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Identity thieves using portable credit card skimmers

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by KYLE MOORE / KING 5 News

KING5.com

Posted on February 4, 2010 at 6:56 PM

Updated Friday, Feb 5 at 9:17 AM

KIRKLAND, Wash. - A new breed of ID thieves are cloning your ATM and credit cards without you knowing about it. Detective Don Carroll with the Kirkland Police Department recently busted up a theft ring who targeted credit card numbers stolen from car break-ins.

The thieves would use a card skimmer that reads the magnetic strip in the back of the card. Next, the thieves would load the information onto a computer and then duplicate the cards. The victim's didn't even realize their identification was stolen Carroll says the crooks "would not physically take the cards... He would take the magnetic strip information from the card that was skimmed, and placed it onto another card. And they would go out and charge the card."

Authorities say the credit card cloning equipment was bought off the Internet for just a few thousand dollars. The information from credit cards was transferred to gift cards using a specially equipped card reader/writers. Those gift cards were used to rack up thousands of dollars of fraudulent charges.

Janis Rabuchin says a complete stranger charged up her credit card even though the card never left her sight. According to Rabuchin, she didn't realize the crime until she received her monthly credit card bill.

"I have my credit card and so does my husband. It seems a little suspicious and you wonder how can somebody have my credit card number."

Detectives suspect Rabuchin's information and hundreds of others were stolen using a card skimmers hidden inside gas pumps around Seattle, Bellevue and Bothell.

Assistant special agent Bob Kierstead works the Secret Service Electronics Crimes Task Force. According to Kierstead once the thieves collect the information from the skimming device " they have probably hundreds if not thousands of credit cards and information at their disposal."

In the last 6 weeks, a cell of ID thieves have targeted gas stations around Western Washington with their skimmers. Authorities say the group has been using "cloned" cards at ATM's in Washington, Oregon and California. The Secret Service estimates the cell has made off with hundreds of thousands of dollars from unsuspecting victim's bank accounts. According to Kierstead, "It's a fast easy way to make money and it's illegal."

The best protection is to check your bank and credit statements once a week. Also, investigators say avoid letting your debit cards out of your sight. Still, the thieves are getting away with your money.>/p>

"The technology is out there. It's fairly simple for fairly unsophisticated criminals to engage in these criminal activities," said Kierstead.

Victims like Rabuchin just want the culprits caught.

"It sounds like the thieves out there are getting pretty savvy. It's troubling," she said.

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Comments: Displaying 1 - 15 of 22

mchill25 said on February 8, 2010 at 10:24 AM

nope still wrong

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weely said on February 5, 2010 at 10:06 PM

mchill25, I am right in what I said. I did not address RFID chips. Your statements only refer to the 1st gen RFID chips used in some cards. Most now do contain encryption or at least have dynamic, not static, chip implementations. Stolen dynamic data could be used, at most, once. And you'd have to use it quickly, because if the person with the card uses the card, they get a new code each time and you are caught red-handed with a stolen, already-used code on a fake card. Frankly, the point is moot. If you are issued a credit or debit card with the little transmission icon on it, cut it up and demand an RFID-free version. They will send it to you. And you are wrong about the distance, the RFID chips on credit cards respond to a 13.56MHz frequency signal, usually only about 5-10cm. Here's a link that gives you an idea how to extend that range to 40-50cm (http://tinyurl.com/hsfc9), but that's still pushing it. Only UHF RFID chips could be read at the range you are stating.

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blairj said on February 5, 2010 at 5:32 PM

Keep most of your money in an account that has NO electronic access - no debit or credit cards or internet access associated with it at all. Then use an account in a different bank or credit union for debit/credit/internet transactions. This puts less of your money at risk. (I do this with two different banks because if you try it with two accounts in the same bank, they can easily link the two electronically without your instruction to do so.)

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dede1978 said on February 5, 2010 at 2:16 PM

graham, I disagree. As long as you're not careless and lose your card, you should feel free to use it rather than carry cash. Carrying too much cash around can also make you a vitcim. Someone looking over your shoulder sees the cash in your wallet then follows you out to your car.... It's no different. But I would think they'd be more tempted to follow you for your cash than your cards.... I wasn't careless, but next time I'll look closely at the machines I use. And I do believe, but can't prove, that my card was skimmed at a gas station. And at the time I got the gas, at almost midnight, I wouldn't want to be flashing the fact that I had cash.

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graham said on February 5, 2010 at 1:44 PM

The way some people use credit cards or debit cards for everything don't feel sorry for them. The more you use this stuff the better chance there is for someone to get your info

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mchill25 said on February 5, 2010 at 10:08 AM

weely you're wrong. RFID chips are embedded in many new cards like Visa Pay wave and those transactions take place wirelessly by waiving the chip within inches of the reciever. RFID can be broken easily and its signals can be intercepted from 25 feet or more. http://www.engadget.com/2008/09/02/mythbusters-rfid-hacking-episode-canned-by-credit-card-company-l/

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dede1978 said on February 5, 2010 at 9:52 AM

And I'd like to know why they make these kinds of devices and then make them available to the general public anyway?????? It's just a theft waiting to happen!!!!!!!

