"No Cash, No Gas." Frozen Debit Cards Leave Marietta Workers Stranded

MARIETTA, Georgia, June 5 - Quick thinking and a small stash of emergency cash saved a Marietta mother and her two babies from being stranded at a local gas station. Several other people, however, were not so lucky. "Don't trust the banks; carry cash."

Amy Barnes, this reporter, is the mother of two, recounting the latest consequences stemming from the Heartland hack. "It's very scary if you have money in the bank but you can't get it out or use it. This can happen to anyone at any time, anywhere." It was later determined that the station's payment system was temporarily down, and other customers raised the theory that the system was being "updated" as a result of the Heartland hack.

Several co-workers and a supervisor, unnamed, confirmed that local debit cards have been frozen. It was revealed later in the day that a few other people had been stranded at gas stations - until they could finally get some cash. So what happened?

Banks across the nation have quietly frozen credit and debit cards and re-issued new cards as a part of security measures being taken against what is being called "possibly the largest breach ever" by Brian Krebs, the Security Fix columnist for the Washington Post.

Heartland Payment Systems released a website, 2008breach.com, as an answer to inquiries stemming from last year's data heist. Banks are starting to develop web pages dedicated to identity theft. Identity theft is running rampant, prompting questions from worried customers.

Here are a few ways that consumers can avoid being victimized:
1. Be prepared - have cash on hand to prevent mishaps resulting from frozen cards.
2. Use temporary card numbers - some payment processors and banks offer free or low-cost "disposable card numbers" for use on-line. Ask your financial institution if they offer this solution.
3. Call your bank - find out for sure whether or not your card is affected, and find out how you will be notified in the event that card information is stolen.

Business owners can also protect the business and its customers. Here are a few tips:
1. Inspect ATM stations for suspicious additions to the card reader.
2. Use Check 21 devices - convert checks used in lieu of cards to receive immediate payment from the account.
3. Be alert - watch out for thieves who sit outside with a laptop and harvest data via remote wireless devices.
4. Call the police if you notice any suspicious activity.

One last tip: The Federal Trade Commission has several great tips for the general public at the FTC web page for avoiding charge card fraud: http://www.ftc.gov/bcp/edu/pubs/consumer/credit/cre07.shtm

Sources:

Personal Experience
Heartland Payment Systems, http://www.2008breach.com
Krebs, B. "Breech may be the Biggest Ever..." http://www.localbizblogs.com/ppl/2009/01/20/breech-may-be-the-biggest-ever
PEFCU.com, "VISA fraud, Security Alert" http://www.pefcu.com/security/visa_fraud_alert.html