State finds millions in fraudulent SNAP transactions
State officials have identified nearly 56,000 suspicious out‑of‑state Supplemental Nutrition Assistance Program transactions in the past six months, totaling more than $6.3 million.
According to the Ohio Department of Job and Family Services’ fraud analytics team, Pennsylvania currently accounts for 35% of suspicious activity, the largest share of any state. At 26%, New York ranked second, followed by Illinois at 19% and New Jersey at 10%.
According to the U.S. Government Accountability Office, thieves steal benefits in several ways, including using skimming devices to capture account information and through phishing scams.
In Ohio’s case, most of the illicit transactions, which affected 12,900 Ohio Electronic Benefits Transfer accounts, occur online after midnight.
“Criminals from other states and online continue to prey on vulnerable Ohioans who rely on food assistance to feed their families,” Director Matt Damschroder said in a release.
The revelation, which comes amid a nationwide recoking over fraud, led officials to announce on Friday additional anti-fraud measures for SNAP recipients, including a change in the default settings to block the highest-risk transactions.
Ohioans can use SNAP benefits at authorized retailers using an EBT card known as the Ohio Direction Card.
Starting May 13, the cards will default to a status officials have dubbed a “block high-risk transaction,” requiring cardholders to unlock their cards before making an out-of-state or online purchase. While cardholders are encouraged to immediately relock their card, they will be prompted to set a time period, 30, 60, or 90 minutes, to automatically relock the card.
The changes, which also apply to the Summer EBT/Sun Bucks program, require individuals to unlock their cards to complete out-of-state or online purchases.
“The new automatic card-lock feature will require customers to unlock their card when making an out-of-state or online purchase,” Damschroder said. “It’s a simple step that still allows for out-of-state and online purchases while dramatically reducing the risk of theft.”
Added Damschroder: “What these security enhancements will do, however, is block the highest-risk transactions, deter criminals, and reduce fraud — ultimately safeguarding taxpayer dollars.”
According to the GAO, SNAP is the largest federally funded nutrition assistance program, doling out roughly $96 billion annually. However, federal officials concede they don’t have a handle on the full extent of theft, replacing more than $320 million in stolen benefits between October 2022 and December 2024.
However, that’s based on what states reported, and according to the GAO, some recipients whose benefits were stolen might not have realized they could file a claim, meaning the total is likely higher. According to one estimate, fraud totals more than $12 billion annually.
