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I have been examining numerous computers and media cards to support fraud investigations in the past year. One group of thieves has been installing skimmers (devices that record magnetic stripe data) in the magnetic stripe readers on doors of certain banking institutions that limit access to their ATMs after hours. Then the thieves install micro video cameras in the light fixtures of the ATMs to capture the users' pin codes. The thieves later match the recorded pin code to the skimmed account number at the door, encode new cards, and pillage bank accounts by getting cash at another ATM location.
It is not difficult to find the ATM videos on the media cards from the cameras or on the computer hard drives. The credit card/ATM card numbers can be bit tougher, however. Searching for 16 digit numbers in a Windows computer will yield a huge volume of false hits. And, if the operation has been running for a while, many of the account numbers will be deleted. Searching unallocated space is necessary to be thorough and to ensure your suspects' get the full reward of their illicit activities.
All of the skimmers I have encountered are serial devices that communicate with software made for Windows-based computers by means of a USB-to-serial cable. The cables do not look dramatically different than a standard USB cable, but they contain a chip that bridges the two protocols. In a Windows computer, a USB driver for the cable must be installed before the program can communicate with the device. The applications that communicate with the skimmer devices write the data to disk differently--some create a database while others use text files. In my experience, both formats contain the complete track 1 and/or track 2 data. Magnetic stripes contain three tracks, the first two in common use and encoded with particular standards.
While magnetic stripe cards have been in use for decades, they are not without their security flaws. One of the most significant issues with magnetic stripe cards is their susceptibility to skimming, where criminals can steal the card's data by tampering with card readers. To combat this, many countries have shifted to EMV chip technology, which provides enhanced security through the use of embedded microchips. EMV cards are significantly more secure than magnetic stripe cards because they generate a unique transaction code for each payment, making it nearly impossible for fraudsters to clone the card. This technology has led to a decrease in card-present fraud, as it is much more challenging for criminals to steal sensitive data.
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