ATM Data Theft Rocketing in 2015

FICO is reporting that data theft at ATMs has reached its highest peak in more than 20 years.

According to an article by Dow Jones Business News, FICO found that in the period between Jan. 1 and April 9, data theft rose by 174 percent at bank ATMs and by a stunning 317 percent at nonbank terminals.

"These tremendous spikes in fraud are unprecedented," FICO card-alert service manager John Buzzard said in the article. He said that attacks are picking up in new places such as Albuquerque, New Mexico, and Memphis, Tennessee, and that ATMs between New York City and Philadelphia were hit particularly hard last week.

Many industry watchers have forecast a considerable increase in ATM data skimming before EMV technology becomes widespread in the United States.

Merchant terminals will be subject to liability shift by the major card networks on Oct. 1, but MasterCard and Visa shifts at ATMs will not occur until October 2016 and October 2017, respectively.

In the meantime criminals are predictably taking their last shot at an ATM cash-out opportunity using counterfeited cards and stolen PINs at U.S. cash machines.

Statistics from the European ATM Security Team have shown steep declines in this type of fraud following the implementation of EMV in Europe.