You go to the store, swipe your card, grab your receipt, and leave, thinking everything is fine. But there’s a chance that a device mounted on the payment terminal has just captured your card details, including your PIN.
Recently, U.S. Secret Service agents conducted a sweep of numerous retailers in Los Angeles, searching for these skimmers. Their findings were concerning, revealing just how sophisticated these devices have become and how hard they can be to detect.
This skimming issue is particularly critical for users of Electronic Benefit Transfer (EBT) cards. Many of these cards still use the vulnerable magnetic-stripe technology, which criminals can easily exploit.
Secret Service uncovers skimmers in plain sight
What’s astonishing is how swiftly criminals can fit a skimmer onto a payment terminal. Video evidence showed a suspect could do this in under two seconds, placing a fake reader right atop the legitimate terminal. So when someone swipes their card, the skimmer can gather both the account information and the PIN entered during the transaction.
Previously, we’ve highlighted how skimmers and the more advanced shimmers can steal payment details. What’s striking now is the realism of these newer devices. During their operation, agents discovered a skimmer that was almost indistinguishable from the real payment terminal, even featuring what appeared to be a security hologram.
Agents had to forcefully remove the device, discovering miniature electronics and a wireless transmitter inside, capable of sending the stolen data to a nearby criminal. This means the individual who installed it might not even need to return to collect the information.
A single skimmer can cause massive financial losses
The scale of this crime is staggering. The Secret Service reports that one skimmer can potentially rake in up to $1 million in stolen funds.
Currently, there are 32 ongoing federal investigations across 15 states. The Secret Service estimates skimming costs consumers and financial institutions over $1 billion annually.
To combat this, the agency has intensified its enforcement efforts nationwide. In 2025 alone, over 400 illegal skimmer devices were confiscated. They’ve noted a rising trend in skimming targeting EBT cards.
A recent sweep in Los Angeles highlighted the extent of the issue. Law enforcement inspected 328 businesses and checked 1,749 payment devices, seizing 16 skimmers. This operation likely prevented around $16.6 million in potential fraud losses.
Why are EBT cards a target for criminals?
Here’s where it gets alarming. The Secret Service has found that criminals specifically target areas with high EBT usage, such as grocery stores where government benefits are spent.
While many credit and debit cards now come equipped with chips or contactless features, a significant number of EBT transactions still require that older magnetic-stripe swipe. This presents an opportunity for criminals, as a skimmer can easily capture the information stored on the magnetic stripe. If they also obtain the victim’s PIN, they can clone the card to steal benefits.
For the individuals relying on those benefits, the consequences can be immediate and devastating. Victims may find their accounts empty when they attempt to purchase groceries or other essentials. Recovering stolen benefits can be a lengthy process, leaving families without vital funds.
Changes in EBT card security measures
Federal officials are aware that the magnetic stripe is a weak point. The USDA’s Food and Nutrition Service has noted an increase in EBT fraud through skimming and is collaborating with states to modernize SNAP EBT systems, which might include moving to chip cards.
Chip technology is harder to replicate than magnetically-stored data. However, transitioning will take time. Until more EBT systems adopt this newer tech, millions may still use cards that require swiping, making them vulnerable to these scams.
Organized crime involvement in skimming schemes
The Secret Service has found that certain organized crime groups are behind some of these skimming operations. Investigators have tied some activities to groups that enter the U.S. and move between locations to install devices.
Throughout 2026, the agency has been conducting skimming operations nationwide. Recent sweeps have focused on suspected skimming activity at stores and ATMs, complicating efforts to track these devices while enabling criminals to target multiple sites quickly.
How to protect yourself from card skimmers
It can be tough to identify a well-crafted skimmer just by looking. Still, there are steps you can take to reduce your risk and spot unusual activity sooner.
1) Opt for tap payments instead of swiping
If a payment terminal allows it, use contactless payments. The Secret Service advises opting for tap-to-pay when available. If the retailer supports it, using a digital wallet on your phone is also safer. Check our guide on how to protect your cards from being hacked for more tips.
2) Inspect the terminal before using
Before you insert or swipe your card, take a moment to examine the terminal. Look for anything that appears loose, crooked, or damaged, and avoid using it if anything seems off.
3) Test the reader gently
Some skimmers sit directly over the real card reader. Before swiping, it’s wise to gently tug on the terminal to see if anything feels unusual. Don’t try to dismantle the device; if something feels wrong, stop using it and inform the store.
4) Shield the keypad when entering your PIN
A skimmer might capture card details while another device records your PIN. Make it a habit to cover the keypad with your hand whenever you input your PIN, which helps restrict the usefulness of any intercepted data.
5) Activate transaction alerts
Enable notifications through your bank so you’re immediately informed of any card activity. Watch for small, unfamiliar charges. If something seems suspicious, reach out to your financial institution using the contact number on your card. If there’s been unauthorized use, follow our advice on what to do when your account is hacked.
6) Regularly check your EBT balance
EBT users should monitor their account history for any transactions that stand out. The Food and Nutrition Service suggests checking EBT accounts often and recommends changing your PIN at least monthly, especially before benefit issuance. If you detect an unauthorized transaction, immediately change your PIN and reach out to your state EBT agency.
7) Keep your EBT PIN confidential
No official agency should ever ask for your PIN to confirm eligibility. Be cautious—never divulge your EBT card number or PIN in response to unexpected messages or calls. Criminals have various tactics to acquire benefit details, making PIN protection crucial, even when skimming isn’t involved.
Steps to take if you suspect your card information has been stolen by a skimmer
Act promptly if you notice any suspicious transactions.
- Contact the bank or organization that issued your card.
- Request to block the compromised card and review unauthorized transactions.
- If your EBT card is affected, contact the agency managing benefits in your state.
- Change the card’s PIN right away.
- Note where you last used the card, as it may assist investigators or retailers in pinpointing a compromised terminal.
- Don’t assume that just one unauthorized charge is the end of it. Criminals can attempt to use copied card details multiple times.
Key takeaways
What troubles me most about this scam is the impact on individuals with limited means to protect themselves. I can tap my card or use my phone to avoid swiping, whereas many EBT users are stuck with outdated magnetic-stripe technology. This really should change. These skimmers are convincing enough to fool nearly anyone, and some can relay stolen data without the criminal needing to return to the device. Checking the terminal and monitoring your account is helpful, but it’s tough when the payment system itself has vulnerabilities. Transitioning benefit cards to more secure technology is crucial, especially when families depend on those funds for food.
Have you encountered a suspicious card reader or noticed missing funds after using your card? Do you think stores should be mandated to inspect their payment terminals daily? Share your thoughts with us.
