Finance News & Insights

Report: two-thirds of firms affected by fraud last year

When it comes to payments fraud, companies that haven’t been impacted are in the minority.

Two-thirds of businesses experienced attempted or actual payment fraud last year. And, compared to 2010, incidents of fraud increased 28% in 2011.

These are some of the major highlights from the comprehensive 2012 Association for Financial Professional Payments Fraud and Control Survey.

Among companies that experienced payments fraud in 2011, the average financial loss was $19,200. However, 74% of the employers that were victims of actual and/or attempted didn’t suffer any financial loss from the experience.

As for the type of payment fraudsters targeted most, checks were by far the clear favorite. A whooping 85% of businesses said their checks were targeted by fraud.

Here’s a breakdown of the other vulnerable payment methods employers reported:

  • ACH debit (23%)
  • Corporate/commercial cards (20%)
  • Consumer credit/debit card (12%)
  • ACH credits (5%), and
  • Wire transfers (5%).

Here are some tips on how to limit your company’s exposure to fraud.

To view the entire AFP survey, click.

 

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