Criminals are increasingly using skimming devices to steal data from government benefit cards, and the Secret Service is cracking down.
CBS News explored the rise of card skimming by joining Secret Service agents on a ride-along, with one analyst telling the outlet that a single skimmer can net a scammer up to $1 million.
The fallout can be devastating for Electronic Benefit Transfer (EBT) cardholders, whose monthly benefit payments, like SNAP, are loaded onto their cards.
Skimming an EBT card can wipe out multiple benefits at once, and recovering the funds afterward can be a near-impossible task.
Here’s what you need to know about how card skimming works and how to protect yourself.
What is EBT card skimming?
EBT card skimming is a form of financial fraud in which criminals install hidden devices — called skimmers — on the card readers used to process EBT cards, which beneficiaries use to access Supplemental Nutrition Assistance Program (SNAP) funds and other government assistance.
EBT skimmers are designed to blend in and look like a normal part of a store’s card reader or PIN pad. Rather than being hidden inside the machine, they’re typically thin overlay devices that fit directly on top of the existing reader, sometimes with wireless capability that allows stolen data to be sent to criminals remotely.
Criminals install illegal skimming devices on ATMs, gas pumps and merchant point-of-sale terminals to steal EBT and other payment card numbers. The stolen card information is then encoded onto another card with a magnetic stripe, sometimes even a hotel key or gift card, creating a working clone of the victim’s card.
How common is it?
The FBI, which has tracked the rise in EBT card skimming, dates the trend back to 2021. The timing coincides with a sharp pandemic-era increase in SNAP benefit amounts and caseloads, both of which would have made EBT cards considerably more lucrative targets for skimming operations.
EBT cards are a particular target because money is deposited into government assistance accounts each month, allowing criminals who’ve stolen card data to time their fraudulent withdrawals and purchases around those monthly deposits.
While all bank cards can be skimmed, EBT cards are particularly vulnerable because they lack the enhanced security of an integrated EMV chip and rely on a magnetic stripe.
EBT cards are particularly vulnerable to card skimming.
(ASSOCIATED PRESS)
Currently, the Secret Service estimates that skimming costs U.S. financial institutions and consumers more than $1 billion a year, against a backdrop of more than $12.5 billion in total U.S. card fraud losses in 2024, suggesting that while skimming is a cause for concern, it is only part of the broader fraud picture.
The Secret Service announced a fresh round of card skimming crackdowns in February, with operations continuing on a rolling, multi-city basis throughout the year.
However, the agency’s most recent full-year tally of card-skimming devices is from 2025, when more than 400 devices were removed, preventing $428 million in losses to consumers and financial institutions.
Separately, industry data from FICO’s Card Alert Service showed a 5% rise in compromised debit cards, from 231,000 in 2024 to more than 243,000 in 2025.
It’s worth noting, however, that none of these figures isolates EBT card fraud alone.
How do I protect myself from card skimming?
Skimming devices can be hard to spot, but not impossible.
Warning signs can include an overlay that appears slightly bulkier than the machine beneath it, a card slot that curves outward rather than the usual inward curve, or a keypad that feels unusually thick or spongy to the touch.
Genuine card readers are bolted firmly in place so that a gentle wiggle can reveal a loose or ill-fitting device. Skimmers are also frequently paired with a hidden pinhole camera, sometimes concealed in a nearby fixture like a mirror or brochure holder, or a fake keypad overlay, either of which can capture a customer’s PIN as it’s entered.
The FBI, which educates the public about the risks of card skimming, has published guidelines on protecting cardholders from fraud:
Inspect ATMs, POS terminals, and other card readers before using. Look for anything loose, crooked, damaged, or scratched. Don’t use any card reader if you notice anything unusual.
Pull at the edges of the keypad before entering your PIN. Then cover the keypad as fully as possible when entering your PIN to prevent cameras from recording your entry. Keep in mind that a pinhole camera may be present anywhere on or around the terminal.
Routinely monitor your credit card, bank, and EBT or other benefits accounts to identify any unauthorized transactions promptly. If possible, set email or text-message alerts to notify you of card or account transactions.
If you receive a call, text message, or email asking for your PIN, never provide it. State benefits agencies won’t request cardholder PINs. They’ll use other means to authenticate your account.
Always use a strong PIN. Avoid using PINs that can be easily guessed, such as strings of the same digits or consecutive digits.
If you suspect your EBT card was compromised in this type of scam, immediately contact your state benefits agency or card issuer. Promptly change your PIN if any funds remain in your EBT account.
