The new card security has already been breached by hackers.
We use them at restaurants, in taxis and to pay for our groceries. Chip and pin point of sale payment machines are everywhere, and they're meant to be impenetrable.
Verifone has deployed millions of point of sale devices, but are they all potential points of risk?More stories from Today Tonight
- Cyber con super scams
- Stolen identities costing Australians millions
- Millions lost in credit card swipe hits
Professional hacker Nils Schmit has breached Verifone's MX780 card EFTPOS device, showing how once the malicious software is inserted, it can read your credit card and steal your personal information.
“The criminal would go back at the end of the day with another malicious credit card to retrieve the recorded card numbers and pin numbers,” Schmit explained.
Then every account is vulnerable.
Detective Superintendent of Queensland's Fraud and Corporate Crime Group Brian Hay says if it’s already happening in Europe, “we know it's going to happen here.”
Verifone supply 200,000 point of sale machines in Australia. They're in our cabs and our biggest supermarket, Woolworths. Hacking into them is big business.
“I've seen a figure recently of about 3$00 odd billion; I've seen $84 billion; I've seen $3 trillion - who knows. But I do know that it affects probably more people than any other crime type that's ever existed in the history of humanity - and it's going to get worse,” Det Superintendent Hay said.
Detective Superintendent Hay says no matter how new the technology, hackers loom. “A system or that piece of equipment can't be guaranteed to protect you 100 per cent,” he added.
Our archives are full of victims, their stories and the latest breaches make a mockery of company spin and corporate videos.
Verifone refused to comment, but does acknowledge the security breach. It claims the problem is with older machines only and a software solution has been developed.
However, it is yet to be implemented as the software is awaiting approval from industry authorities. Hackers don't wait for approval.
In Australia one in fifteen adults has been victim to credit card fraud in the past year. It's no surprise to Chris Gatford of HackLabs - a professional hacker working for the good guys to prevent security breaches.
“Until we have data loss disclosure laws here in Australia we won't fully understand the picture of what we're dealing with,” Gatford said.
In 2011 Australians lost a reported $13.7 million in skimming fraud.
“Attackers are creative, they will always look for new areas, things that are less protected and have vulnerabilities,” Gatford added.
And beware the new wave and pay technology. The UK's Daily Mail recently reported 15 million Barclays’ customers using new contactless credit cards could have their details stolen by electronic pickpockets. They can brush past wallets with a mobile phone embedded with malicious software, which scans your card and steals your information.Contact details
- HackLabs - www.hacklabs.com
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