This is interesting. You can just buy blank magstripe PVC cards in bulk for very cheap on Amazon. You can buy an ID printer for a couple grand. Why the need to repurpose old cards?
I'm not actually experienced with street-level card skimming beyond anecdotally, so I'm not sure. But my initial speculation is this:
- Centralized location / evidence. A stash of blank cards and an ID printer have to go somewhere, and look suspicious to start with. The gear to skim cards and write them onto existing magstripe cards can be stored in a small space or on one's person and thrown away quickly; there's no centralized location. I believe hotel keycards are used because of their availiability. There was a sensationalized national news piece a few years ago about pimps giving women hotel keycards with credit cards written on them to buy gas with.
- Start-up cost. A couple thousand $$ in an ID printer is more than $0; that's what would divide street-level carders from professionals who probably wouldn't be passing overwritten cards at retail anyway.