# EBT card skimming fraud and mitigation

> Live situation record from CLSTR: https://clstr.news/situations/ebt-card-skimming-fraud-and-mitigation
> Updated: 2026-08-25T03:06:43.000Z. Sources: 6. Developments: 2.

The U.S. Secret Service has launched investigations into a nationwide skimming scam targeting Electronic Benefit Transfer (EBT) cards. Agents have identified sophisticated devices, some featuring fake security holograms, that can be installed in seconds to remotely transmit stolen account information and PINs via wireless transmitters. The Secret Service estimates a single skimmer can generate up to $1 million in stolen funds, with 32 active federal investigations currently spanning 15 states.

In response to rising fraud, New Jersey has begun rolling out encrypted chip-enabled EBT cards to protect food assistance benefits like SNAP. This initiative follows reports that recipients lost $355,000 to skimmers in 2022. Because federal law prevents the replacement of stolen benefits, the state is implementing a pilot program in Cumberland, Essex, and Mercer counties before a statewide expansion.

## Timeline

### 2026-08-25: New Jersey rolls out chip-enabled EBT cards to combat fraud

New Jersey is rolling out encrypted chip-enabled EBT cards to prevent fraud and card skimming from stealing food assistance benefits.

4 sources. https://clstr.news/cluster/new-jersey-rolls-out-chip-enabled-ebt-cards-to-combat-fraud

### 2026-08-24: U.S. Secret Service investigates nationwide EBT card skimming scams

The U.S. Secret Service is investigating sophisticated card skimming scams targeting EBT benefits across 15 states, with single devices capable of generating $1 million in stolen funds.

2 sources. https://clstr.news/cluster/us-secret-service-investigates-nationwide-ebt-card-skimming-scams

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Cite as: EBT card skimming fraud and mitigation. CLSTR, https://clstr.news/situations/ebt-card-skimming-fraud-and-mitigation