Brian Krebs reports on a terrifyingly real-seeming Point of Sale skimmer: a device that looks and feels just the thing you normally stick your credit-card into and then enter your pin into, which can print out a real-seeming receipt showing the transaction was approved by your bank. Instead, what this thing does is record your card number, PIN, and other information needed to replicate your card and use it to clean out your account.
This miscreant sells two classes of pre-hacked wireless Verifone POS devices: The Verifone vx670, which he sells for $2,900 plus shipping, and a Verifone vx510, which can be had for $2,500. Below is a video he posted to youtube.com showing a hacked version of the vx510 printing out a fake transaction approval receipt.
From the seller’s pitch: “POS is ‘fake’ and stores D+P [card data and PIN], prints out approved receipt or can be setup for connection error. Software to decrypt the data is provided. It keeps d+p inside memory for manual retrieval via USB cable.”
Point-of-Sale Skimmers: No Charge…Yet
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Here’s a small gallery of the East German secret police’s 26th Division, hard at work during the 1980s.
In Insurance coverage of customers induces dishonesty of sellers in markets for credence goods , a research paper in PNAS by German and Austrian economists, the authors show experimental evidence that electronics repair shops are more likely to overcharge for labor when their customers have insurance.
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