More than €30,000 has been stolen in the Dublin area in the past week through an ATM scam, according to the Irish Payment Services Organisation (IPSO).
The organisation yesterday warned that criminals are placing a device on ATM machines that traps the user’s card in the slot.
A person watches while the user types in their pin number and withdraws their cash. When the user’s card does not come out of the machine, the person then offers to help, pretending to recover the card but actually giving the user a different one.
“You wouldn’t notice the device,” said Una Dillon, head of card services at IPSO. “When the card gets stuck, the person says, ‘That has happened to me before, I’ll get it out for you.’”
Of the six reported cases so far, the replacement cards have either been stolen or cancelled.
Because victims do not realise their cards have been stolen, the criminals can withdraw as much cash as possible before the thefts are noticed.
Both on-street ATMs and machines located in kiosks in bank branches have been used by the people operating the scam. The elderly in particular are being targeted. Although the reported cases have been in the Dublin area, Ms Dillon said ATM scams that started in the capital have spread to other parts of the country.
Losses refunded
Banks are currently refunding losses but customers could be held liable in the future.
The IPSO has warned people to avoid talking to strangers at ATMs, to always cover their pin entry in order to prevent the scam from working, and to report any unusual activity.
“People shouldn’t assume that it’s just a technical issue,” Ms Dillon said. “Once [the card] is out of their sight and out of their possession, they need to report it.”