Credit card shaving scam
Filed under: Ripoffs and Scams, Identity Theft
For those of you who think of credit card theft as a high-tech crime performed online by e-savvy thieves, credit card shaving may sound SO 20th century. But it works -- depending, as usual, on the inattentiveness of store clerks.
Credit card shaving depends on glue and razor blades as much as stealth and the Internet. First, the shaver either finds an valid credit card number by entering various number combinations in an online store until one clicks, or buys lists of valid card numbers from the black market. The crook then carefully shaves embossed numbers from the surface of gift cards, as well from a defunct Visa, MasterCard or the like credit card. He then glues the number of the valid card onto the credit card blank, effectively creating for himself a duplicate of the valid credit card.
Then, the shaver need only scratch the mag strip so that the clerk will be required to enter the number manually, and he's ready to go shopping.
You are probably thinking, "Wouldn't you be able to tell that the card had been altered?" The answer is, yes, you probably could, but the clerk who has a line of impatient customers glaring at him and faces no penalty for accepting the card has little incentive to act as a fraud detector.
This is yet another argument for signing up for online access to your credit card account, so that you can check expenditures more frequently than once a month. The whole world has access to glue and razor blades.
Watching Your Plastic
Kira Limer pays cash for a book at Barnes & Noble, Tuesday, Sept. 9, 2008 in New York. The idea of cutting out credit cards is gaining more exposure at a time when Americans hold more than $850 billion in credit card debt, four times as much as in 1990. (AP Photo/Mark Lennihan)
AP
Kira Limer pays cash for a book at Barnes & Noble, Tuesday, Sept. 9, 2008 in New York. The idea of cutting out credit cards is gaining more exposure at a time when Americans hold more than $850 billion in credit card debt, four times as much as in 1990. (AP Photo/Mark Lennihan)
AP
In this image released by the Brown County Sheriff's Office, Wendy Brown is shown in a booking mug after her arrest on Sept. 4, 2008, in Green Bay, Wis. Brown, 33, is charged with felony identity theft after enrolling in Ashwaubenon High School as her daughter, who lives in Nevada with Brown's mother. (AP Photo/ Brown County Sheriff's Office)
AP
Defense attorneys Ann Marie Fitz, left, and Ryan Beasley, speak to reporters outside the Clement F. Haynsworth Federal Building and U.S. Court House after Esther Reed pleaded guilty to identity theft in Greenville, S.C., Tuesday, August 19, 2008. (AP Photo/Patrick Collard)
AP
United States Attorney W. Walter Wilkins speaks to reporters outside the Clement F. Haynsworth Federal Building and U.S. Court House after Esther Reed pleaded guilty to identity theft in Greenville, S.C., Tuesday, August 19, 2008. Reed pleaded guilty Tuesday to stealing the identity of a missing South Carolina woman to attend an Ivy League school in what her lawyer called a bid to escape a painful past. (AP Photo/Patrick Collard)
AP
This handout photo courtesy of the Boston Police Department shows suspect Clark Rockefeller. FBI agents on August 2, 2008 arrested a man accused of abducting his seven-year-old daughter, who was visiting from London, sparking a national manhunt and fevered speculation over the flamboyant fugitive's identity.The Federal Bureau of Investigation in Boston, where Clark Rockefeller allegedly abducted his daughter Reigh Storrow Boss from his ex-wife a week ago, said the fugitive was arrested in Baltimore, Maryland, and the girl freed. Rockefeller is now likely to face charges including kidnapping, assault, and possibly identity theft. However, police are no closer to resolving who the man they have in custody really is. He has reportedly used a number of aliases, including J.P. Clark Rockefeller, Clark Mill Rockefeller, as well as plain Michael Brown. Police at first thought he was about to flee to Bermuda or Peru on a yacht docked in Long Island, near New York. Some reports had him already in the Caribbean. AFP PHOTO/BOSTON POLICE DEPARTMENT/HANDOUT=RESTRICTED TO EDITORIAL USE =GETTY OUT= (Photo credit should read HO/AFP/Getty Images)
AFP/Getty Images
LA CANADA, CA - AUGUST 05: Customers shop at a TJ Maxx store on August 5, 2008 in La Canada, California. The Justice Department has charged 11 people with stealing more than 40 million credit and debit card numbers of customers shopping at TJX Companies, which owns the Marshall's and TJ Maxx chains, and other major retailers by hacking into their computers. The information was then allegedly sold to people who used it to steal tens of thousands of dollars at a time from accounts through automated teller machines in the US and Europe. It is one of the biggest identity-theft cases on record. Charges against the suspects, who are from the US, China, Ukraine, Belarus, and Estonia, include computer fraud, wire fraud, access-device fraud, aggravated identity theft and conspiracy. The suspects also accused of hacking into the computers of Barnes & Noble, Forever 21, Sports Authority, OfficeMax, Boston Market, DSW Inc., and BJ's Wholesale Club to steal information. (Photo by David McNew/Getty Images)
Getty Images
