Hacks are turning Square card readers into card stealing machines!

Hacks are turning Square card readers into card stealing machines!

The Square Reader is a credit card payment-related device that converts devices into mobile payment stations, wherein you can swipe a credit card on the device and let it charge you the way you would have got charge from a regular credit card machine. Unfortunately, in spite of its convenience, that may be about to change.

As helpful as a Square reader may be for purchases at trendy stores, you’ll want to watch out — in the right circumstances, they can also be used to steal your credit card info. Security researchers have discovered that you can physically disable the encryption the device uses to protect your financial info, turning the Reader into a tiny, portable card skimmer. There is also a way to record the signal created by your card when you swipe its magnetic stripe on an unmodified Reader, which theoretically lets evildoers charge your card without approval.

Square is quick to note that an altered Reader won’t work with the official app, and that it’s not possible to handle a stored swipe “more than once.” However, this assumes that you’re paying attention to the apps in use when you’re buying goods. An enterprising criminal could develop unofficial software that looks legit, but hides skimming code underneath. While it’s not very likely that you’ll run into one of these tweaked scanners in the wild, it’s worth keeping an eye on your credit card statement if that sketchy shop clerk breaks out a Reader to complete a sale. In short, it is advisable to keep an eye on the app that you use to carry out the transactions when you shop in more established locations. Also, do not hand over your card, if the app looks like a piece of third-party software.

The disadvantage of the Square’s servers are that they do not validate the device’s transaction count, which means that the card details can be recorded and used at a later time without the company knowing that something is amiss.

Protect your business and your customers, Use Flint. Sign up to day at www.207payments.com. Not only do you have the peace of mind of not worry about a card reader, you also get lower rates than Square.

If you have any question about credit card merchant services or want to signup please feel free to Contact Us Or Call us at 207-200-7186.

Comments Are Closed