Point-of-Sale (“POS”) fraud is on the rise last holiday season, and once again federal and state authorities are warning the public to be weary of “skimming” techniques this holiday season. According to the Associated Press today, 28 people were indicted in New York for running an ID-theft ring, whereby waiters were recruited to use POS devices that would copy credit card information from patrons at high-end restaurant establishments. The downloaded information would then be used to purchase luxury merchandise from well-known retailers. Though the victims were not responsible for the items purchased, the banks and insurance companies undoubtedly will trickle the losses derived from the fraud back on to the customer via fees and other miscellaneous charges.
