The fbi, cook county state attorneys office and chicago pd collaborated on a threeyear investigation into the cracking cards scheme. What you need to know about card cracking rippleshot. Federal prosecutors have charged more than two dozen people who allegedly used rap music videos and social media to help convince people with debit cards to sell their pins and passwords as part. Scammers who commit debit card fraud will often contact students via facebook, twitter, instagram, or other social media platforms and request to use a students debit card to deposit a check into the students account. The scammers deposit counterfeit checks into the account, and then use the checking account information or debit card to withdraw the funds before the bank can tell that the check is fraudulent. Sometimes, the scammers ask the consumers to report the debit card as stolen, so they receive reg e protection while the fraudulent funds are withdrawn. In those transactions, he used cards belonging to 49 different cardholders. Yeah, ive lived in chicago a loooong time and have never seen most of these in other countries yes, or read about them. We also found out that the phone number is linked to the mentioned psychatric hospital in chicago. Card cracking was a pretty widespread problem in the chicago area, where last fall, 29 people were arrested in illinois and indiana in a scheme the. How to spot, avoid and report fake check scams ftc. Each year, people fall victim to a scam known as cracking cards.
These people are enlisted to commit fraud against their bank. Scammers are using social media sites like instagram, snapchat or facebook to run ads or directly private message military members to. Attorneys office says suspects deposit bogus checks and. Chicago street gangs, rap videos and guys who are skilled at making paper are all on the front edge of a scam thats already cost banks. Authorities believe this scam started in the south side of chicago and has been on the rise throughout the united states. Chicago six suburban men have been indicted on fraud charges for their alleged roles in a card cracking scheme that targeted members. Identifying and avoiding phishing scams bbb chicago. One investigator said more than 1,000 young people have reported being victims of the cracking cards scam in chicago. If anyone offers to pay you to use your debit card and bank account, just say no. Never use a debit or credit card to purchase crypto currencies.
Scammers might promise your bank will reimburse you for the charges, but that may not happen. So when the scam is over, the feelings of vulnerability and distress may remain. New card cracking scam gets students debit card numbers and pins. Cardcracking, also called cardpopping, is one of the fastest growing forms of card fraud that no ones heard of, and its hitting credit unions.
Cardcracking scammers with large followings on snapchat and other platforms are luring people into their schemes by showing off designer. The card has a tollfree access number that you dial when you want to make a call. A few rappers and rap groups have bragged about scamming in rhymes, with some being completely devoted to hitting licks of this nature. All were arrested and face various federal charges of bank fraud, among other charges. Dj akademiks speaks on chicago rapper bandman kevo being arrested among 28 others in a bank fraud scheme called cracking cards. You see a post on a social media site announcing a contest.
To avoid becoming involved in card cracking scams, please be mindful of the following tips. Card cracking is a type of financial fraud where a fraudster promises money to entice people into sharing their debit card, pin, and online banking info. She was abandoned in chicago and left without her debit. Internet dating scammers sentenced in federal court. Card cracking takes on many forms, but the most common is college students allowing a fraudster to have their debit card number and login information in exchange for some payment, and then deposit bad checks or run up. Twentynine charged in chicago with cracking cards bank fraud.
Whether referred to as card popping, cash out, card flipping, or cracking, the hustle is the same and on the rise. Card cracking scams are cranking up on social media. Either a gift card or another credit card they have, seremetis explained. Scammers then monitored the bogus accounts credit reports. Other times they pretend to offer scholarships or student loan forgiveness in an attempt to get you to share your personal banking information. You buy the card and use it with any phone to make longdistance calls. Chicago street gangs, rap videos and guys who are skilled at making paper are all on the front edge of a scam thats already cost banks millions of dollars. Scammers often use your emotions against you to get you to fall for a scam. If youre here looking for cc numbers to commit scams, youre in the wrong place. Members of the ring then would run up the bills on the bogus cards. Whats really going on is fraud and account holders who cooperate with card crackers have stepped in the middle of it.
Credit card fraud boss threatened rival would be cut into piecesthe alleged chicago boss of an international credit card fraud racket has. We are listing them here in an effort to educate you about these activities. Six defendants charged in card cracking scheme that targeted. How to spot the cracking cards scam alliant credit union. Sometimes the scammer may present the card cracking operation as a legitimate business opportunity. Do not respond to online solicitations for easy money. Chicago wls federal prosecutors have charged 29 people in a fraud scheme known as card cracking. New york rapper is the latest to be charged for card cracking scheme. Im so sorry about those type of fraudsters on the banking level. Six defendants charged in card cracking scheme that. But as part of that deal, the con artists convinced her to drive with them to chicago and give up her atm card. I received a many emails about gifts, donations or. Card cracking advertisements will suggest that this is a quick, safe way to earn extra cash. Lawenforcement from several agencies rounded up 19 people in chicago connected to their lengthy investigation of a growing scam cracking cards.
