Monday, November 28, 2005
ATM Crime Info
The Global ATM Security Alliance released some ATM crime statistics. Did you know:
- that theft at an ATM is three times more likely to occur between 6 and 9 PM
- most crimes happen at banks and at gas stations with POS at the pumps
- electronic fraud is six times more likely than theft of the machine
- industry estimates put ATM crime cost at about $100 million each year
- Diebold has information for the banker, and the customer on ATM security issues here
The Global ATM Security Alliance released some ATM crime statistics. Did you know:
- that theft at an ATM is three times more likely to occur between 6 and 9 PM
- most crimes happen at banks and at gas stations with POS at the pumps
- electronic fraud is six times more likely than theft of the machine
- industry estimates put ATM crime cost at about $100 million each year
- Diebold has information for the banker, and the customer on ATM security issues here
Paying for Protection
Unisys conducted a survey of 1,000 Americans. The results showed nearly 40 percent are willing to pay more in fees for online banking transaction protections. This is up from 27 percent a year ago. Almost half of those surveyed said they would even switch banks to receive greater protections.
Consumer concerns are driven by fear of identity theft. 73 percent are now worried about this, according to the survey, as compared to 51 percent in 2004.
In a related note, in Wilmington, Del. a waitress was arraigned last week on charges of aggravated identity theft. Katsiaryna Kabiarets, faces a minimum of two years in jail and a possible fine of up to $250,000. She is accused of using a hand-held credit card reader to steal account numbers from her customers. She was offered $10 for Visa and MasterCard numbers and $15 for American Express. The latter being more valuable because they are reportedly easier to counterfeit. This is a disputed issue by some in the industry since swiping the magnetic stripe is the same. Instead, it may have to do more with credit balances available.
Joseph Ansanelli, Chief Executive Officer of the data security firm Vontu predicts identity theft by insiders will increase substantially next year. "Many retailers have not educated their employees on the value of customer information to the company, nor have they educated them on employee responsibilities towards protecting and correctly handling this information. One example would be the use of skimmers in restaurants. Several thefts have been reported due to wait staff taking the customers' credit card then running it through their skimmer in order to later be able to retrieve this number," said Ansanelli.
"Employees need to be aware of the value of this information to the company, and the ramifications of not treating this information according to the company policies. They also need to understand what they can do outside their roles to help protect this information and honor the company's security commitment to their customers" Ansanelli said.
Unisys conducted a survey of 1,000 Americans. The results showed nearly 40 percent are willing to pay more in fees for online banking transaction protections. This is up from 27 percent a year ago. Almost half of those surveyed said they would even switch banks to receive greater protections.
Consumer concerns are driven by fear of identity theft. 73 percent are now worried about this, according to the survey, as compared to 51 percent in 2004.
In a related note, in Wilmington, Del. a waitress was arraigned last week on charges of aggravated identity theft. Katsiaryna Kabiarets, faces a minimum of two years in jail and a possible fine of up to $250,000. She is accused of using a hand-held credit card reader to steal account numbers from her customers. She was offered $10 for Visa and MasterCard numbers and $15 for American Express. The latter being more valuable because they are reportedly easier to counterfeit. This is a disputed issue by some in the industry since swiping the magnetic stripe is the same. Instead, it may have to do more with credit balances available.
Joseph Ansanelli, Chief Executive Officer of the data security firm Vontu predicts identity theft by insiders will increase substantially next year. "Many retailers have not educated their employees on the value of customer information to the company, nor have they educated them on employee responsibilities towards protecting and correctly handling this information. One example would be the use of skimmers in restaurants. Several thefts have been reported due to wait staff taking the customers' credit card then running it through their skimmer in order to later be able to retrieve this number," said Ansanelli.
"Employees need to be aware of the value of this information to the company, and the ramifications of not treating this information according to the company policies. They also need to understand what they can do outside their roles to help protect this information and honor the company's security commitment to their customers" Ansanelli said.
Wednesday, November 23, 2005
Internal Controls, As Important Today as Ever
The Corvallis Gazette of Corvallis, OR reports a credit union employee, Mark D. Graybill, was arrested this month. He reportedly originated $70,000 of fraudulent loans using the names and information of existing members. He is charged with first-degree aggravated theft and five counts of identity theft.
This is one reason dual controls, as well as checks and balances, are necessary to verify that procedures were followed and the accounts are all valid. Verification of deposits and loans is an important security step to protect the institution as well as your customer. Likely, your institution is busier than ever and working with minimal staff. Now is a good time to ensure your procedures haven't been compromised, and that they are being followed.
The Corvallis Gazette of Corvallis, OR reports a credit union employee, Mark D. Graybill, was arrested this month. He reportedly originated $70,000 of fraudulent loans using the names and information of existing members. He is charged with first-degree aggravated theft and five counts of identity theft.
This is one reason dual controls, as well as checks and balances, are necessary to verify that procedures were followed and the accounts are all valid. Verification of deposits and loans is an important security step to protect the institution as well as your customer. Likely, your institution is busier than ever and working with minimal staff. Now is a good time to ensure your procedures haven't been compromised, and that they are being followed.
Tuesday, November 22, 2005
It may LooksTooGoodToBeTrue.com, but it isn't
Now you can provide your customers with a resource so they'll know they didn't win the lottery they never entered, that $22 million isn't really on its way from Nigeria and so much more to save them, and you, money and time.
The FBI, U.S. Postal Inspection Service, Monster Worldwide, and other partners recently launched a new website, LooksTooGoodToBeTrue.com .
