to your financial data increases the risk of internal fraud. Without independent oversight, they can make unauthorized withdrawals or transfers of your business’s funds. What you can do: Spreading
your internal accounting among several employees
reduces the opportunities for abuse through collective accountability. Also, employing an independent accountant to audit your books on a regular basis provides external oversight and is a strong deterrent to internal fraud. Help protect your business’s identity 5 Identity thieves don’t just target individuals. Your business’s identity can be stolen, too. Once they get in, identity thieves can wreak havoc on your finances and your reputation.
What you can do: If you discover that your identity has been compromised,
it’s important to act quickly and methodically. Contact the Federal Trade Commission (FTC), as well as your local police department. The FTC coordinates enforcement efforts with the FBI. Filing a report with your local police can be helpful when trying to have unauthorized transactions removed or reversed. Contact the three major credit bureaus (Equifax, Experian, and TransUnion) and request a fraud alert be placed on your file. This will prevent further accounts from being opened in your name for 90 days. Also, order a copy of your credit reports. Review your credit reports for any new or unauthorized accounts or activity. If you suspect anything suspicious, notify credit bureaus—and the creditors affected—of any fraudulent activity.
payment instructions with your account details on file by personally calling and confirming the request. Verify invoices before
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committing to paying them Fraudsters will submit fake invoices in
the hopes that an overburdened accounts payable system will pay them before they can be verified. What you can do: Implement policies requiring employees to check and verify the validity of every invoice prior to payment. Also, unless prearranged with a known and vetted vendor, never pay an invoice with a wire transfer, cryptocurrency or gift cards. Be careful which employees have access to your bank accounts Unfortunately, a lot of business fraud originates with employees. Giving an employee unchecked access 4
If you suspect you have been the victim of business fraud, California Bank & Trust
is here to help. Don’t hesitate to call us at 1-800-400-6080 , or visit your local branch.
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calbanktrust.com/ inyourcorner
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