Mandate fraud, which is also known as Payment Diversion Fraud (PDF) and Business Email Compromise (BEC), can occur anywhere where electronic financial transactions are taking place.
Criminals are known to contact a business and / or their customers via email and convincingly claim to be from a company updating on a change of bank account details, which of course is fraudulent.
Below are three steps you can take today to help prevent mandate fraud in your business:
Do not simply rely on emails or phone calls
It is important to challenge any request, especially when it is to do with banking. Always verify and corroborate any details with the organisation directly before making changes.
Maintain records of standing orders and direct debits
Ensure that your bills and other business documents are stored in a secure and organised manner in order to prevent this information falling into the wrong hands.
Check your bank
Review your bank statements regularly and check for anything suspicious. If you see anything, report it to your bank straight away!