Fraud Prevention Tools that Don’t Come From your IT Department


Fighting fraud has become more crucial for business continuity and financial protection, for both your company and your customers. As fraudsters have grown more sophisticated, banks have countered with stronger, cutting-edge safeguards to help defend against attacks to your financial systems. It’s as if there is an escalating arms race between perpetrators and businesses.

It takes a dedicated IT department to combat fraud. If your IT department lacks the resources needed to win this battle, you may want to consider employing the services of a third-party IT provider to ensure your business has precautions in place to identify scams aimed at your company, and your customers. But before you search out that level of expertise, or worse—do nothing—be sure you understand how your bank can help protect your financial systems.

4 Ways Your Bank Can Help

Simply being aware of the latest scam can be helpful, but often as a business owner or financial professional, you really need to know the concrete precautions you can put in place to ensure you, or an unsuspecting employee, doesn’t accidently act in a way that harms the company.

Not only have hackers become more sophisticated at gathering information from unsuspecting victims, they have also enacted more complex scams as it relates to fraud using vulnerabilities in your financial systems and processes. Fortunately, many banks offer services designed to guard against such attacks.

  1. Positive Pay provides fraud prevention on checks. Using this service, you send the bank an electronic file containing the check number, date, and amount of each check you write. The bank then compares data you submit as your checks clear your account. Should a discrepancy exist, your bank should provide you with the ability to review the discrepancy and either approve or deny payment.
  2. ACH Block prevents ACH transactions on an account. This prevents electronic debits and credits to the account entirely.
  3. ACH Filter is a more collaborative approach. In this instance, you work together with your bank to determine which companies are authorized to electronically debit your account. You can filter companies by name, or name and amount.
  4. Dual Control is encouraged whenever possible. Having one person initiate a payment or transaction and a second person review and/or approve provides segregation of duties and peace of mind.

Preventing fraud on your business banking accounts involves awareness and safety precautions. No business is bulletproof. It is important to seek the advice of experts and put systems in place to strengthen the company’s security position. Fraud prevention takes constant vigilance, regular communication, as well as trusted and knowledgeable partners to help you navigate this complex and evolving issue.

Shawna Palmieri is the Treasury Management Director at Sunflower Bank. She regularly meets with companies to identify their needs and discuss fraud prevention and cash flow opportunities through banking products and services. For more information she can be reached at ShawnaP@SunflowerBank.com.

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