LA CANADA, CA - AUGUST 05: Customers shop at a TJ Maxx store on August 5, 2008 in La Canada, California. The Justice Department has charged 11 people with stealing more than 40 million credit and debit card numbers of customers shopping at TJX Companies, which owns the Marshall's and TJ Maxx chains, and other major retailers by hacking into their computers. The information was then allegedly sold to people who used it to steal tens of thousands of dollars at a time from accounts through automated teller machines in the US and Europe. It is one of the biggest identity-theft cases on record. Charges against the suspects, who are from the US, China, Ukraine, Belarus, and Estonia, include computer fraud, wire fraud, access-device fraud, aggravated identity theft and conspiracy. The suspects also accused of hacking into the computers of Barnes & Noble, Forever 21, Sports Authority, OfficeMax, Boston Market, DSW Inc., and BJ's Wholesale Club to steal information. (Photo by David McNew/Getty Images)
Getty Images
LA CANADA, CA - AUGUST 05: Customers shop at a TJ Maxx store on August 5, 2008 in La Canada, California. The Justice Department has charged 11 people with stealing more than 40 million credit and debit card numbers of customers shopping at TJX Companies, which owns the Marshall's and TJ Maxx chains, and other major retailers by hacking into their computers. The information was then allegedly sold to people who used it to steal tens of thousands of dollars at a time from accounts through automated teller machines in the US and Europe. It is one of the biggest identity-theft cases on record. Charges against the suspects, who are from the US, China, Ukraine, Belarus, and Estonia, include computer fraud, wire fraud, access-device fraud, aggravated identity theft and conspiracy. The suspects also accused of hacking into the computers of Barnes & Noble, Forever 21, Sports Authority, OfficeMax, Boston Market, DSW Inc., and BJ's Wholesale Club to steal information. (Photo by David McNew/Getty Images)
Getty Images
LA CANADA, CA - AUGUST 05: Customers shop at a TJ Maxx store on August 5, 2008 in La Canada, California. The Justice Department has charged 11 people with stealing more than 40 million credit and debit card numbers of customers shopping at TJX Companies, which owns the Marshall's and TJ Maxx chains, and other major retailers by hacking into their computers. The information was then allegedly sold to people who used it to steal tens of thousands of dollars at a time from accounts through automated teller machines in the US and Europe. It is one of the biggest identity-theft cases on record. Charges against the suspects, who are from the US, China, Ukraine, Belarus, and Estonia, include computer fraud, wire fraud, access-device fraud, aggravated identity theft and conspiracy. The suspects also accused of hacking into the computers of Barnes & Noble, Forever 21, Sports Authority, OfficeMax, Boston Market, DSW Inc., and BJ's Wholesale Club to steal information. (Photo by David McNew/Getty Images)
Getty Images
Reader Comments (Page 1 of 4)
9-12-2008 @ 12:26PM
William said...
The credit card companies themselves are scamming the American Public. What with all of the tricks they pull to steal your money when the bill comes due. ie, several interest rates, lowering your credit score if you come close to your limit and so on. So please when you need reminding that scammers are out there keep in mind the very people who issue the cards are doing it too.............only with the governments consent.
Reply
9-12-2008 @ 2:11PM
Joanna said...
It is nor banks that scamming, peoples do it to themselves. Do not buy what you can not afford. Someone buys plasma TV, do not pay bills, go bankrupt and than we, the taxpayers have to pay for it!!!!
9-13-2008 @ 10:19AM
T said...
The banks are not "scamming" anyone. I admit there may be some fine print as to terms but when you are borrowing money you need to read the terms. People buy more than they can afford and carry a balance, they then are subject to finance charges. If they miss a payment the interest rate may go up and there may be penalties. Oh well, it's in the terms. If someone does not like the terms of a certain card or bank get another one or pay cash. It's irresponisible people who buy more than they can afford then whine about payments, declare bankrupcy, default on mortgages etc than have brought our economy to it's knees. Pay for what you buy, if you can't handle how credit works pay cash.
9-12-2008 @ 12:44PM
Jamie said...
This is very real. This happened to me. I check my account everyday. Someone in Romania stole my numbers from my debit card and took over $300 plus overdraft charges. God only knows what would have happened if I didn't check it. The bank did drop all fees, but really did not have to since it was a debit card. They are not covered normally!
Reply
9-12-2008 @ 12:48PM
Capt_Harlock said...
DONT put your money in the same bank who issued a credit card you default on. Lets say you owe 11,000 on your Wamu MasterCard, and you have 10k in a Wamu bank. It wont be long before banks YANK your balance to pay the outstanding debt and leave you with NOTHING to your name.
Bank issued credit cards are EVIL and they have instant access to your savings / checking accounts. Bank with independant institutions who you DO NOT have a credit card with.
Reply
9-12-2008 @ 1:51PM
Shell said...
umm I don't think they'll take your money if you pay your bill..
if you don't have it don't spend it..if you do and I am guilty of doing so then you can't complain about what happens when you spend what you know you dont have..I have had to do bankruptcy because of this and it was my fault not the cards..
