Beware of New ATM Scam: How to Protect Yourself

A new ATM scam has emerged, where fraudsters manipulate the card reader to trap customers' cards. They offer assistance but exploit the situation to withdraw money once the victim leaves. This article outlines the mechanics of the scam and provides seven crucial tips to ensure your safety while using ATMs. Stay informed and protect your finances by following these guidelines.

By Narendra Chaudhary Mar 1, 2026, 15:30 IST

Understanding the ATM Scam

If your card gets stuck in an ATM while withdrawing cash, it’s crucial to be cautious, as a single mistake could lead to significant fraud. A recent report has unveiled a new ATM scam orchestrated by fraudsters.

This scam involves the removal of the card reader from the ATM, causing the customer's card to become trapped inside when they attempt to use it. Once this happens, the scammers offer to assist the customer by entering their PIN. When the PIN fails, they suggest that the victim file a complaint with the bank.

Scammers Wait for the Right Moment

After the customer leaves, the fraudsters retrieve the card from the machine and withdraw money from the victim's account. This scam is particularly dangerous as it exploits the victim's trust in strangers and their willingness to accept help in difficult situations. It is vital for ATM users to remain vigilant and report any suspicious activity to their bank immediately.

New Techniques in ATM Scams

Fraudsters have developed a new technique to deceive individuals using ATMs. According to reports, they detach the card reader from the machine, causing the customer's card to get stuck. They then offer assistance by asking for the PIN and feigning an unsuccessful entry. After the customer leaves to file a complaint, the scammers take advantage of the situation. Once the customer is gone, they retrieve the card and use it to withdraw cash.

7 Tips for Your Safety

When withdrawing cash from an ATM, pay close attention to your surroundings.

Ensure that no one else is inside the ATM while you are making a transaction.

Cover your PIN while entering it to prevent anyone from seeing it.

Avoid seeking help from strangers during any transaction.

Always check your account statement on your mobile after withdrawing cash.

If you sense any suspicious activity that could indicate a scam, take action.

In case of any incident, notify the cyber team and file a complaint.