Bankers think about risk assessments every day. Now consumers can too as they take a fraud risk test and check their knowledge about online safety habits, identity theft, financial fraud, internet auctions, counterfeiting, lottery scams, and computer privacy. Take the test and get immediate feedback, links for more information, and see the risk thermometer rising when something is "iffy" or just plain wrong.
There is nothing better than learning from someone else's mistakes. The site contains victims' stories, tips on current scams, and alerts. A free DVD is offered by the U.S. Postal Inspection Service to provide even more information. There is aw enforcement information about thieves using online job sites maliciously. You know what they say about 8-bits of prevention, it is worth a gigabyte of cure.
Sometimes customers just don't believe they didn't win, and you just don't understand that. Now you can refer them to a resource, hopefully before anyone suffers a loss. This would also be a excellent site for employees to visit as they're your first line of defense.
Now you can provide your customers with a resource so they'll know they didn't win the lottery they never entered, that $22 million isn't really on its way from Nigeria and so much more to save them, and you, money and time.
The FBI, U.S. Postal Inspection Service, Monster Worldwide, and other partners recently launched a new website, LooksTooGoodToBeTrue.com .
Bankers think about risk assessments every day. Now consumers can too as they take a fraud risk test and check their knowledge about online safety habits, identity theft, financial fraud, internet auctions, counterfeiting, lottery scams, and computer privacy. Take the test and get immediate feedback, links for more information, and see the risk thermometer rising when something is "iffy" or just plain wrong.
There is nothing better than learning from someone else's mistakes. The site contains victims' stories, tips on current scams, and alerts. A free DVD is offered by the U.S. Postal Inspection Service to provide even more information. There is aw enforcement information about thieves using online job sites maliciously. You know what they say about 8-bits of prevention, it is worth a gigabyte of cure.
Sometimes customers just don't believe they didn't win, and you just don't understand that. Now you can refer them to a resource, hopefully before anyone suffers a loss. This would also be a excellent site for employees to visit as they're your first line of defense.
Monday, November 21, 2005
ID Theft Threat, Paper or Plastic
Many people fear airline travel, but statistically it is safer than travel by car. When there is an accident though, it is usually big news because of the scale. ID theft is similar in that many people fear it, and the individual cases are much more common than the large scale thefts.
There is more crime involved in the low tech side of this equation than the high tech side. Check alteration/forgery, debit and credit card abuse and dumpster diving for confidential, usable personal information are key areas for loss. And you might be surprised at who the thief is. Javelin Strategy & Research, from Pleasanton, CA indicate that 26% of these cases are perpetrated by someone known to the victim. This may be a family member, a friend or co-worker who had intimate knowledge of the victim and abused it. And the TowerGroup, a unit of MasterCard International Inc. estimates that 50% of debit card fraud is by a family member or friend who was given the card and PIN at one time.
"Most criminals obtain personal information through traditional rather than electronic channels," according to the Javelin study. 29% of the victims lost their confidential personal information due to a stolen wallet, checkbook or credit card. And most of the remaining cases were attributed to the friends, family and co-workers and methods mentioned above. Computer viruses or hackers accounted for only 2.2% of incidents. In many cases the theft of a laptop with hundreds or thousands of records of personal information places this information at risk, but the data isn't what was sought. The thief wanted the laptop and my be oblivious to what was on the laptop or how to access it. So it may make the news, but credit card statements recovered from yesterday's trash is more likely to be used illegally.
Personal information security should always be important. This is a good time to remind your customers to be aware of where their information is at home and at work, and to keep it secure. Watch their credit reports, use shredders at home, retrieve their mail quickly and don't leave it in an open mailbox accessible to anyone. And don't leave these confidential items laying around the home or office where they are ready for the identity thief to start their holiday shopping either.
Many people fear airline travel, but statistically it is safer than travel by car. When there is an accident though, it is usually big news because of the scale. ID theft is similar in that many people fear it, and the individual cases are much more common than the large scale thefts.
There is more crime involved in the low tech side of this equation than the high tech side. Check alteration/forgery, debit and credit card abuse and dumpster diving for confidential, usable personal information are key areas for loss. And you might be surprised at who the thief is. Javelin Strategy & Research, from Pleasanton, CA indicate that 26% of these cases are perpetrated by someone known to the victim. This may be a family member, a friend or co-worker who had intimate knowledge of the victim and abused it. And the TowerGroup, a unit of MasterCard International Inc. estimates that 50% of debit card fraud is by a family member or friend who was given the card and PIN at one time.
"Most criminals obtain personal information through traditional rather than electronic channels," according to the Javelin study. 29% of the victims lost their confidential personal information due to a stolen wallet, checkbook or credit card. And most of the remaining cases were attributed to the friends, family and co-workers and methods mentioned above. Computer viruses or hackers accounted for only 2.2% of incidents. In many cases the theft of a laptop with hundreds or thousands of records of personal information places this information at risk, but the data isn't what was sought. The thief wanted the laptop and my be oblivious to what was on the laptop or how to access it. So it may make the news, but credit card statements recovered from yesterday's trash is more likely to be used illegally.
Personal information security should always be important. This is a good time to remind your customers to be aware of where their information is at home and at work, and to keep it secure. Watch their credit reports, use shredders at home, retrieve their mail quickly and don't leave it in an open mailbox accessible to anyone. And don't leave these confidential items laying around the home or office where they are ready for the identity thief to start their holiday shopping either.
