There are a range of crimes associated with payment cards, payment systems such as point-of-sale terminals and cash machines (ATMs). The prevalence of online payment has been a boon to criminals opening up a host of new opportunities.
Crimes range from actual physical attacks on ATMs, for example using explosives, to sophisticated cyberfraud such as black-box attacks where an unauthorized device sends commands directly to the ATM cash dispenser.
Card-Present and Card-Not-Present fraud
In addition to actual card theft, criminals use various methods to capture data including card skimming at ATMs or ticket machines, and phishing. People are often unaware that their card data has been stolen until it is too late. This data may be used to create fake cards or used subsequently for Card-Not-Present fraud (CNP).
What happens to the data?
Fraudsters use the information to purchase goods in the name of victims or obtain unauthorized funds from the victims’ accounts. Compromised card data may also put up for sale on darknet markets. In many cases, the data stolen in one country is used elsewhere making it harder to trace.