Iowa Governor Signs Anti-Skimming Law

The new regulation aims to combat skimming devices at fuel pumps.

April 13, 2018

DES MOINES, Iowa – It’s now a felony offense to obtain data encoded on a credit or debit card without permission, making it easier to prosecute those who install skimmers at gas pumps and ATMs, Land Line reports. This week, Gov. Kim Reynolds signed the law. Violators could face up to five years in prison and a $750 to $7,500 fine.

State Rep. Zach Nunn said skimmers are “a crime wave that is systemically sweeping across the country. … In the last two years in Iowa, there has been a fivefold increase in the amount of skimmers being placed at gas pumps, convenience stores and ATMs,” Nunn said during discussion on the House floor about the bill. “HF2199 makes changes to our code to ensure the persons using skimming devices to steal credit and debit card information face a penalty.”

The law also expands “third-degree criminal mischief to include instances when a person intentionally damages, defaces, alters, or destroys property used for payment card processing,” Land Line reports.

NACS estimates that with 39 million Americans filling up daily, and 29 million of those paying with a debit or credit card, one skimming device attached to a single pump could steal data from upwards of 100 cards daily. FICO found that from January at June 2017, the number of compromised ATMs and fuel pumps shot up more than 20% compared to a year earlier.

To reduce the likelihood of skimming, NACS and Conexxus developed the WeCare Data Security Program, which provides simple guidelines and best practices designed to reduce the risk of card breaches at convenience store operations. WeCare Decals available through the WeCare Program are tamper-evident labels that help retailers identify potential security breaches when a device is opened by an unauthorized person and skimming devices are inserted at fuel dispensers or other unattended PIN-entry devices.

See how NACS can help protect your business against skimming at