‘I am not the only victim’: Nearly $21,000,000 in SNAP benefits has been stolen from Illinois families using EBT cards. How the fraud works and what to do if it happens to you

How does the fraud happen?

Much of the fraud stems from skimming, a tactic where scammers use hidden devices to copy EBT card data during a transaction.

“Skimming is a big part of the SNAP EBT fraud,” James Morley of the U.S. Secret Service Chicago Field Office told CBS News. "You could have criminals in another state or another country that are getting that data real-time as it's being captured."

These skimming devices, often installed on payment terminals at stores, can transmit card data via Bluetooth to criminals in real-time — sometimes in other states or even countries.

The core issue is that most EBT cards still use magnetic stripes, not the chip-enabled security found in modern debit and credit cards. That leaves them vulnerable to data theft with a single swipe.

"What I don't understand, though, is how in the world when the entire world switched to chip-enabled cards over a decade ago, why the food stamp program didn't do the same thing," said Haywood Talcove, CEO of Government Business for LexisNexis Risk Solutions.

The fraud isn’t just ongoing — it’s accelerating. In 2024 alone, thieves made off with $12.5 million, accounting for 57% of all fraud losses since Illinois began tracking the problem, reports CBS News. Worse still, stolen benefits are no longer reimbursed. The federal reimbursement program ended in December 2024, leaving victims on their own.

Some states are taking steps to prevent EBT card fraud. California has rolled out chip-enabled EBT cards, and Oklahoma plans to do so soon. Chips use tokenization, which makes it nearly impossible for fraudsters to skim the information.

Illinois is participating in the USDA Mobile Payment Pilot program instead, set to launch later this year. This program allows people to add their EBT card to their mobile wallet and then tap to pay at checkout. While this program may be more secure, it requires users to have a smartphone, which could be a barrier for SNAP recipients who don’t own or regularly use smartphones.

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What can you do to prevent SNAP fraud?

Unfortunately, since federal reimbursements ended in December 2024, there’s no guarantee your stolen funds will be replaced. Some victims, like a Chicago man who lost $698 in under a minute, say they’ve been told to wait until next month’s benefits.

"IDHS isn't replacing any of the benefits for the month. They are just giving people new cards, telling them to wait until next month's benefits," he wrote to CBS News.

The best way to prevent SNAP fraud is to be alert and proactive. If your state is offering chipped SNAP cards, request a replacement. Otherwise, you can:

• Block out-of-state transactions
• Turn your card off after making a purchase
• Block internet transactions

If you think your funds have been stolen, take immediate action, and:

• Contact your state’s EBT provider or local health services office right away to report the theft.
• Request a new EBT card as soon as possible.
• Monitor your EBT account regularly for suspicious or unauthorized charges.
• Document everything, including the date and amount of stolen funds, and where the transactions occurred.

U.S. Rep. Jan Schakowsky of Illinois says she’s working to change the lack of reimbursement.

“I have heard from constituents who have had their benefits stolen and have not been reimbursed…I will not back down. I plan to continue to work with my colleagues in the state legislature to ensure all Illinoisans can access their benefits,” she said in a statement.

In the meantime, many Illinois families are left waiting — and wondering how they’ll put food on the table.