Researchers have revealed that our PIN's aren't nearly as sacrosanct as banks and credit card companies would have us believe while they're in ATMs. A vulnerability exists in the way PINs are encrypted and decrypted by the system that would allow an attacker who has access to the system to record PINs as they traverse the system. This is not a vulnerability that can be remotely exploited by a hacker, but would require a malicious insider or an attacker with a considerable amount of access to an ATM machine.

At Computerworld.

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