Local victims discover fraudulent charges from big box stores
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IDAHO FALLS — A series of recent fraud transactions at Walmart and other big box stores around the Mountain West have put many in an awkward financial bind.
East Idaho Credit Union reports at least 200 individuals have experienced fraudulent transactions worth at least $30,000 in total. Officials said thieves test accounts by making a small debit purchase followed up by a larger one to see how much they can get away with.
Alan Radford of Idaho Falls discovered he was a victim of debit card fraud recently while he was checking his bank statement online.
“There was a $50 transaction made to Walmart and I don’t know what that was for,” Radford said.
He said the charge was made in Texas on a night he was home in Idaho.
“We don’t know how they got it, whether they got it through Walmart, or whether they breached our Visa card,” Radford said.
His wife, Carol Radford found she was also a victim of debit card fraud when she saw transactions being made 2,000 miles away. Her bank sent her a notification around the same time.
“When they texted me and said, ‘Did you use your card in this town in New York for $2.74, yes or no?’ and I said no, and they immediately sent me a text, (saying) ‘Your card has been shut down,'” Carol Radford said.
According to CSO, an online, security company thousands of others in Idaho and across the nation have recently reported debit card fraud at Walmart.
But Walmart representatives say they haven’t noticed an uptick in fraud. Walmart spokeswoman Betsy Harden said they respect customers’ right to financial confidentiality.
“We take the security and privacy of our customers’ information very seriously,” Harden said. “We are not aware of any issues with our payment systems, and we continue to monitor closely.”
Many East Idaho Credit Union customers have been victims of this apparent mass credit card breach. The Radfords are members of this bank. Although many customers were affected, bank officials maintain it is not to blame.
“Most of these frauds occurred in Walmarts in Texas and Walmart is obviously a very common retailer, that’s what’s made this particular breach and fraud difficult,” East Idaho Credit Union eCommerce Director Matthew Rice said.
Idaho Department of Finance Director, Gavin Gee said East Idaho Credit Union is one of at least 30 financial institutions experiencing similar fraudulent cases.
“The breach was not by East Idaho (Credit Union). There are at least 30 other financial institutions with credit cards, and probably more,” Gee said, “We’re still learning more about this breach and we still don’t know exactly where the breach occurred, but it most likely occurred at a merchant.”
Officials at East Idaho Credit Union are reminding customers that their personal information is safe at the bank, but they can’t vouch for the retailers.
“Really debit and credit cards are the safest channel of payments right now. We put the money back in your account, where if you use cash or checks, fraud liability is on the side of (the) members,” Rice said, “East Idaho (Credit Union) backs you up.”
With the holidays around the corner, banks encourage customers to monitor account activity and report anything suspicious.
The Radfords said they’ve gotten a refund and they’re going to keep a closer eye on their statements.
“I’m sure we’ll use our debit cards again but, I’ll always have that doubt in my mind — is this the time it’s gonna get compromised?” Carol Radford said.