Oregon Faces Surge in EBT Card Skimming and SNAP Fraud

About 700,000 Oregon residents receive SNAP benefits to buy food with government-issued EBT cards. In October, the USDA warned about SNAP fraud using “card skimming”, KGW8 reports on February 2, 2023.

The Oregon DHS Fraud Investigation Unit received about 55 complaints of EBT card skimming last year, but the actual number is likely much higher. The agency plans to closely monitor EBT card skimming going forward.

SNAP fraud in Oregon may amount to $40 million per month, and the problem is expected to get worse, according to Haywood Talcove, a security expert. Talcove also noted chatter on the dark web where criminals bragged about SNAP fraud.

Criminals are targeting the US government’s EBT cards, used by over 42 million Americans to buy food, by installing skimming devices on ATM readers.

Congress has passed legislation allowing SNAP recipients to be reimbursed for stolen benefits, but the changes have not been implemented by most states. The US Department of Agriculture has been asked to provide guidance on additional fraud protection.

The USDA has said that it takes the issue of SNAP fraud seriously and will fight against it. SNAP fraud is becoming an increasing concern, with families falling victim to card skimming and hackers.

Although changes have been called for by advocacy groups, upgrading EBT cards and changing vendors could be complicated.

The Massachusetts Law Reform Institute has filed a class-action lawsuit on behalf of EBT recipients who have lost benefits. Until changes are made, victims have no option but to lose their food stamps, which could be stolen again.