News

European ATM fraud losses drop 36%

April 7, 2010

The not-for-profit European ATM Security TEAM (EAST) today reported a 36 percent drop in ATM related fraud losses in 2009, with total reported losses of Euro 312 million (down from Euro 485 million in 2008). Annual losses due to card skimming have fallen for the first time since EAST began tracking them in 2004 (down from Euro 484 million in 2008 to Euro 310 million in 2009).

International losses due to skimming attacks fell by 43 percent from Euro 393 million to Euro 226 million, continuing a downward trend for each biannual reporting period since 2007. According to EAST, this is further indication that implementation of the EMV security standards at ATMs in Europe (now 94 percent complete) is helping to reduce skimming losses, and also that fraud counter-measures, fraud monitoring capabilities and fraud detection continue to improve.

Despite this drop in losses, overall ATM related fraud attacks rose 8 percent with a total of 13,269 incidents reported (up from 12,278 incidents in 2008). This rise has been led by a 209 percent increase in the number of cases of card trapping (up to 2,166 incidents from 701 in 2008), while the total number of skimming incidents reported decreased by 1 percent over the same period. EAST first reported an increase in card trapping incidents at the end of the first six month period in 2009 and the figures for the second six months have shown a further increase.

Physical attacks on European ATMs have fallen by 2 percent when compared with 2008 (down from 2,520 to 2,468 incidents), primarily due to a decrease in the number of reported ram raids and ATM burglaries. Despite this drop in incidents, overall losses rose 7 percent to Euro 28 million (up from Euro 26 million in 2008). Attacks on staff involved in the cash replenishment and servicing of ATMs rose by 40 percent (from 365 to 510 incidents) although the number is still well below the 1,950 cases reported in 2007.