New ATM Technology Could Help Find a Solution for Skimming

Many banks are making it easier and easier to conduct most banking business at the ATM, helping customers avoid waiting in lines at the counter to complete simple transactions like a deposits and withdrawals. However, incidents of ATM skimming, where thieves place external devices on ATM to steal credit card information, are growing.

The FBI recently told Wall Street Journal that more money is now stolen through data breaches at banks than in actual bank robberies. If this is the case, what can be done to keep customer’s credit card information safe and difficult to access? Diebold Inc.’s solution is to leave credit cards behind completely and transition payment information to an application people can access on their mobile phones.

Another company, NRC Corp. is developing a system that is already in use in Brazil that still utilizes a credit card and pin number, but adds an extra layer of security by scanning and individual’s veins in order to confirm their identity and grant them access. However, many experts still feel that both of these solutions only open up other avenues for thieves to seek out customer information (WTOP, 2012).

To learn more about ATM skimming, join the #skimming conversation on Twitter!