The schemes often involve numerous participants, including some individuals affiliated with chicago street gangs, the charges allege. Also, tell the store where you bought the gift card as soon as possible. Usually, con artists target their victims using social media, and through elaborate ploys, convince them to share. Or maybe a webpage that claims to have a celebrity affiliation is offering a gift card giveaway.
The variations are endless, but heres the tipoff that fraud is afoot. Federal agents arrest 20 in international irs scam with ties to india we need to pay attention, said christine, who lost money from the scam. Those are mostly foreign transactions in my opinion. The scammer asks you for your checking account information or debit card and pin.
Called cracking cards, it entices gullible students by offering them a lump sum of cash in exchange for the use of their debit card to cash a check. Cracking cards schemes have become a popular method of obtaining illicit funds in chicago and surrounding areas. The majority of the defendants are from the south side of chicago and others from nearby border communities in indiana and downstate illinois. Those other hustles do happen im sure but its not an epidemic in chicago. Credit card scam crew went on extravagant shopping sprees. Chicago suburb man, cameron york, sentenced to 8 yrs in prison for using thousands of. I can see the appeal all you do is give someone access. Now, these scammers are using social media to target victims especially college students and new grads who are strapped for cash. Like other fake check frauds, this fraud takes advantage of the fact that money is credited to accounts and. Involvement in a scam like card cracking threatens their financial.
Card cracking has been a prevalent means of scamming, with many swiping their way to new luxury items and other amenities. Social media users who see these posts promising quick, fast money should know that they are scams. One such group is the pop out boyz, of new york city, who have various songs and videos. Twentynine people in the chicago area have received federal and state indictments for their alleged involvement in a bank fraud scheme that. Card cracking a related form of counterfeit check fraud is known as card cracking. Others will warn that you will need a new medicare card. The federal communications commission voted thursday to approve a proposed rule that would make it easier for phone companies to crack down on robocalls. Card cracking scams are on the rise, and they have very serious repercussions. Man gets five years in prison for cracking cards bank. Some scammers may offer help navigating the new health insurance marketplace under obamacare, for a fee. If the card you used is not on this list, you might find the gift card companys contact information on the card itself, or you might need to do some research online. The following fraud and scams are not from walmart. In chicago, 29 defendants have been hit with a mix of federal bank fraud and conspiracy charges for their role in card cracking schemes that.
Scammers use social media outlets such as facebook, instagram and youtube to find potential victims. Chicago police arrest rapper and 28 others for cracking cards. He received a lenient fiveyear sentence for his cooperation with authorities. Stephen hart, ceo at cardswitcher says, card cracking scammers target people who are most in need of extra cash the unemployed, underemployed, students, and so on. Cracking cards is a scam which involves depositing a stolencounterfeit check into someones bank account and then using their debit card to withdraw the money before the bank realizes whats going on. Credit card scammers targeting retailers, selfcheckout lines. Cardcracking scam the new york state department of states division of consumer protection is alerting consumers to a checkdepositing scam that is resulting in depleted bank accounts. This is what scammers are buying with your credit card. So it is important to stay informed and always err on the side of caution when it comes to your. Especially card cracking sometimes known as card popping, which lures victims in using social media with the promise of making fast cash.
How card cracking works like most scams, its important to remember that scammers use multiple methods to trick their victims. They may pose as employees of your financial institution. Chicago police arrest rapper and 28 others for cracking. The scams tend to target young adults in particular, such as newly enlisted military personnel, students and single parents. Scammers are in the market for diamond necklaces, fitbits and apple products, but they arent necessarily interested in. If you feel that you have been defrauded, you may want to contact the federal trade commission ftc at. Division of consumer protection new york department of state.
Scammers crack into debit card accounts and leave card owners on the hook for hundreds or even thousands of dollars. Twentynine people in the chicago area face state or federal charges for involvement with a bank fraud scheme known as cracking cards. New card cracking scam gets students debit card numbers. The flower vendors, which are rare these days, are legit as far as i have seen. Card cracking 101 everything you need to know about this. You then enter a personal identification number pin that activates the cards account in the. Cardcracking scammers with large followings on snapchat and other platforms are luring people into their schemes by showing off designer merchandise, luxury cars and stacks of cash, vance jr. Keep in mind that easy money is rarely legal money. Useful for retailers looking for valid cc patterns for testing carts and such.
A crook named rambo headed up a widespread creditcard scam that netted enough cash to pay for goodies such as a maserati, the. After credit card charges went unpaid, some fraudulent identities even sought to have their good credit restored by claiming that they were victims of identity theft, the federal complaint said. The scam is called card cracking and it may start off innocently enough. I have the instagram account just pm me if you want it to investigate more. This is what scammers are buying with your credit card cnbc. Here is a list of gift cards that scammers often use with information to help report a scam. College students are being targeted through email or social media by scam artists looking to utilize victims debit cards in order to cash phony checks. Authorities crack down on cracking cards, charging 19. Chicago six suburban men have been indicted on fraud charges for their alleged roles in a card cracking scheme that targeted members of the u.