Megan Brooks
Food banks are charitable organizations that provide food parcels to people in need. Unfortunately, food banks have become targets for theft and burglary. In addition to physical break-ins, food benefit theft is also on the rise, with criminals employing various tactics such as card skimming and cloning to steal people's food benefits. Scammers also impersonate government agencies or businesses to trick people into transferring money or handing over sensitive information. These scams can have devastating consequences for individuals and families who rely on food banks for support.
| Characteristics | Values |
|---|---|
| Location | Falkirk, Scotland |
| Food bank break-ins | 5 in the space of 12 months |
| Items stolen | Food, laptops, and equipment |
| Type of theft | Skimming or cloning cards |
| Age of victims | Older adults |
| Amount stolen | $360 |
| Data breach | 2.2 million people affected |
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Food bank robberies
Food banks are increasingly becoming targets for robberies and theft. In Falkirk, a food bank suffered its fifth break-in in a year, with food and equipment stolen. The manager of the food bank, Harrison Crawford, noted that it is not just the cost of the stolen items but also the cost of repairs and adding extra security that impacts the organisation. The Falkirk food bank is not alone, with reports of robberies at the Omak Food Bank in Washington and another food bank in Spokane also seeking a suspect in relation to a robbery.
Food benefit theft is also on the rise, with criminals stealing people's food benefits through skimming or cloning cards. The Supplemental Nutrition Assistance Program (SNAP) is particularly vulnerable to this type of fraud as the Electronic Benefits Transfer (EBT) cards do not have embedded chips for extra protection. As a result, millions of dollars have been stolen from people's SNAP accounts, impacting both those in need and taxpayers, with the federal government spending $30 million to reimburse stolen benefits.
To combat this issue, advocates have pushed for more secure cards, but without success. In the meantime, individuals must remain vigilant, especially regarding unsolicited calls from people claiming to be officials. While food bank robberies and benefit thefts cause financial strain, the support of local communities and businesses has been instrumental in helping affected food banks recover.
The increase in food bank robberies and benefit thefts highlights the challenges faced by these organisations in providing essential services to those in need. With demand for food banks already high, these incidents further strain their resources and ability to serve their communities.
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Food benefit theft
One of the main ways criminals are stealing people's food benefits is through skimming or cloning cards. This involves using a skimmer, an illegal device placed on an ATM or a retailer's card-swiping machine, to copy card information. Criminals can then use this information to make fake EBT cards, which they use to purchase food and beverages from SNAP-authorized stores using stolen SNAP benefits. Card skimming can also happen to people using a magnetic stripe to make purchases with a credit or debit card.
EBT cards are particularly vulnerable to skimming because they lack some of the security features offered by credit and debit cards, such as embedded chips and banks monitoring suspicious activity. Additionally, until recently, there was little recourse for victims of EBT card theft, and stolen benefits were often not replaced. However, in late December 2022, Congress passed a law to protect and replace SNAP benefits stolen via card skimming, card cloning, and other similar methods. This law requires states to replace benefits stolen between October 1, 2022, and December 20, 2024.
To protect themselves from food benefit theft, individuals should be vigilant and aware of potential scams. They should monitor their EBT account regularly for unexpected balance discrepancies or unfamiliar transactions and report any unauthorized use immediately. Additionally, individuals should be cautious of unexpected calls or texts about their EBT card, as these could be phishing schemes aimed at stealing their information.
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Cloned cards
Card cloning is a common method of stealing from individuals and institutions. Criminals use card skimmers, which are physical devices that can be attached to point-of-sale terminals, such as gas pumps, ATMs, and merchant card readers. These skimmers steal card information and store it for fraudsters to clone the card. The cloned cards are then used to make fraudulent purchases or steal money from bank accounts.
Card skimmers are often placed over the original card reader, mimicking the size, colour, and texture of the legitimate card reader, making them challenging to detect. They can also be installed inside terminals or along exposed wiring. Criminals may also install tiny hidden cameras near ATMs or the keypad to record victims' PINs. Alternatively, they may install a fake keypad over the original one to record key presses.
