Bank AI

Security

Read

The Economic and Financial Crimes Commission (<a href="https://www.efcc.gov.ng/efcc/" data-type="URL" data-id="https://www.efcc.gov.ng/efcc/" target="_blank" rel="noopener noreferrer nofollow">EFCC</a>) has alerted Nigerians about the Automated Teller Machine (ATM) Debit Card swapping fraud.
EFCC issued this warning in a statement signed by spokesperson, Dele Oyewale, with the Commission having dealt with a barrage of complaints from well-meaning Nigerians concerning unauthorized withdrawals from their bank accounts.
<figure class="wp-block-image size-full"><img width="800" height="400" src="https://technext24.com/wp-content/uploads/2023/11/Untitled-design-2023-11-28T105148.281.png" alt="All you need to know about ATM card-swapping fraud and how to avoid it" class="wp-image-221816">
 <figcaption>
 EFCC
 </figcaption>
</figure>
 
<h2 id="what-is-atm-card-swapping-fraud">What is ATM card-swapping fraud?</h2>
ATM card-swapping fraud occurs when criminals replace a person’s legitimate ATM card with a fake one without their knowledge. The victim unknowingly uses the manipulated card, allowing the fraudsters to gain unauthorized access to their bank account and conduct fraudulent transactions.
In a card-swapping fraud scenario, criminals may discreetly observe or record a person entering their PIN at an ATM. They might use various methods, such as hidden cameras or fake card readers, to capture card information. Once they have this data, they create a counterfeit card. When the unsuspecting victim uses the compromised ATM, the criminals swap the real card with the fake one. The victim remains unaware, while the fraudsters gain access to the card and PIN, enabling them to carry out unauthorized transactions.
Criminals responsible for ATM card-swapping fraud employ tactics like skimming devices and hidden cameras. Financial institutions and ATM operators contribute to prevention through security measures and monitoring. However, victims must also be vigilant, covering their PIN to reduce the risk of falling prey to such fraud. 
In March 2022, an investigator from the Economic and Financial Crimes Commission (EFCC) <a href="https://www.premiumtimesng.com/business/business-news/515124-how-bank-officials-stole-n874m-by-linking-accounts-to-atm-cards-efcc.html?tztc=1" target="_blank" rel="noopener noreferrer nofollow">informed</a> a Lagos court about a significant fraud case. The investigator revealed that four bank officials had allegedly cloned ATM cards, connecting them to various accounts. This elaborate scheme resulted in the theft of N874 million from both Fidelity Bank and its customers in 2019.
On May 24th, 2023, the police in Enugu State, south-east Nigeria, <a href="https://www.premiumtimesng.com/news/more-news/600214-police-arraign-four-over-alleged-atm-card-swapping-money-theft.html" target="_blank" rel="noopener noreferrer nofollow">reportedly</a> arraigned four individuals, including a mother of four. The group is accused of engaging in ATM card-swapping, allegedly withdrawing N495,000 from a victim’s bank account within the state.
In July 6, 2023, the Nigeria Security and Civil Defence Corps in Kwara State Command <a href="https://punchng.com/kwara-fraudster-swaps-old-mans-atm-card-withdraws-n1-8m/?amp" data-type="URL" data-id="https://punchng.com/kwara-fraudster-swaps-old-mans-atm-card-withdraws-n1-8m/?amp" target="_blank" rel="noopener noreferrer nofollow">confirmed</a> the arrest of a fraudster, Babatunde Adekunle, for swapping the Automated Teller Machine card of an old man and using the card to withdraw N1.8m from the man’s account.
This trend reveals that ATM card-swapping fraud is on the rise. While some cases are reported, a great majority of them are not as thousands of Nigerians continue to fall victim. Below is how to protect yourself from this malady.
<h4 id="how-to-protect-yourself">How to protect yourself</h4>
Stay Vigilant at ATMs:
<ul>
 <li>Be cautious when someone offers assistance at an ATM.</li>
 <li>Fraudsters may pose as helpful individuals and swap your debit card when you’re not paying attention.</li>
</ul>
Regularly Check Bank Statements:
<ul>
 <li>Take the time to review your bank statements regularly.</li>
