Card Skimming: Consequences, Strategies and Preventative Measures

Despite its many conveniences, the digital era has its dark side: cybersecurity threats. As technology evolves, so do the ways in which criminals exploit it. Card skimming in particular has seen a concerning uptick recently. According to FICO data, the number of compromised cards increased by 10Xs in 2023 than in 2022. The target? Banks. A surprising percentage of compromised locations are now bank ATMs.

The number of compromised cards increased by 10Xs in 2023 than in 2022.

So, what's driving this upward trend in card skimming? And how can institutions better protect their customers and reputation?

For the latest episode of Parabit, host Daniel Litwin was joined by Rob Leiponis, CEO of Parabit Systems, and Heather Glezen from the company's Business Development Manager. The trio sat down to discuss the current landscape of card skimming and potential mitigations.

Several key areas they tackled and discussed included:

• The increase in prevalence of card skimming at bank ATMs, an alarming growth of 109 percent.
• The reasons behind this surge and the challenges faced by ATM manufacturers.
• How evolving payment methods, like contactless and tap pay, intersect with card skimming.

Rob Leiponis is the CEO of Parabit Systems and a leader in innovative security and self-service hardware and software solutions. He's been in the security industry for nearly three decades and is instrumental in driving Parabit's vision.

Heather Glezen is the Business Development Manager of Parabit Systems, and has been with the company for seven years. She has a wealth of in-depth industry knowledge.