To prevent card cloning, consumers should regularly review their bank and credit card statements to spot any unauthorized transactions. They should also be cautious about phishing scams, where hackers impersonate trusted sources to obtain sensitive information. Additionally, consumers should avoid saving their card information on websites, use strong passwords, and utilize antivirus software when banking online.
In response to card cloning, many state agencies are pursuing enhanced card security options, such as EMV chips, and educating SNAP recipients on card safety. Congress has also passed laws to protect and replace SNAP benefits stolen through card cloning, recognizing the significant impact of such theft on individuals and households.
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Skimming devices
EBT cards, which are used for SNAP (Supplemental Nutrition Assistance Program) benefits, are particularly vulnerable to skimming. These cards lack the embedded chips that provide an extra layer of protection offered by banks and credit card companies. As a result, when individuals use their EBT cards at compromised POS terminals, their card details and PINs can be stolen, leading to the theft of their SNAP benefits.
To combat this issue, individuals are advised to be vigilant when using their cards at POS terminals. It is recommended to inspect the card reader for any signs of tampering or the presence of a skimming device before swiping the card. Additionally, using ATMs in well-lit indoor locations and opting for debit and credit cards with chip technology can enhance security.
Businesses and organizations that utilize POS machines should also take proactive measures. Regular inspections of POS machines and PIN pads, preferably daily, are crucial to identify any tampering or suspicious devices. Placing stickers or marks on the machines can help detect interference, as a damaged or missing sticker may indicate the presence of a skimmer. Furthermore, surveillance cameras monitoring the POS area can deter criminal activity and aid investigations.
The issue of skimming devices highlights the need for enhanced security measures to protect individuals' financial information and prevent fraud. By raising awareness, implementing security protocols, and utilizing more secure card technologies, the impact of skimming devices on vulnerable individuals relying on SNAP benefits can be mitigated.
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Budget cuts
Food banks in the United States are facing a challenging period due to significant budget cuts implemented by the Trump administration. These cuts have had a detrimental effect on food programs, particularly at a time when demand for their services has skyrocketed.
One of the most affected programs is the Emergency Food Assistance Program (TEFAP), which has experienced funding cuts and abrupt cancellations of food shipments. TEFAP is a vital initiative that ships food directly to food banks and helps cover operational costs. The loss of funding and food shipments has resulted in a significant reduction in the number of meals that can be distributed. For example, the Regional Food Bank in New York will provide 2 million fewer meals across 23 eastern counties due to the cuts.
Another program that has been derailed by the budget cuts is the Local Food Purchase Assistance Cooperative Agreement Program (LFPA). LFPA allowed food banks to purchase food from local farms, supporting both the farming community and the individuals and families who rely on food banks.
The impact of these cuts is far-reaching, with food banks struggling to feed increasing numbers of people who are facing food insecurity. The situation is further exacerbated by the fact that food banks rely heavily on federal funding, and with reduced funding, they are finding it challenging to acquire enough food to meet the demand.
The budget cuts have also affected specific food bank organizations, such as the Food Bank for the Heartland, which serves Nebraska and Iowa. They anticipate that the reduced federal funding will make it difficult to achieve their goal of feeding more than 1.6 million individuals and almost 600,000 households this year.
The cuts have also impacted programs like SNAP (Supplemental Nutrition Assistance Program), where scammers have targeted beneficiaries by stealing their data and draining their accounts. While this issue has resulted in significant losses, there has been little success in implementing more secure measures to protect beneficiaries.
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Frequently asked questions
SNAP, or the Supplemental Nutrition Assistance Program, is a program that provides food benefits to millions of American families.
One of the main ways criminals steal from SNAP is through card skimming or cloning. This involves using a skimming device to copy card information and then using that data to make fraudulent transactions or produce a cloned card.
Food benefit theft is increasing, and millions of dollars have been stolen from people's SNAP accounts. In 2015, federal officials in Los Angeles charged a team of people with using cloned cards to steal $38 million.
The USDA recommends taking precautions such as regularly changing your PIN, covering the keypad when entering your PIN, and frequently checking your account for unauthorized charges.
Yes, scammers often pretend to be from trusted government agencies or businesses, such as the FTC, banks, or the Social Security Administration. They may use fake security alerts or impersonate staff to trick people into transferring money out of their accounts or providing personal information.
