As cases of EBT “card skimming” or “cloning” continue to be reported across the country, Congress passed a law in December that will ensure participants who are victims of card skimming or cloning have their benefits replaced. 
Congress Takes Action to Help Victims of Card Skimming
As cases of EBT “card skimming” or “cloning” continue to be reported across the country, Congress passed a law in December that will ensure participants who are victims of card skimming or cloning have their benefits replaced.
Card skimming can happen to anyone who uses a magnetic stripe to make a purchase with their credit, debit, or EBT card, including SNAP participants.
To accomplish the crime, thieves place an illegal device on an ATM or a retailer’s card-swiping machine to copy EBT card information. Criminals then use the information to make fake EBT cards and steal benefits from victims’ accounts.
“While card skimming can impact anyone who uses a credit, debit or EBT card, they may hit SNAP households—who rely on their monthly benefits to buy food for themselves and their families—the hardest,” says FNS Administrator Cindy Long. “What these thieves are doing is deplorable, and FNS will not tolerate it in our programs. We are working with our state and federal partners to protect your SNAP benefits.”
The new law requires states to replace skimmed benefits stolen between October 1, 2022, and September 30, 2024. States can use federal funds following procedures that are laid out in an approved state plan. FNS is currently working toward implementation of the law, including state plan requirements. State agencies must submit a state plan by February 23, 2023.
FNS will issue an interim final regulation addressing stolen benefit procedures by December 2023.
“People who participate in SNAP rely on their monthly benefits to buy food for themselves and their families,” Long said. “Losing SNAP benefits is devastating for the victims. We are working with our state and federal partners as well retailers, EBT processors, and other industry experts to protect SNAP benefits.”
FNS and the Administration for Children and Families (ACF) at the Department of Health and Human Services are collaborating on fraud prevention strategies to protect SNAP and Temporary Assistance for Needy Families program (TANF) participants. Some states load SNAP and TANF benefits onto the same EBT card. When card information is stolen, people may lose benefits from both programs.
In October, FNS and ACF issued guidance strongly encouraging states to be proactive and take actions now to help prevent card skimming and other fraud. USDA also posts SNAP Scam Alerts online and recently shared guidance for retailers.
FNS has worked with retailer associations and other stakeholders on guidance and training for stores that accept SNAP benefits – such as grocery stores, convenience stores, and corner markets – so they know how they can help detect and prevent card skimming.
In December 2022, FNS issued an alert to retailers with reminders on how to protect customers from card skimming.
Several joint state and federal task force cases have been formed to address this issue.
SNAP participants should contact their local SNAP office to report fraud and learn more about protecting their benefits.