How to identify and help prevent fraud in your business

For all business owners, becoming a victim of fraud can have immediate and long-term financial and security impacts. The good news is that with the right information, you can spot the most common types of fraud and help prevent your business from falling prey to them. The BCA Plus Partner, Clover, has shared some useful tips on how to prevent and protect yourself from fraud.

The most common types of fraud

1. Business Email Compromise (BEC) Fraud

BEC fraud is a type of phishing attack in which a fraudster attempts to impersonate a known contact, such as a high-level executive or trusted colleague, and trick a recipient into transferring funds into a fraudulent account. BEC fraud doesn’t usually rely on links or attachments, and that makes it harder to spot than the average phishing email. These emails rely on having enough personal information to accurately impersonate someone you know.

2. Out-of-office (OOO) Fraud

OOO fraud is a similar scheme where fraudsters take advantage of the information provided in an OOO email. While out-of-office messages are a great way to let others know you won’t be working, you could be giving away valuable information to potential fraudsters. The standard OOO message includes the contact’s full name, office address, phone number, job title, and line of work. In the hands of a fraudster, this information can be used to impersonate you to get information or money from an unsuspecting colleague.

3. Insider Fraud

Insider fraud is carried out by a current or former employee, contractor, or business partner who takes advantage of the data or processes they had access to in order to complete their job.

How to prevent and protect your business from fraud?

Ultimately, the best way of preventing the most common types of fraud is to keep private or sensitive information out of the public eye. By committing to a few simple, proven tactics, you can help prevent fraudulent activity from occurring in the workplace.

Keep personal information in emails vague

Remember to keep the personal information in your emails vague, especially in OOO messages. When setting an OOO message or sending an email that could reach recipients you may not know, avoid providing unnecessary contact information or sensitive details about your business.

Keep private details off social media

Similarly, be aware of what you’re posting on social media and who has access to your profile. Sharing lots of private details on a public account can increase the risk of a fraudster impersonating you.

Be wary of unsolicited phone calls

Finally, you should always be cautious when answering unsolicited phone calls or emails. What’s more, make sure to verify that a request for money or data is legitimate by calling a known and verified number for confirmation. Rule-of-thumb: never offer up personal or financial information to an unsolicited caller.

By using Clover, your customers can pay with cash, any major credit and debit cards and they can even make payments with a mobile device including, Apple Pay®, Google Pay®, and Samsung Pay®. Click here to request a call back with Clover.

BCA Members can access their BCA Plus Clover offers and discounts by clicking here (under the ‘Finance and Business’ tab; you need to log in, using your BCA Member number, to access the page).

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