five years ago. These skimmers are easily available and easy to carry, hide and easy to handle. In past you had to make a skimmer yourself. Now a day anybody can buy it on internet. A skimmer costs about $300, and the equipment to make a counterfeit credit card costs about $5,000 to $10,000.

Apart from this the fraudster put a small skimming bug into an older credit card terminal. The bug copies credit card data from the terminal. A few days later the fraudster removes the bug.

How to fight skimming?

Ask the waiter for portable credit card terminals, which would enable a waiter to swipe a credit card in front of customer.It's also important to guard your credit card number. Kindly remember to shred old receipts and credit card bills. It's so important to monitor credit card bills carefully and report any suspicious activity immediately.

Keep a close eye on your transactions made by credit card when paying in a mall, restaurant or gas station. If possible follow a waiter back to the payment terminal in a restaurant. It may look awkward and silly but it's essential to avoid your credit card to be cloned and misused.

If you become a victim of skimming or any kind of credit card fraud. Then contact immediately to three major credit bureaus.
Equifax: (800) 525-6285;
Experian: (888) 397-3742; and
Trans Union: (800) 680-7289.

They will help you to place a fraud alert on your credit report, to avoid further misuse of your credit card.

You can also fill out the ID Theft Affidavit at the FTC's Web site, make copies and send to creditors. The agency also has an online complaint form.

Report to the police station as early as possible. Fill out a police report, and make a written affidavit verifying that unauthorized transactions on your account are fraudulent. Send copies to creditors and credit bureaus as proof of the fraud.

The U.S. Secret Service is working hand in hand with the credit card industry to trace skimming rings by assembling a database of locations where scams have occurred.

The most important thing here is the number. You must take care to keep your credit card number with you only.

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