You do not have to look hard to find news stories on business fraud. From cyber fraud to paper check fraud and beyond, organizations of all types and sizes face threats daily. Unfortunately, I believe that many businesses underestimate the scale of this threat. What is your plan should business account fraud happen to you? What safeguards do you have in place? 

A recent survey conducted by the Association for Financial Professionals indicated that check and wire fraud rate at the top when it comes to most common types of business fraud. What has your organization done to help prevent check fraud and wire fraud? Is your organization at risk of losing thousands of dollars? Are your employees trained to be on alert?

Tips to Keep Your Company Safe from Business Fraud

The Association of Financial Professionals (AFP) recommends implementing these 10 tips to keep your business safe.

  1. Conduct an independent assessment. Engage a technical firm that understands technical risks. You should always know your vulnerabilities. 
  2. Engage government and law enforcement. Ensure you know who you are going to call under what circumstances.
  3. Join an industry forum. Join an applicable industry-based information sharing forum to share and receive important threat information.
  4. Simulate an internal attack. Create a team to attack your systems to detect compromises you may not be aware of.
  5. Deploy mandatory employee training and testing. Malicious email is the number one way threats get into your organization. Establish a baseline training program and focus on specific actions employees need to take. Once your employees are trained, test them often. 
  6. Know your third-party vendors. Upgrade your contract provisions with vendors to ensure they are following the same standards you strive to follow.
  7. Hold exercises and drills. Run many scenarios and see how your system responds. Learn and repeat. 
  8. Know how money leaves the organization. Look at the ways money leaves the institutions. Figure out controls and thresholds you can put in place to protect money movement.
  9. Implement controls for maximum effect. Consider using bank resources like Check Positive Pay and ACH Positive Pay, which work to stop fraudulent transactions before they leave the account. 
  10. Protect your computers. Consider physical or logical network segmentation for any computers used for funds transfer. 

Want to learn how ICB can help protect your business? Reach out to me via email at lmeyer@icbk.com or give me a call at 715-254-3430.

Written by Lindsay Meyer, CTP

Lindsay is a Certified Treasury Management Specialist at Investors Community Bank, assisting clients with their cash management needs. She has a rich history in customer service and business banking and is committed to understanding customers’ financial needs and recommending the best products and services.

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