Needless to say that ATM has become a part of our routine life.  Without an ATM, people cannot imagine as to how they will manage their cash requirements.  A 24×7 service, has made us totally depend on ATMs for our regular cash requirements.  However, it is equally necessary that you take precautions in guarding yourself from the regular ATM frauds which has been on the increase now.  Here are some tips which you may ensure to follow in order to safeguard yourself from such frauds.


(1) ATM Skimming

  1. Theft of Card Information is known as ATM skimming.
  2. Here a small device, known as a skimmer, is used to take the information during a genuine ATM transaction.
  3. Once the ATM card is swiped at the ATM machine, this device otherwise known as Skimmer captures the information stored on the card’s magnetic strip.



  1. The thief places the skimmer on the ATM card swiping mechanism.
  2. Here, only a skimmer is not sufficient.
  3. The culprit who tries to cheat either would place a camera inside the ATM or hack the bank camera to steal the ATM pin of the card user.
  4. Once the pin is recorded and the card details are stored on the skimmer, the cheaters use it to purchase things online or create cloned cards.


(3) Finding out a Skimmer

  1. Spotting a skimmer is not difficult.
  2. What is required is – check the ATM machine before using it.
  3. The card reader section would seem to be extended than usual on a tempered machine.
  4. A peculiar protrusion of the keypad on the ATM should bring doubt. This brings a suspicion in the mind that it might be fake.
  5. Try to avoid using a machine where you find a loose card reader on the machine.


(4) Precautions to avoid getting duped

  1. Cover your ATM keypad whenever you enter the ATM pin.
  2. Stay updated with your bank transactions and ensure to register for SMS updates.
  3. This will help you get an alert when a suspicious transaction is done using your card.


(5) Stolen ATM Details.

  1. Immediately report the fraud without any delay.
  2. Let us say that Ramu has an account with Good Bank and has used the card to withdraw money from Big Bank. If a fraud has occurred, Ramu, who is maintaining the account with Good Bank, should immediately take up the matter with Good Bank, at the earliest possible time which would be helpful in tracing the fraudster faster
  3. Reserve Bank of India guideline states that LONGER THE TIME TAKEN TO NOTIFY THE BANK HIGHER WILL BE THE RISK OF LOSS.

(6)  ​Who returns your money?

  1. Your own bank where you have the account and the card issued will refund your money.
  2. If it is established that you are a victim of skimming fraud, the bank refunds the amount upfront.
  3. RBI adds that the customer liability is zero
    • where an unauthorised transaction occurs in a third-party breach
    • where the deficiency lies neither with the bank nor with the customer, but elsewhere in the system, and
    • where the customer notifies the bank within the stipulated time without any reason to believe that there was delay in such reporting.

Note the above guidelines and ensure to be pro-active in avoiding frauds and also be alert in reporting as well.


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