California EBT Fraud Costs Millions of Dollars, Low-Income Residents and Taxpayers Affected

EBT theft is a growing financial crime in California that harms both taxpayers and low-income families.

Electronic Benefits Transfer is referred to as EBT. Low-income Californians participating in CalFresh and/or CalWORKs receive their monthly stipend in this manner.

According to data received by ABC10 on Tuesday from the California Department of Social Services, fraudsters are increasingly finding ways to steal from people’s accounts.

One approach is by skimming. It occurs when someone swiftly inserts a tool into an already-installed card-reader that grabs data from the magnetic strip. To record PIN numbers, some fraudsters would install very small cameras on ATMs.

Others will employ phishing, sending out phony links that seem legitimate in the hopes that someone will click on them and be duped into disclosing their personal information.

The state advises users of EBT cards to update their PIN often, especially just before they anticipate receiving benefits. Theresa Mier, a spokesman for the California Department of Social Services (CDSS), advises people to cover their hands when entering their PINs into card readers.

Call EBT customer care as soon as possible at (877) 328-9677 to report the card as stolen and ask for a replacement EBT card, advised Mier, if the cardholder feels they are the victim of theft.

In What Way are We All Going to Pay for This?

california-ebt-fraud-costs-millions-of-dollars-low-income-residents-and-taxpayers-affected — EBT theft is a growing financial crime in California that harms both taxpayers and low-income families.

If a person’s CalFresh or CalWORKs benefits were taken using an electronic method of theft, such as skimming, the state mandates that each county reimburse the victim.

County officials have to replace electronically stolen benefits eligible for repayment within 10 business days, according to CDSS guidance.

The process may take longer depending on the particulars of each claim, in which instance the client should be informed by the county, Mier told ABC10.

In order to support counties in processing reimbursements as quickly as possible, CDSS collaborates closely with them and offers technical support.

Source: abc10