We present a novel method for small surface defect detection based on the spatially filtered dynamic speckles. This method possesses high fidelity and versatility. Factors defining resolution of the proposed method is estimated and it is shown that resolution depends solely on the geometrical parameters of the optical system. Experimental results demonstrate feasibility of the proposed method for surface defect detection and are in good agreement with the theoretical estimations. A prototype for online detection of the defects with diameter of 400 µm is presented. Ways to improve prototype performance and the method resolution are discussed.