ATM Crime, ATM Fraud Overview

ATM Crime: Attacks against ATMs may beInfrastructure Hacking, Architecture Hacking,
classified as either ATM physical attacks or ATMNetwork Hacking, Social Engineering, Phishing and
fraud.various other methods are also used to
ATM Physical Attacks:compromise PIN codes.
ATM physical attacks are normally perpetratedCard Skimming
with the intention of gaining access to the cash orCard skimming involves making a copy of the
other valuable media within the ATM safe or ATMinformation encoded on the magnetic stripe of the
security enclosure. Some of the most commoncard. There are various different types of
methods include Ram Raid, Explosive Attack (gasskimming device designed to be used in different
and non-gas) and Cutting (e.g. rotary saw, blowenvironments, from hand held devices through
torch, thermal lance, diamond drill). The success ofdoor access skimmers to miniature card entry
ATM physical attacks is often measured by whatslot skimmers. Hand held skimming devices are
percentage of the cash is stolen and the speedmore commonly associated with card skimming in
by which the attack is completed.restaurants and other retail establishments. When
ATM Fraudused in the ATM environment the perpetrator will
There are many different categories of ATMeither use distraction techniques to temporarily
fraud. In general ATM fraud can include anyobtain and copy the consumer's card or
deliberate 'criminal' technique which involves thesometimes pick the pocket of the consumer.
use of an ATM to obtain something of value toSome ATMs are installed in a controlled
the perpetrator. The most common types ofenvironment whereby the consumer is required to
ATM fraud include Card Theft (e.g. Lebaneseswipe a card at the door of the ATM location to
Loop) , PIN Compromise (e.g. Shoulder Surfing),gain access. Skimming devices may be attached
Card Skimming, Cash Trapping, Transactionto or used as a replacement for a genuine door
Reversal and Deposit Fraud.access device.ATM card entry slot skimmers
ATM Fraud in more detail:have various shapes and sizes and also vary in
Card Theftsophistication. When installed correctly they allow
Card theft is where the perpetrator physicallynormal operation of the ATM in that the
obtains the consumer's card at or in the vicinity ofconsumer's card is entered and returned
an ATM. The most common method of cardcorrectly, however the magnetic stripe is copied
theft is Card Trapping. The most popular methodby the skimming device. One of the most
of trapping a card at the ATM is known aseffective ATM skimming devices is known as the
Lebanese Loop. A Lebanese Loop is designed toSofia skimmer. The skills of the perpetrators in
be entered within the card entry slot of the ATMmodifying the packaging of skimming devices
card reader in such a way as it does not preventmakes them very difficult for the untrained
the consumer from entering their card, but itobserver to detect.
does prevent the ATM card reader from ejectingCash Trapping
or returning the card to the consumer. TheCash trapping is the term used to describe
perpetrator can subsequently remove the trappedattacks where the consumer's cash is trapped
card once the consumer has departed from theand prevented from being presented or delivered
ATM with the belief that the ATM has capturedto the consumer. The variety of trapping devices
or swallowed their card. Another variant of cardis significant, ranging from those which require
trapping is known as the Algerian V trap. Otherinsertion within the ATM's cash dispenser through
methods of card theft include card swappingfalse fronts to well engineered electro-mechanical
where the consumer's card is exchanged for adevices which simulate the removal of the cash
card of similar appearance. This distraction methodby the consumer.
is often executed at the time that theTransaction Reversal
consumer's card is being returned or ejected toTransaction reversal techniques involve highly
the consumer following a transaction at the ATM.skilled manipulation of the ATM during a
PIN Compromisetransaction with the result that the host computer
PIN compromise methods range from the verybelieves that the consumer did not receive their
technically sophisticated to the relatively easycash and thus re-credits or reverses the
technique known as shoulder surfing. Shouldertransaction. Other variants of transaction reversal
surfing involves the perpetrator standing closeinvolve either collusion with someone within the
enough to the consumer to observe the numbersATM network or detailed knowledge of the rules
entered on the key pad. A more sophisticatedgoverning transaction processing.
method of observation or surveillance involves theDeposit Fraud
use of a miniature camera which can eitherDeposit fraud covers a variety of criminal
transmit the image of the PIN being entered ortechniques from making false deposits, trapping
store the recording within the device. With thedeposits through skilful manipulation of the deposit
increase in the number of mobile phones withaccepting device. False Deposit fraud includes
video capture capabilities, such phones areexploiting processing rules to draw on funds
adapted to compromise PINs. Keyboard overlaysbefore they have been verified and officially
are devices which are designed to look very likecleared for crediting to an account. Similar to cash
the genuine ATM key pad and are fixed on top oftrapping, Deposit Trapping allows the perpetrator
the genuine key pad. The Keyboard Overlay willto obtain the valuable media prior to it being
record the numbers entered on the key pad butsecured within the deposit terminals safe or
also permit the genuine keyboard to accept thesecurity enclosure. Highly skilled perpetrators of
PIN being entered. Similarly to the use ofdeposit fraud may use techniques by which the
cameras, the keyboard overlay may transmit thedeposit terminal believes it has received and
information to a remote receiver or store thesuccessfully validated a deposit when in fact it has
information locally. Sophisticated ATMnot.