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dede1978 said on February 5, 2010 at 9:49 AM

I've been a victim of this recently too. They got away with just a little over $200. Bank of America alerted us to this. They blocked our card when they realized we couldn't be using the card in Seattle and Illinois at the same time. Our new card are in the mail now. I think I'll be one of those who starts using cash from now on. I'm not really sure where it happened, but I have my ideas. Won't go there again. It also happened to my daughter last year. She was in Las Vegas and tried to use her card. It was declined because she was a couple hundred in the hole. Again the bank made her account whole including the overdraft charges, but not before her entire paycheck was wiped out because of the overdraft. How sad that we have to go back to cash to out smart the bad guys.....

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refred said on February 5, 2010 at 8:14 AM

My theory is if you start using a short rope hanging from a tall tree on a couple of id thieves, it just might deter some others. At the least it will prevent repeat offenders

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aziza said on February 5, 2010 at 8:13 AM

ballardgal? BECU Rocks!

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ballardgal said on February 5, 2010 at 7:16 AM

Mine happened after visiting a certain restaurant. Thank heavens for the customer service at BECU, who called me that SAME DAY when they realized it was a little impossible to be ordering pizza in Ballard while buying something at a best buy in Wisconsin. Card was cut off and replaced within a week, now that's how you treat your customers. I can't prove anything about the restaurant, but I haven't been back since and haven't had any problems...

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boobiewah said on February 5, 2010 at 3:02 AM

pay with Cash at gas stations, Always.

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weely said on February 5, 2010 at 1:58 AM

clear2copy, your information is incorrect. All credit card/debit card hardware send that data encrypted, whether wireless or not. They mostly use Triple DES encryption... not as secure as AES-256 encryption, but considered practically unbreakable. Nobody is sitting in the parking lot intercepting those transmissions and getting your info. They do need to actually go up to the machines and install a magnetic strip reader. Here's an easy test: if the card slot is sticking out of the machine toward you, try to jiggle the part sticking out up and down and see if it comes off. Most machines that take in your card have an inward slanted slot. Thieves can simply put a reader over the slot and have your card pass through their reader. If its the swiper type of reader, make sure the entire swipe area is one piece. It can be easy enough to add another reader underneath or on top of those that you think is part of the official reader, and thus you swipe your card through both.

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clear2copy said on February 4, 2010 at 8:44 PM

sometimes you'll see that van..parked in the corner of a lot of a grocery store or gas station and one or two people are inside, on a laptop...it's questionable at the least....there's nothing wrong with calling the Police and having them do an area check on an occupied van just sitting in a parking lot for any length of time. ..also..if something seems odd..get the LICENSE PLATE.

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watatoe said on February 4, 2010 at 8:30 PM

We got hit by this and it was devastating. My husband had lost his job and we had very little in our bank....just enough for our next mortgage payment. We needed a few things from the grocer, so we checked online first to see how much we could spare for a few things. We got the shock of our lives! Our account had been drained down to $23! And the kicker was that it had just happened and it was a Sunday (they like to drain accounts on the weekends). And forget the police! We filed a report and were basically told that these crooks are too hard to trace and we hadn't lost enough! Lost enough? Our mortgage money??? A family just trying to hang on isn't enough for them to look into it? Advice to everyone....check your accounts frequently! It's your first line of defense. They will drain you dry and move on to the next victim!

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boobiewah said on February 4, 2010 at 8:20 PM

What kind of journalism/reporting is this? Two whole sentences?? Get real or forget the whole article. Apparently we have to go to KOMO4 dot com or KIRO tv for the news?? Really!!

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akrandy said on February 4, 2010 at 8:09 PM

clear2copy Thanks for the INFO!!! I was thinking about getting one for my business. But not if the crooks can get my custumers infor right out of the air. Thank you

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clear2copy said on February 4, 2010 at 7:55 PM

Often times, they'll park in a van..in the parking lot of a store or place that wireless debit transactions take place and simply pull the info out of the air.

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sailor said on February 4, 2010 at 7:49 PM

interesting story but you missed a golden opportunity to tell all the story. Just how in the world do these crooks install the scanners into a gas machine. Especiaqlly since most service stations are open 24/7 now.

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heyler7 said on February 4, 2010 at 7:44 PM

Most people don't have any money for the to steal anyway!

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rnl52 said on February 4, 2010 at 7:42 PM

Keep your eyes on your card when using it, and check your balances online frequently.

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kaylee95 said on February 4, 2010 at 7:41 PM

They look to be of eastern-block (Russian) descent.

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