Ever since the major card brands mandated that informationneeded to process ATM transactions should only be communicated withthe highest levels of encryption, ATMs have been largely isolatedfrom the larger battles over information and data security.

Sure, ATMs always faced a few of their own, unique, threats.Opportunistic thieves could modify ATMs to capture card informationand personal identification numbers from unwitting consumers. Andindividual ATMs have always been somewhat vulnerable to thievessimply uprooting them and carrying them away to force opensomewhere else.

But, by and large, ATMs have been secure from the threat thathackers are going to compromise their networks to steal cardholderdata.

But that may be changing. As new threats and channelintegrations emerge – note Diebold's recent launch of an ATMthat syncs with smartphones – the ATM industry also is reactingin new ways.

Today, Houston-based Cardtronics, the world's largestindependent deployer of ATMs, announced that it was establishing anew position of chief information security officer. Jerry Garcia,who spent the past 10 years designing and developing theinformation technology systems the company uses to run itsbusiness, will now focus exclusively on Cardtronics' informationsecurity program as its new CISO, the firm announced.

“As the world's largest retail ATM owner, as the operator of aglobal ATM fleet approaching 63,000 machines, Cardtronics has aresponsibility to its clients, consumers and our shareholders to bea model of excellence in information technology and security,” saidSteve Rathgaber, chief executive officer, Cardtronics.

“The creation of a dedicated information security officer roleemphasizes Cardtronics' commitment to industry-leading securitysystems, and Jerry Garcia, the architect of the IT landscape atCardtronics, makes for an ideal candidate to exerciseenterprise-wide oversight of our information security program.”

Cardtronics' creation of a CISO position signals that thecompany may be positioning itself for a time when ATM networks maybegin to find themselves more vulnerable to information securityattacks than they have previously been.

Credit unions and credit union-owned ATM networks shouldprudently evaluate and prepare for this risk.

David Morrisonreports on credit and debit cards, among other responsibilities, atCredit UnionTimes.