Fraud is real and growing every day. Here are some tips to help you fight fraud.
Reconcile accounts daily.
Require two people to initiate and approve an ACH or wire payment.
Secure check stock just as you would cash.
Don't leave mail with checks lying out in the office.
Pay electronically when possible.
Implement tools like Positive Pay with Payee, Reverse Positive Pay, ACH blocks and filters.
Continually remind employees not to open emails from people they don't know or click unknown links.
Randomly switch responsibilities and conduct unannounced audits.
Escalate suspicious transactions to your bank immediately.
Know your business partners (customers as well as vendors) and never accept changes in payment instructions via email. Always follow up by phone with a known phone number.
Businesses large and small can become victims of fraud in the blink of an eye. See how BOK Financial stopped a fraud attempt and helped Mile High Spirits implement new fraud prevention services.
Criminals make more than $5 billion off of fraud every day.
On average, an organization will lose about 5% of its revenue each year to internal fraud.
The three main targets of payment fraud are electronic transaction (wires/ACH), check and credit/debit cards.
According to the Association of Certified Fraud Examiners, the medium loss caused by internal fraud is $145,000, but 22% of these cases reported losses of at least $1 million.
Malware has become so sophisticated that even security walls like multiple approvers can be breached.
Law enforcement has a difficult time finding, apprehending and convicting criminals for financial fraud. Prevention is the only effective way to stop financial fraud.
More than 75% of companies have been the target of financial fraud.
Over half of internet users get at least one phishing email per day.
RSA, one of the premier network security companies, identifies a phishing attack every minute.