ATM fraud has increased by 80% this year in Britain. A new ID Key system has been launched as a way to help financial institutions to close loopholes that fraudsters exploit to make easy money, and to make ATM transactions safe and foolproof. With an ID Key system, financial institutions would supply card holders ID Keys (similar to memory sticks and costing only a few pounds). These keys can have photo and name digitally stored to activate photo printers at transaction points to print ID stickers plus online codes to make make all online transactions unique and foolproof. By inserting slots in their ATMs, security codes on these ID keys can be sent to data centre. The data centre will hold each cardholder’s different card numbers, key code and random 50+ online codes, which when required will be changed to new random values by banks and ATMs. These alphanumeric codes, obtained by activating ID Keys will act as approved authorisation code for every individual online transaction. To operate the ATM, the cardholder will require his/her card, ID key and PIN number. The same system can be applied in retail sector or for card operated equipment such as petrol pumps to stop misuse of PIN numbers. This system will make it meaningless for fraudsters to skim cards, use pin-hole camers to pick PIN numbers or even use stolen cards with PIN numbers. Every time transaction is concluded, key codes at data centre and on the key will change to a new random value. To make ID Keys more useful, along with ATM codes, they could have cardholder’s photo and name digitally stored so that they will activate photo printer at transaction points to print single or multiple ID stickers. To conclude a transaction, a cardholder has to apply the ID sticker to the document and countersign as shown in the diagram below. Thumbprint is optional. ID stickers can also be applied to medication and medical reports.