 <li>Look for any transactions that seem unfamiliar or unauthorized.</li>
</ul>
Set Transaction Alerts:
<ul>
 <li>Enable transaction alerts on your accounts.</li>
 <li>Receive instant notifications for any activity, allowing you to detect and report suspicious transactions promptly.</li>
</ul>
<figure class="wp-block-image size-full"><img width="800" height="400" src="https://technext24.com/wp-content/uploads/2023/06/woman-holding-a-smartphone.jpg" alt="MyItura, Woman holding a smartphone" class="wp-image-198279">
 <figcaption>
 Constantly checking your bank statement could help
 </figcaption>
</figure>
Keypad Confidentiality:
<ul>
 <li>Protect your Personal Identification Number (PIN) by covering the keypad.</li>
 <li>Shielding the keypad during PIN entry ensures that it remains confidential, preventing fraudsters from gaining access.</li>
</ul>
Avoid Rushing Transactions:
<ul>
 <li>Take your time during ATM transactions and Point of Sale (POS) payments.</li>
 <li>Fraudsters may try to rush you, creating an opportunity for them to swap your card unnoticed.</li>
</ul>
Official Assistance Only:
<ul>
 <li>Seek help exclusively from authorized bank officials.</li>
 <li>Fraudsters may pretend to assist you, so it’s essential to rely only on trustworthy sources for assistance.</li>
</ul>
Promptly Block Your Card:
<ul>
 <li>Familiarize yourself with your bank’s ATM offline blocking code.</li>
 <li>Use the USSD code 966911# to instantly block your ATM card if you suspect any fraudulent activity.</li>
</ul>
Additional Tips:
<pre class="wp-block-code"><code>• Be cautious of skimming devices attached to ATMs and POS terminals.
• Use ATMs located in well-lit, secure areas.
• Consider using contactless payment methods for added security.</code></pre>
By following these detailed steps, you empower yourself to navigate the world of ATMs securely and minimize the risk of falling victim to card-swapping fraud.
Read More: <a href="https://technext24.com/2023/06/15/efcc-arrests-258-yahoo-boys-in-may-2023/" data-type="URL" data-id="https://technext24.com/2023/06/15/efcc-arrests-258-yahoo-boys-in-may-2023/" rel="noopener noreferrer nofollow">EFCC arrests 258 Yahoo boys in May, secures 257 convictions but severity of punishments remains in doubt</a>
<h5 id="collaborative-efforts"> Collaborative efforts</h5>
 Financial institutions, law enforcement agencies, and individuals must work together to combat card-swapping fraud. Report any suspicious activity promptly to your bank and local authorities.
Banks should be encouraged to conduct awareness campaigns about card-swapping fraud. Individuals can also share information within their communities to ensure that everyone remains vigilant.
<figure class="wp-block-image size-full"><img width="800" height="400" src="https://technext24.com/wp-content/uploads/2023/11/Untitled-design-2023-11-28T110956.673.png" alt="All you need to know about ATM card-swapping fraud and how to avoid it" class="wp-image-221828">
</figure>
By diving into the mechanics of card-swapping fraud and exploring additional preventive measures, individuals can enhance their ability to recognize and avoid these deceptive tactics. Remember, staying informed and proactive is key to safeguarding your financial well-being.
Read More: <a href="https://technext24.com/2023/08/09/ng-academy-trains-police-efcc-ndlea/" data-type="URL" data-id="https://technext24.com/2023/08/09/ng-academy-trains-police-efcc-ndlea/" rel="noopener noreferrer nofollow">NG Academy trains the Police, EFCC, NDLEA, other agencies on cybersecurity</a>

All you need to know about ATM card-swapping fraud and how to avoid it

Table of Contents

Technext.ng

Other articles published on Nov 28, 2023

BNB Chain adds to Builder Support Program to promote impactful Web3 development

Announcing the Launch of Full Trading on the dYdX Chain - Unlocking Trading Rewards & 6 Month Inc...

Bitcoin Bucharest: Pioneering Crypto-Real Estate Investments at CEE Fintech Event

M2 Granted Full Regulatory Status in Abu Dhabi, Expands Services to UAE Residents and Institutions

Ark Invest adjusts portfolio: sells Coinbase, buys Robinhood and Grayscale Bitcoin Trust Shares

Global Finance Regulators Warn of Instability from Complex Crypto Firms

Join our free newsletter for daily crypto updates!