From Card Trapping to QR Code Scams: ATM Frauds to Watch Out for in 2026

In today's world, where digitalisation and advancing technology have made it easier than ever to move money between accounts with just a tap, convenience has come at a cost. While banking has become simpler, it has also opened new opportunities for fraudsters. Many people still believe that ATM fraud mainly involves stolen cards or forgotten PINs, but today's criminals use much more advanced techniques to target unsuspecting users. For senior citizens and new digital banking users, understanding these scams is more important than ever. A little bit of caution can prevent years of hard-earned savings from being lost. Here are the most common ATM frauds that all bank customers should be aware of in 2026.

1. ATM Skimming

Skimming is one of the most widespread ATM frauds around the world. In this scam, criminals install a fake card reader over the ATM's real card slot. When a customer inserts their card, the device secretly collects the card details. In some cases, hidden cameras or fake keypads are also used to record the PIN. Once the fraudsters have this information, they can create duplicate cards and withdraw money from the victim's account. Experts recommend inspecting the card slot for any loose or unusual parts before using an ATM.

2. Card Trapping Fraud

Have you ever heard someone say, "The ATM swallowed my card?" It might not always be a machine error. In card trapping fraud, criminals place a device inside the ATM slot that stops the card from coming back out. The customer assumes the machine is not working and leaves.Later, the fraudster retrieves the trapped card and uses it or steals the victim's money.

If your card gets stuck, report the issue to your bank immediately and always keep a transaction slip.

3. Cash Trapping Scam

This type of fraud targets people who are withdrawing cash. Criminals place a thin device over the cash dispenser slot. The ATM processes the transaction normally, but the money gets trapped inside the device instead of being given to the customer. Believing the machine has failed, many users walk away. Once the area is empty, the fraudster removes the trap and takes the cash. If the cash does not appear after a withdrawal, report the issue to your bank immediately and keep the transaction slip for easy reference.

4. Shoulder Surfing

Not all ATM frauds involve high-tech methods. Sometimes, criminals simply observe. In shoulder surfing, fraudsters stand nearby and watch customers enter their PIN. They may pretend to be helpful strangers or stand behind in a queue.In some cases, they later steal or swap the victim's card and use the observed PIN to access funds. Always cover the keypad with your hand while entering your PIN and never accept help from strangers at an ATM.

5. Contactless and QR-Based ATM Scams

As cardless withdrawals and QR- based transactions become more common, fraudsters are finding new ways to exploit this trend. Fake QR codes placed near ATMs can redirect users to fraudulent websites designed to steal banking credentials. Similarly, scammers may pose as bank representatives and trick customers into scanning malicious codes. Before scanning any QR code, ensure it is displayed on the ATM screen or comes directly from your bank's official app.

How to Stay Safe

The best defence against ATM fraud is awareness. Use ATMs located inside bank branches whenever possible, inspect machines before using them, cover your PIN, enable SMS transaction alerts, and regularly check your bank account. While technology has made banking faster and more convenient, it has also made scams more sophisticated.

Staying informed about these frauds can help protect your money and ensure that your next ATM visit remains safe and stress-free.