Cloned Card: What to do?

Cloned cards are a modern challenge to face. Increasingly common in Brazil, the practice has plagued many Brazilians, and perhaps even you've experienced it.

So, to learn a little more about what to do when this happens, continue reading until the end.

Below is an index for your reading:

1. What is a cloned card?
2. How the coup happens
3. Skimming
4. Phishing
5. Data sharing on the internet
6. Registration on fake websites or apps
7. Data leak
8. How to know if you've been scammed

Cloned card: what is it?

First, defining a cloned card is crucial. The basic definition of a cloned card is: an illegal copy of a credit, debit, or prepaid card, made without the cardholder's authorization. 

In short, card cloning occurs when card data is fraudulently copied and used to make unauthorized purchases or financial transactions.

Therefore, it's a scam carried out by a criminal who gains access to your card information, such as your name, number, expiration date, and security code. With this information, they can clone your card and make online purchases.

However, nowadays, with chip technology, data theft has become much more difficult. Years ago, when magnetic stripe cards were still in use, it was much easier and more common to copy this information during a payment or withdrawal.

Nowadays, despite being more difficult, scams still happen and, in some ways, are even more common, thanks to the lack of attention that many users have with everything that involves their card details.

That's why it's so important to know a little more about this inconvenient type of scam.

Cloned card: how it happens

Most scams occur online, that is, on websites or apps that use the internet to connect with your bank and/or other people.

All it takes is for someone to get their hands on your bank details – your card details – to generate a cloned version of it and the possibility of spending arises – within and beyond the possible limit.

Below is a short list of the 5 main strategies used by criminals to carry out card cloning scams:

• Skimming
• Phishing
• Data sharing on the internet
• Registration on fake websites or apps
• Data leak

However, although these are the most common card cloning scams, there are also some other ways this can happen, some even very unusual, such as taking a photo of the card.

Skimming

One of the most common scams you'll encounter is skimming. It's defined as the installation of a skimming device on a card reader, which copies data when the cardholder uses it legitimately.

Therefore, information—data—such as your card number, expiration date, and security code—makes it possible to create a card identical to the original for use by third parties. In other words, a clone.

This type of scam is also known as Point of Sale Cloning, Skimming is just a fancy name that is also circulating.

Phishing

Phishing is a widely used technique in Brazil. Scammers send fake emails, text messages (to cell phones), or create fraudulent websites that imitate those of financial institutions, online stores, and other trustworthy entities.

Therefore, if you encounter messages on your cell phone, dubious websites, or websites without the verification seals that the internet usually provides, do not provide the requested information. Your data could be stolen and your card cloned.

Data sharing on the internet

Another way – which unfortunately tends to affect older people due to their inexperience with social networks – is sharing data and information on social networks and messaging apps.

Therefore, sending your card details, especially photos of the front and back, is very dangerous. No matter how much you trust the person on the other end, hackers can access your phone and obtain these photos—so avoid doing so.

Also, don't fall for social media pranks, this type of 'game' of showing your card for some reason, can be the perfect opportunity for you to have your card cloned.

Registration on fake websites or apps

Online transactions can be targeted by data interceptors. However, it's also possible for data to be obtained through attacks on unsecured e-commerce sites.

Criminals can access your card information during transmission and use it to create a cloned card.

Additionally, mobile app registrations are also a common way for this scam to occur. Fake apps are not uncommon and can catch many people off guard.

Data leak

Last but not least, data breaches are becoming increasingly common. This means someone can have your data, putting you at risk of having your card cloned.

The exposure of credit or debit card information due to data leaks in companies is a growing concern in Brazil and around the world. 

Therefore, when a company's payment processing system or databases are compromised, the information of thousands of people can be accessed by third parties with malicious intent.

How to know if your card has been cloned

Unfortunately, discovering that your card has been cloned is very easy. You'll simply start to notice records of unknown purchases on your card statement or bank statement.

Therefore, having notifications enabled from your bank's app on your phone can be a powerful weapon against these scams. It won't prevent you from experiencing this unfortunate situation, but it will quickly inform you if something is happening.

Additionally, checking your statement and card bill regularly will help you understand if something is happening, as you may not see all of the notifications from your banking app.

One advantage you have when it comes to indicating that something is out of the ordinary and your card has been cloned is that, after the scam, criminals often use the card in locations far from your location. This will help you prove it, if necessary.

Conclusion

In short, dealing with the confusion—and potential trauma—of having a cloned card isn't easy. Therefore, understanding how scams happen and reacting quickly to signs of an incident can drastically mitigate the consequences. Stay alert.