STRATEGIC PARTNERS
May 16, 2000
PROVIDENCE, R.I. -- Providence police say two teen-age boys bilked thousands of dollars from Citizen Bank ATMs at the Providence Place Mall by memorizing PINs. According to the Associated Press, the youths stole an estimated $15,000 to $20,000 over a two-month period by taking advantage of a 30-second delay before the ATM shuts down after completing a transaction. Police caught the teens after a mall employee became suspicious. One boy was caught with $2,800 in cash and seven ATM slips showing withdrawals of $400 each. The teens, ages 14 and 17, face felony larceny charges. Like many newer ATMs, the machines only require the user to swipe the card briefly rather than insert it. At the end of each transaction, users are asked if they want another transaction. If so, a PIN must be re-entered. By observing ATM users, the two boys apparently developed a method of memorizing the PIN and then rushing to the machine after the person left. Police said the boys used the money for limousine trips to Boston, a Jetski and a used car. Citizens Bank plans to beef up security and reimburse any of its customers for fraudulent ATM withdrawals that are properly documented.
