Debit card fraud can happen quickly, especially when criminals use stolen card information and PINs to access accounts. A growing type of theft involves criminals watching people enter their PINs at ATMs or during in-store purchases, then stealing the card and using both the card and PIN to make unauthorized transactions.
Understanding how PIN theft scams work and knowing how to protect yourself can help keep your money and personal information safe.
Criminals often rely on distraction and observation to gain access to your banking information.
This type of scam usually involves three steps:
1. Criminals watch you enter your PIN
Fraudsters may position themselves near an ATM, checkout terminal, or payment area where they can see your PIN as you enter it.
They may use different tactics, including:
Standing too close behind you
Watching from nearby
Distracting you during a transaction
2. They steal your debit or credit card
After learning your PIN, criminals may try to get access to your card.
Methods may include:
Pickpocketing your wallet or purse
Taking your card when you are distracted
Using other distractions to trick you into handing over your card
3. They use your card and PIN
With both your card and PIN, criminals may be able to:
Because the transaction uses your actual card and PIN, it may appear legitimate.
A few simple habits can significantly reduce your risk of card fraud.
Always cover the keypad when entering your PIN.
Tips include:
Protecting your PIN is one of the easiest ways to prevent unauthorized access.
Stay alert whenever you use your debit or credit card.
Before completing a transaction:
If something feels unusual, cancel the transaction and move to a safer location.
Contactless payment options, such as FLASH (tap) and mobile wallets like Apple Pay or Google Pay, can provide added convenience and security. These payment methods typically use security features that reduce the need to enter your physical card PIN during purchases.
Regularly reviewing your transactions can help you identify suspicious activity quickly.
Watch for:
Setting up account alerts can also help you receive notifications about transactions as they happen.
If you believe your debit card, credit card, or PIN has been compromised, contact your financial institution right away.
Quick action can help:
If your card and PIN have been compromised:
Acting quickly can help reduce potential losses.
Yes. If someone has both your debit card and PIN, they may be able to make unauthorized withdrawals or purchases. Contact your financial institution immediately if you believe your PIN has been exposed.
Cover the keypad when entering your PIN, check your surroundings, and avoid using an ATM if someone is standing too close or acting suspiciously.
Contactless payments can provide additional security features because they often use technology that reduces the need to enter your PIN during purchases. However, it is still important to protect your physical cards and monitor your accounts.
Contact your financial institution as soon as possible to report the transaction and discuss the next steps.
Criminals continue to develop new ways to steal personal and financial information, but awareness is one of your best defenses. Protect your PIN, stay aware of your surroundings, monitor your accounts, and report suspicious activity as soon as possible.
Reach out: YNCU members who know or suspect their debit card or PIN has been compromised can contact the Service Excellence Centre at 1-888-413-9628. You can also report suspected fraud to the Canadian Anti-Fraud Centre at 1-888-495-8501.