A new Bluetooth overlay skimmer block chip-based transactions

Experts discovered a new Bluetooth overlay skimmer that interferes with the ability of the terminal to read chip-based cards, forcing the use of the stripe.

The popular investigator Brian Krebs reported the discovery of a new Bluetooth overlay skimmer that interfered with the terminal’s ability to read chip-based cards, forcing the use of the magnetic stripe. The device was found in an unnamed retail chain in the United States.

The payment card skimmer included a PIN pad overlay and was able to physically block chip-based transactions.

The PIN pad overlay was designed to capture, store and transmit via Bluetooth payment card data stolen on the stripe along with the PIN provided by the clients on the terminal.

“The hidden magnetic stripe reader is in the bottom left, just below the Bluetooth circuit board. A PIN pad overlay (center) intercepts any PINs entered by customers; the cell phone battery (right) powers all of the components.” wrote Brian Krebs on Krebsonsecurity.com.

Source Krebsonsecurity.com

Chip-based payment cards are more difficult to clone, for this reason, crooks forced the use of the magnetic stripe present on the card for backward compatibility. The recently discovered overlay skimmer included a physical component that blocks chip-based transactions on the terminal, forcing the customer to swipe the stripe.

Source Krebsonsecurity.com

Krebs explained that the overlay skimmer was undetected for several weeks.

Krebs pointed out that once obtained the payment card data and the PIN, cybercriminals can clone the card and use them to withdraw money at an ATM.

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Pierluigi Paganini

(SecurityAffairs – hacking, Skimmer)

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Pierluigi Paganini

Pierluigi Paganini is member of the ENISA (European Union Agency for Network and Information Security) Threat Landscape Stakeholder Group and Cyber G7 Group, he is also a Security Evangelist, Security Analyst and Freelance Writer. Editor-in-Chief at "Cyber Defense Magazine", Pierluigi is a cyber security expert with over 20 years experience in the field, he is Certified Ethical Hacker at EC Council in London. The passion for writing and a strong belief that security is founded on sharing and awareness led Pierluigi to find the security blog "Security Affairs" recently named a Top National Security Resource for US. Pierluigi is a member of the "The Hacker News" team and he is a writer for some major publications in the field such as Cyber War Zone, ICTTF, Infosec Island, Infosec Institute, The Hacker News Magazine and for many other Security magazines. Author of the Books "The Deep Dark Web" and “Digital Virtual Currency and Bitcoin”.