Secret Service Cracks Down on Card-Skimming Scams
Federal agents say organized crime rings are planting skimming devices nationwide, costing consumers and banks more than $1 billion a year.
The U.S. Secret Service says the use of card-skimming devices, which capture account details and PINs from bank and government benefit cards, is on the rise across the country.
CBS News joined the Secret Service on a ride-along as agents searched for skimmers at hundreds of retailers across Los Angeles. The devices, which can be installed on card readers in seconds, collect data every time a card is swiped and often transmit it wirelessly to scammers.
Secret Service analyst Vince Porter said officials believe a single skimmer can net up to $1 million in stolen funds. The devices are difficult to detect and remove — in some cases, officers must pry them off, leaving residue behind — and there is no way to know how long one has been in use.
In 2025, the Secret Service removed more than 400 illegal skimming devices, which the agency says represents only a fraction of those in circulation. A CBS News investigation identified 32 active federal probes spanning 15 states. Skimming costs financial institutions and consumers more than $1 billion annually, according to Secret Service estimates.
Michael Peck, assistant special agent in charge of the agency's Criminal Investigative Division, said organized criminal groups from Eastern Europe, Asia, and Central and South America are largely responsible, often entering the U.S. through the southern border. One suspect was caught after arriving from Canada on a Jet Ski, Peck said.
Criminals frequently target stores that accept EBT cards, which hold government benefit funds for programs like food stamps and housing assistance. Many of these cards must be swiped rather than tapped, leaving them without added security. Mary Bowen, a mother of six who relies on assistance, said her benefits were stolen last week. "It just disappeared," she said. "They took it all from me."
During a recent operation, law enforcement inspected 1,749 devices at 328 businesses in California, seizing 16 skimmers and preventing an estimated $16.6 million in fraud losses. Officials recommend using tap-and-pay whenever possible to reduce risk.
This article was produced with the assistance of artificial intelligence (AI), in accordance with our editorial policy.
