ATM skimming steals card credentials; jackpotting makes an ATM release cash. Skimming puts a customer’s card data and potentially their account at risk, while jackpotting targets the machine’s software, hardware or cash dispenser. The word “skimming” can also describe software that steals credentials from an ATM, so it helps to distinguish the method from the outcome.
How skimming and jackpotting differ
| Comparison | ATM skimming | ATM jackpotting |
|---|---|---|
| Primary target | Payment-card data and often the cardholder’s PIN. | The ATM’s software, hardware or control of its cash dispenser. |
| Immediate result | Stolen credentials may be copied to fraudulent cards or used for unauthorized transactions and withdrawals. | The ATM dispenses cash from its own supply outside an ordinary authorized withdrawal. |
| Who is directly exposed | Cardholders, whose data or accounts may be misused. | The ATM operator, whose cash and machine operations are at risk. |
| Documented methods | False or inserted card readers, hidden cameras and false keypads; some technical classifications also include software that intercepts card and PIN data. | Malware controlling an ATM computer, direct interaction with ATM hardware, or a related black-box method using an attacker-controlled computer to communicate with the dispenser. |
The FBI describes physical skimming devices placed in or over a card reader, sometimes paired with a camera or keypad overlay to capture a PIN. Europol’s 2015 Internet Organised Crime Threat Assessment distinguishes credential-stealing software skimming from jackpotting. It defines jackpotting as malware taking control of an ATM PC to direct the cash dispenser to release money.
What happens in each attack
Skimming captures credentials
A physical skimmer reads card information when a customer inserts or swipes a card. A hidden camera or false keypad may capture the PIN as well. Criminals can then use the stolen information to make fraudulent cards or attempt unauthorized withdrawals. The FBI’s ATM skimming explainer describes the basic mechanism; its 2011 publication supports this general description, not a claim that every current device works identically.
“Skimming” is sometimes used more broadly than the familiar add-on device. Europol also uses software skimming for malware that intercepts card and PIN data at an ATM. In both uses, the target is credentials rather than the ATM’s cash supply.
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Jackpotting makes the machine dispense cash
In jackpotting, an attacker manipulates the ATM or its cash-dispensing process so the machine releases money without a normal customer withdrawal. Europol describes malware that takes control of an ATM computer; the FDIC Office of Inspector General reports current cases involving physical access and malware that interacts directly with ATM hardware.
A related method called black boxing uses an attacker-controlled computer to communicate with the cash dispenser. It is distinct from credential theft: the immediate objective is to make the ATM pay out its stored cash.
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How the risks and defenses differ
If you use an ATM
- Check the card reader and keypad for unusual attachments, loose parts or signs of tampering. If something looks wrong, do not use the machine.
- Cover the keypad while entering your PIN, even if you do not see anyone nearby.
- Monitor your account activity and contact your card issuer promptly about suspicious transactions.
- If an ATM retains your card, contact the card issuer immediately.
- Consider tap-to-pay where available as a way to reduce exposure to card-reader skimming. It is not a defense against jackpotting.
If you suspect tampering, stop using the ATM and contact the card issuer or operator. Consumer precautions can reduce the risk of credential theft, but jackpotting is principally an ATM-operator security problem.
If you operate or secure ATMs
Controls need to match the ATM’s configuration and current vendor guidance. The FDIC OIG alert on ATM jackpotting and Europol’s mitigation guidance identify measures including:
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- Use unique access keys for individual machines, replace standard locks, and restrict physical access.
- Install security gates, alarms and tamper-resistant hardware; secure hard drives with tamper-resistant screws.
- Encrypt ATM software and harden the operating system. Europol also advises BIOS security and disabling boot from external drives.
- Use surveillance such as CCTV; the FDIC OIG also lists license readers.
- If jackpotting is suspected, contact law enforcement and preserve relevant surveillance footage.
What the recent U.S. jackpotting figures do—and do not—show
U.S. government sources reported significant jackpotting activity, but the figures are not a skimming comparison:
- The FDIC OIG reported the FBI’s estimate of 700 jackpotting incidents and losses exceeding $20 million in the United States during 2025.
- A January 26, 2026 DOJ release attributed 1,900 reported jackpotting incidents since 2020 to an FBI report, and said 2025 alone involved more than 700 incidents and more than $20 million in losses.
These are U.S. jackpotting figures, not global totals or estimates of skimming. The official material cited here does not provide a current loss comparison for skimming and jackpotting covering the same period and geography. Europol reported more than 50,000 compromised cards recovered, worth over EUR 30 million, in the context of 2014 Project Sandpiper enforcement activity; that historical figure is not a current estimate and is not a measure of ATM skimming alone.
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