Conduent Incorporated, a global and technology-driven business solutions and services company, recently made an announcement about its partnership with the Alabama Department of Human Resources (DHR) for the distribution of chip-enabled Electronic Benefit Transfer (EBT) cards, which are expected to improve fraud protection and security for the beneficiaries. The newly distributed cards are being sent to all EBT cardholders in the state and are expected to provide a substantial boost to the security of the beneficiaries, including SNAP and TANF recipients.
In Alabama, as well as in other states in the United States, there has been a sharp increase in the number of fraud attempts on EBT cards, which have been using magnetic stripe technology and are therefore vulnerable to skimming, a process whereby fraudsters attach devices to the point-of-sale machines to read the card details. The new technology will require the cardholder to insert the card into the payment machine, which will be an added security feature.
Following a pilot program launched in December, Alabama has become the first Conduent-supported state-and only the second state nationwide-to deploy chip-enabled EBT cards to its full cardholder population. Several additional states are currently preparing similar statewide implementations.
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“I am so pleased to finally bring this instrumental change to our EBT cardholders statewide,” said Nancy Buckner, Alabama DHR Commissioner. “After a successful pilot program, we have shown that these new cards are easy to use and offer much better protection for the benefits. I am pleased that with this chip technology upgrade, our clients can have more confidence that their benefits will be there when they purchase groceries. This is not the end; we will continue to work and develop new and innovative ways to better protect our clients and their benefits.”
“We are honored to help Alabama DHR lead the way in giving their beneficiaries this critically important tool to protect their accounts and funds,” said Anna Sever, President, Government Solutions at Conduent. “Transitioning to chip technology is a proven fraud-prevention strategy. Chip cards are widely used across the country for other types of accounts, and EBT payments deserve the same level of security.”
In addition to the new chip-enabled cards, SNAP and TANF recipients in Alabama and several other states can access Conduent’s ConnectEBT mobile app and secure cardholder portal. These digital tools allow beneficiaries to lock their accounts and block all purchases, providing greater control and helping prevent unauthorized transactions.
With Conduent’s support, Alabama DHR has also implemented an enhanced security setting that automatically blocks out-of-state and online transactions on all EBT cards by default. Cardholders who choose to enable these transactions can quickly unlock their cards through the ConnectEBT app or portal.
These advanced protections are part of Conduent’s VeriSight Anti-Fraud Suite, a comprehensive set of fraud mitigation technologies designed to help public agencies reduce risk across benefit programs. The suite includes adaptive fraud detection tools for EBT customer service centers that can identify and stop suspicious activity, such as abnormal calling patterns, unusual phone numbers, and high-volume transaction behavior.