The problem of ATM Frauds is global in nature and its ramifications have been felt in India as well. ATM Frauds in India are increasing at an alarming rate. If we add to it the cases of Credit Card Frauds, Internet Banking Frauds and frauds committed using Phishing techniques, the numbers are really shocking. With mobile phones being increasingly used for transactions, instances have been reported of fraudsters intercepting one-time passwords by obtaining duplicate SIM cards. The ATMs need to be highly secured as cardholders are ignorant about such tricks. ATM Frauds happen when someone leaves his/her credit card unattended in a vehicle or changing room or allows anyone else to use the card or looses the card that is misused by others or discloses the Personal Identification Number (PIN) to others, etc. Fraudsters are much more advanced. The Technology can also be used to minimize cases of ATM Frauds in India. The technological mechanisms like Designated time, Microchip technology, Biometric tokens, Enhanced security, ATM Monitoring, Customised software, Customer motivation, Alerts, etc can be used to minimize and prevent ATM frauds in India.
It not only causes financial loss to banks but they also undermine customers' confidence in the use of ATMs. It is one of the most common types of fraud but there are some measures that people who own credit cards and debit cards can take to avoid theft of their identity. Criminals are scoring top marks for their devious ways. Statistically, card skimming is now the preferred method of ATM fraud, though it's not only limited to the ATM environment. Skimming was once solely limited to credit cards, but the reality is that it now also includes debit cards. The ATM fraud is not the sole problem of banks alone. It is a big threat and it requires a coordinated and cooperative action on the part of the bank, customers and the law enforcement machinery. Being a Bank employee I would like to point out that today, everyone is keeping a bank account with an ATM card. Many write the PIN in the space provided for signature, and this is an open invitation to thieves. The security of the password need not be overemphasized with increasing thefts and frauds on the Internet. It is high time to revoke the Cyber Law of India as soon as possible and enact Strong and Effective Laws in this regard. Till we have suitable and apt laws, we must apply existing laws in a purposive and updating manner. There is thus a need to take precautionary and insurance measures that give greater "protection" to the ATMs, particularly those located in less secure areas. |