9-12-2008 @ 12:50PM
donna said...
GREAT!!! You just told millions more how to do it. Thanks a lot.
Reply
9-12-2008 @ 1:03PM
GerriH said...
If they are trying to protect the public, they are doing a fine job of screwing that up. You don't give ideas like that in an open arena.
9-15-2008 @ 8:59PM
Maggie said...
Right on..why do they tell the world how the thieves scam us?
Just like putting out a book of directions on how to screw the public...LEARN TO USE A BUDGET
9-12-2008 @ 1:07PM
sharon said...
Just last week, while looking online at my account, I noticed $501.00 to Western Union. Of course it was late on Friday evening, so I made calls to W.U., they put my card on a "hot list" told me to contact my credit union and the police. There is now an investigation to find out who did this. No, I did not loose my card or give it to anyone else. In fact, I thought I was "so careful" It just goes to show it can happen to you. Be careful. PS. The Credit Union did put the $ back in on Monday. Whewwwww!!!!
Reply
9-12-2008 @ 1:07PM
wendygoerl said...
I think this warns more clerks than informs theives (at least I HOPE it warns clerks). It's a simple trick, but I doubt many people have the steady hands to make it work.
BTW, I've never seen a clerk enter a card manually. They just give you dumb looks or try to show you how to use it until you give up and go to something else. And only one bothered to check if I signed the back of my card.
Reply
9-13-2008 @ 2:07PM
Marie said...
NEVER sign the back of your credit card; just write 'ask for picture i.d.'. After all anyone could just sign your name to it.
9-15-2008 @ 8:41PM
VinnyMac said...
It's usually fine and dandy to write "see picture ID", but there are a couple of things to watch out for with this: 1, some merchants are NOT ALLOWED to accept credit cards without a SIGNATURE, and they don't honor "see picture ID" or anything with similar wording, meaning that you will have to sign it there on the spot, and usually provide TWO forms of picture ID as proof that you are the legal cardholder. 2, credit card companies may force you to pay charges made without your knowledge or consent, stating that you did not limit the use of your card by NOT SIGNING THE BACK OF YOUR CARD. Keep these tips in mind when you get a new card.
9-12-2008 @ 1:15PM
CDD248 said...
Credit card companies could do more to prevent fraud. If every card required a pin number, and if every card had your picture on it (like Citibank cards), there would be less fraud. Requiring a pin number is necessary for your ATM card, making them worthless if someone steals or finds it. Why not do the same with all credit cards?
Our Am EX number was somehow stolen. A ticket from Copenhagen to Venice was purchased. We live in America. AM EX called us to alert us and we confirmed it was fraud. We had our card, so have no idea how someone in another country got a hold of the numbers.
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9-12-2008 @ 1:15PM
wendygoerl said...
And you honestly think criminals aren't passing these tricks to each other? Just because YOU never visited a site that explains it doesn't mean it isn't there, and staying ignorant of tricksters' tactics doesn't make you any safer.
Reply
9-12-2008 @ 1:32PM
Tony said...
For those of you wanting the convenience of using a credit card or debit card without the cost, I will explain what I did. Of course I have good credit so I went to my bank and ask about the card they carried. I asked how much was the interest: (Ans-9 percent on carried balances, $0 on zero balances. Fees: (ans-None as long as no late payments and zero balance). Can I make a payment at my back: (Ans- Of course and get a written receipt of the payment). Can I pay in ADVANCE: (Yes if that is your desire but not necessary)
I then applied for the card had the approval in ten min. Received the card in the mail in 3 days. First thing I did was to estimate how much a month I would use the card for. Then I drove a few min from home and made and "Advance" Payment for the estimated months expeditures. Should I see I am getting close to going above the zero balance mark, I just stop by my bank and "Advance" Pay some more.
Since I have had the card, 8 months it has not cost me one single penny. cheaper than a CC or a Debit Card and much easier than carrying a large some of cash.
Reply
9-13-2008 @ 10:19AM
jon said...
Your not saving money that way, your just giving the bank an interest free loan for no good reason. If you use a debit card in the same way you use a credit card or simply pay your bill in full when its due you also wont be charged a penny and you wont need to give banks free interest free loans to do so.
9-12-2008 @ 2:00PM
Lisa said...
I work in a family run liquor store. A few weeks ago we had an african american couple trying to buy all the top shelf vodka we had. They were very suspicious. No, I am NOT racist. These are the facts. When it was time for check out the Visa card they gave me was clearly altered and I had to manually put the numbers in. I got the attention of my manager who secretly called police while I acted like I didn't know how to use the machine and they were arrested. The "wife" had 5 different aliases in her purse. I am glad I have a good eye.
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9-12-2008 @ 2:13PM
mensawannabe said...
If you don't not thinnk that you are racist, then why did you feel it necessary to include the "African American" in your description. It is obvious that the fact that they bought a great deal of expensive vodka, alone, must have have been plenty of reason to be suspicious.
9-12-2008 @ 2:29PM
Jamie said...
Good for you!