What to know
- Victims are approached by someone claiming a driver cannot accept cash and asking them to pay with their debit card in exchange for cash.
- A modified payment terminal records the victim’s PIN before suspects secretly swap the card for a similar-looking one.
- Once scammers have the victim’s real card and PIN, they make unauthorized purchases and withdraw money from the account.
- Police say to never pay for a stranger using your own bank card, always verify the card returned to you and shield your PIN when making payments.
Toronto police are warning residents and visitors about an ongoing scam targeting people using taxis and food delivery services across the city.
How the scam works
According to a news release posted Friday by the Toronto police, the scam begins when a woman tells a customer that a taxi or food delivery driver cannot accept cash and only takes debit.
She then offers to exchange cash if the victim pays the balance with their debit card.
Police say the driver then claims the tap function is unavailable and asks the victim to insert their card into a modified payment terminal. After they enter their PIN, the device records the card information before returning a different bank card that closely resembles the original.
With the victim’s debit card and PIN, suspects can then make fraudulent purchases or withdraw money from the victim’s account.
Why this scam works
Police say the scam relies on catching people off guard by creating what appears to be a routine transaction. Because victims willingly insert their own debit card and enter their PIN, many don’t realize anything is wrong until they later discover unauthorized purchases or cash withdrawals from their accounts.
How to protect yourself
- Never use your debit or credit card to pay for a stranger’s purchase.
- Always shield your PIN.
- If the machine displays an error, remove your card before handing the terminal back.
- Check the card returned to you matches your own before leaving.
- If you believe your card has been swapped, contact your bank immediately and report the incident to police.
Toronto police are reminding residents to never use their personal debit or credit card to pay for a stranger’s purchase in exchange for cash.
“Be aware of the driver’s identification that is displayed to the customer in clear view in the rear of the cab,” the police said.
“If there is an error code, or the debit machine is not functioning, always REMOVE your debit card before returning the machine for assistance.”
They also advise people to keep their bank card in sight during transactions, remove it immediately if there is an error with the payment terminal, check that they receive the correct card back and cover the keypad when entering their PIN.
Anyone with information is asked to contact Toronto police at 416-808-5200 or Crime Stoppers anonymously at 416-222-TIPS (8477).
Debit card swapping scams have surfaced in several Canadian cities over the past few years, often targeting people in busy public places where they are more likely to let their guard down. Toronto police are urging anyone who believes they’ve been targeted to contact their financial institution immediately to freeze their accounts before reporting the incident to investigators.
