Thieves are increasingly conducting sophisticated attacks on ATMs, using master keys to open the machines and installing malware or infected hard drives to withdraw cash. Community banks are particularly susceptible to these "jackpotting" schemes because they often use standardized ATM models, which can easily be opened by keys obtained online, this article says. Additionally, small banks are more likely to outsource ATM servicing to third parties, adding another layer of risk.
The article suggests that ATM security should be a bigger focus of banks' third-party risk-mitigation and fraud-prevention efforts, and it recommends regular audits to determine who has access to ATMs. It also advises banks to collaborate to identify vulnerabilities in specific ATM models or track jackpotting rings, which are often operated by organized-crime groups.
With this in mind, has "jackpotting" been on your radar? Is it part of your institution's broader conversations about fraud and risk management? Have you noticed any vulnerabilities within your markets or with certain ATM models?
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Rob Blackwell
Chief Content Officer and Head of External Affairs
IntraFi
Arlington, VA
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