Sunday, December 6, 2009

FDIC Issues Warning of New Phishing Scam

Fraudulent correspondence bearing the FDIC's name continues to be mailed, faxed and e-mailed. This correspondence is being used in illegal schemes to collect sensitive personal information, such as bank account numbers, and to steal money and other assets.

The Federal Deposit Insurance Corporation (FDIC) is reminding financial institutions, businesses and consumers that fraudulent correspondence claiming to be from the FDIC continues to be mailed, faxed and e-mailed in the United States and other countries. The correspondence uses various techniques to gain the trust of recipients in hopes they will provide sensitive personal information, including bank account numbers that can be used to steal money and other assets. Recipients should NOT, under any circumstances, respond to the fraudulent requests. Institutions also are encouraged to inform customers that fraud artists may use the names of the FDIC and other government agencies and to take appropriate precautions.

The criminals, knowing that people trust the FDIC name, have duplicated the official logo and seal in fraudulent letters, forms, certificates and other correspondence. Recent examples have included invoices, bills, transfer forms, guarantees, endorsements, and confirmations of stock and investment purchases. In some cases, recipients were asked to complete fraudulent forms and return them by fax or e-mail. In other cases, recipients were asked to remit funds via check or wire transfer service.

The FDIC rarely sends unsolicited bills or other similar documents to financial institutions, businesses and consumers. In particular, the FDIC does not send unsolicited correspondence asking for sensitive personal information, including bank account information. Anyone receiving such correspondence should contact the FDIC immediately by calling toll-free at 1-877-ASK-FDIC or1-877-275-3342or by e-mailing to alert@fdic.gov. Do not use contact information listed for the FDIC in the correspondence because it is likely to be falsified.

Information about counterfeit items, cyber-fraud incidents and other fraudulent activity may be forwarded to the FDIC's Cyber-Fraud and Financial Crimes Section, 550 17th Street, N.W., Room F-3054, Washington, D.C. 20429, or transmitted electronically to alert@fdic.gov. Questions related to fraudulent correspondence, deposit insurance or consumer issues should be submitted to the FDIC using an online form that can be accessed here.

ATM Fraud: New Skimming Scheme Spreads

MD, IL, GA Banks, Customers Targeted by Fraudsters

December 7, 2009


Three ATM skimming operations in Maryland, Illinois and Georgia have netted thieves more than $120,000, according to law enforcement agencies investigating the crimes. These discoveries follow several recent incidents of ATM skimming in other states.

Maryland State Police report that an ATM skimmer was placed on a Bank of America ATM in Eldersburg, MD, and that possibly $30,000 was taken last week. Police have removed the skimmer, but say there could be more. State police have reported other incidents at various other banks in Northern Virginia and Maryland. Two men reportedly were photographed installing the skimming device, which collected card information from customers. The men then come back, removed the device, made counterfeit ATM cards with their stolen information and withdrew money.

In Illinois, thieves used a Bank of America ATM to steal $20,000. Police report the criminals installed a skimming device on a drive-up ATM in Mt. Prospect. The skimmer reportedly was used on Oct. 11, 12, 24, and 25, as well as Nov. 26-29 to steal $20,192 from 316 debit card accounts. The criminals removed the skimmer before employees could find it. Several bank customers complained Monday, Nov. 30, about unauthorized withdrawals.

That report came a week after a similar ploy in Buffalo Grove, where more than $70,000 was taken from an ATM at a Chase Bank branch. Chase Bank officials told police that security video recorded two suspects placing a camera and recording device on the ATM inside the lobby of the bank on November 14. The two then returned on Nov. 16 and used account information that was recorded to withdraw funds from multiple accounts.

The Savannah-Chatham, GA. Metro Police report they were tipped off to two skimming incidents.

Detective Ray Woodberry of the Savannah-Chatham Metro Police says they have seen three reports of skimming over the past few months, including the most recent one at a Bank of America ATM on Victory Drive in Savannah.

Woodberry reports an ATM technician discovered the skimming devices at the Bank of America and reported it to police. There is no word yet how many customers may have been victimized by thieves.