Illicit devices attached to payment terminals at a large retail corporation designed to steal card data are a growing concern for consumers. These devices record information from the magnetic stripe or chip of credit and debit cards during a transaction. As an example, a customer using a compromised payment terminal at a major retail location might unknowingly have their card number, expiration date, and cardholder name captured by a concealed device.
The presence of these devices results in significant financial losses for both cardholders and financial institutions. Historically, the rise in card fraud has prompted increased security measures, such as chip card technology and EMV chip implementation. The illegal use of customer data leads to identity theft and unauthorized purchases. Banks and credit card companies invest heavily in fraud detection and prevention to combat these increasing threats.
