Credit and debit card skimming is a growing threat that all consumers should be aware of. Skimmers are devices installed on payment terminals, like ATMs and gas pumps, that steal card information when customers swipe or insert their cards. The stolen data is then used to make fraudulent purchases or drain bank accounts. Many people believe that tapping or waving your card instead of inserting it can help protect against skimmers. But does tapping actually keep your card details safer? Let’s take a closer look.
How Do Skimmers Work?
Skimmers are designed to capture card data from the magnetic stripe on the back of credit and debit cards. When you insert or swipe your card at a compromised payment terminal, the skimmer reads and stores your card number, expiration date, and CVV security code. This allows criminals to recreate your card and use it for fraudulent transactions.
Some skimmers are advanced enough to also record the PIN you enter on the keypad. The skimmer saves all this data to retrieve later. Skimmers are often small devices that attach directly on top of the real payment terminal. They are designed to blend in so they are not noticeable to customers. Gas pumps and ATMs in busy areas are common targets for skimmers.
How Does Tapping Protect Against Skimmers?
Tapping, also called contactless payment, uses different technology than inserting or swiping. When you tap your card, you are using an NFC (near field communication) chip embedded in the card. This chip securely transmits payment information over a very short distance to the payment terminal. Importantly, tapping does not transmit your actual credit or debit card number. Instead, it uses a unique token or one-time code to process the payment.
Since tap payments don’t read the magnetic stripe, the card number and other data isn’t exposed to potential skimmers. Even if a skimmer is installed, there is no sensitive card data for it to capture. This makes tapping inherently more secure when compared to inserting or swiping your card.
The Limits of Tapping Protection
While tapping does offer more protection, it is not foolproof. Here are some important limitations to consider:
Only Works on Low-Value Transactions
Most cards have a cap on the size of tap transactions, usually around $100 or less. So tapping isn’t an option for higher value purchases.
Skimmers Could Evolve to Capture NFC Data
As tapping becomes more common, fraudsters may look to develop skimmers capable of capturing NFC data. Though this type of attack is less likely at this time.
Vulnerable at Non-Tap Terminals
You still have to insert or swipe at payment terminals that don’t accept tap payments. And not all merchants have enabled tap functionality yet.
PIN May Still Be Required
Some tap transactions will require you to enter your PIN as a second layer of verification. When this happens, a PIN-capturing skimmer could still be a risk.
Tips for Using Tap Safely
Here are some best practices for making the most of tap while also staying vigilant against skimmers:
– Only tap for transactions under the contactless limit – this avoids exposing your PIN.
– Be selective about when to tap. Insert or swipe instead at unfamiliar terminals where you can inspect for skimmers.
– Monitor your accounts and statements routinely for any unauthorized charges.
– Contact your card issuer immediately if you see suspicious or fraudulent transactions.
The Bottom Line
Tapping your card does offer an extra layer of security compared to inserting or swiping, making it harder for skimmers to capture sensitive card data. But tap alone cannot fully eliminate the risk of skimming attacks. Always be vigilant when using any payment terminal by checking for signs of tampering. Combine tap payments with other best practices like checking statements and using credit over debit where possible. Tap cautiously, but don’t assume it makes you invulnerable to skimmers.
Frequently Asked Questions
Is tapping credit cards safer than swiping?
Yes, tapping generally provides enhanced security compared to swiping or inserting your card. Tapping relies on encrypted NFC data transmission rather than exposing the card’s magnetic stripe. This makes it much harder for skimmers to intercept your card details.
Should I always tap instead of swipe?
You may want to tap preferentially when it’s available, but it’s not necessarily the most secure choice 100% of the time. Make sure to inspect the terminal first and don’t tap for high-value purchases that could require a PIN entry. Also tap selectively at unfamiliar terminals where skimmers are more likely.
Can skimmers steal NFC data?
Currently most skimmers are designed to read magnetic stripe data from inserted/swiped cards. As tapping becomes more widespread, skimmer technology could evolve to steal NFC data as well. But NFC skimmers are believed to be rare at this point in time.
Is tapping safe on ATMs?
Generally, yes – tapping on enabled ATMs can help prevent skimmers from capturing your ATM card’s magnetic stripe data. However, be extra vigilant checking for skimmers on any ATM before transacting. Many ATMs still don’t accept tap payments yet either.
Do all credit and debit cards have tap capability?
Most modern credit and debit cards come equipped with NFC chips for tap transactions. But not all do – check your cards to confirm an NFC logo is present to indicate tap capability. Contact your card issuer if your card doesn’t support tap.
| Payment Method | Safety Against Skimmers |
|---|---|
| Tapping | High – NFC data hard for skimmers to capture |
| Inserting | Low – Exposes card magnetic stripe data |
| Swiping | Low – Exposes card magnetic stripe data |
This table summarizes how tap, insert, and swipe transactions compare in safety against skimming attacks. Tapping ranks highest due to use of encrypted NFC data instead of exposing magnetic stripe.
Conclusion
Tapping your card is an effective way to improve security against credit card skimmers, which cannot intercept the encrypted NFC data transmitted. However, tapping has limitations and does not guarantee complete protection. Always monitor your statements and accounts for fraud no matter how you pay. Combine tapping with other precautions like covering the keypad when entering PINs and checking for skimmers on terminals. Ultimately, consumers should utilize tap cautiously as one layer of protection among multiple best practices for foiling skimmers.