What does Card Skimming involve?

Card skimming involves the illicit process of reading and copying the information stored on a card's magnetic stripe, which can then be used for fraudulent activities. This typically occurs through the use of a small, discreet device known as a skimmer that is often placed on card reading machines such as ATMs or point-of-sale terminals. When a card is swiped, the skimmer captures the information, including the card number, cardholder's name, and expiration date, allowing criminals to create counterfeit cards or make unauthorized purchases.

The essence of card skimming is its connection to fraud and identity theft, as the skimmer captures sensitive data without the cardholder's knowledge. Understanding the mechanics of skimming is crucial for both consumers and payment professionals, helping them implement security measures that can prevent such attacks.

The other options either describe legitimate activities or misconceptions about card security measures, without aligning with the fraudulent nature of card skimming.