John Drake, president/CEO $113 million Rancho Dominguez, Calif.-based Schools FCU also noticed an uptick in PIN-based debit card fraud. "In the past we've had maybe one PIN-based compromise in a given year. The last two weeks we are into double digits."

Drake said the compromises cost the credit union about $6,000 within the two-week period. "Financially, if we sustain those kinds of losses, we can't be in business," he said.

Drake said that he personally was a victim of PIN-based compromises twice within the last four months.

"I am very careful. When I get cash I usually run to the 7-Eleven stores to get my cash out. That is where I know the compromises are coming from," he said.

He reached out to a few credit union industry colleagues and discovered extensive debit card fraud (PIN transactions) throughout the Los Angeles-Orange County area.

Drake contacted Rancho Cucamonga, Calif.-based CO-OP Financial Services and Houston-based Cardtronics to report concerns.

"We used to promote (the relationship with 7-Eleven) very heavily, since it is surcharge free. We are thinking seriously of not promoting that relationship any more, if at the end of the day we are going to be suffering losses," he said.

Bulletins sent by CO-OP to member credit unions said the CUSO is aware of a number of ATM card skimming cases primarily occurring in the Mid-Atlantic area and in Southern California at 7-Eleven locations. The bulletins said CO-OP was working closely with Cardtronics to speed up anti-skimming device installation.

"All forms of magnetic stripe fraud are experiencing an uptick, particularly skimming, as the fraudsters make a push before full EMV implementation. Credit unions, banks, retailers and ATM ISOs are all being hit," CO-OP Senior Manager, Public Relations and Corporate Communications Bill Prichard told CU Times in an email. "Recently, CO-OP sent three advisories to our clients with the message to be vigilant and manage your limits and rules prudently, install anti-skimming devices, move forward with your EMV projects and encourage your members to be watchful for skimmers and other altered devices."

In an email comment to CU Times, Nick Pappathopoulos, director of public relations at Houston-based Cardtronics said: "Over the last several months we have been proactively strengthening physical security at thousands of ATMs nationwide, focusing on high-transaction ATMs in at-risk areas, such as New York and Southern California. Specifically, we are installing such counter measures as PIN pad covers, designed to defeat the cameras/video devices criminals use to capture cardholder PINs as part of their ATM skimming scheme.  Installation of these PIN pad covers has proven effective in discouraging and significantly reducing ATM skimming attacks."

Reports of skimming devices found on ATMs include an El Segundo, Calif., 7-Eleven in August, according to Los Angeles regional media outlet Daily Breeze, and a Roselle Park, N.J., 7-Eleven in October per NJ.com.

In Michigan, out-of-state gangs covertly attached card readers and small cameras inside gas pumps, according to Mlive.com. The scams ran from early July to September of this year.