Business Fraud Prevention Tips

Business Fraud Prevention Tips

At Nevada State Bank, we work hard every day to help ward off threats and eliminate account fraud whenever possible. You've put in a lot of time and effort growing your business and keeping its bottom line healthy. Don't let thieves and fraudsters steal what you've worked so hard to earn. Here are some actions you can take to make your bank accounts and financial transactions more secure:

Help Protect Your Account Information

• Check your account balance frequently and monitor activity taking place on your account.  Review your bank statements promptly upon receipt and report any discrepancies to the bank. Pay close attention to cancelled checks for altered payees or amounts.
• If you choose to retain printed copies of your bank statements, be sure to store them in a secure location.
• When it’s time to destroy bank statements or other documents containing account information, make sure to use a cross-cut shredder.
• Notify the bank of any suspicious phone or email inquiries, such as those asking for your account information. Nevada State Bank will never seek such information via phone or email.
• Guard your account number and your ATM PIN, and never share these numbers with others or write them down in an easily accessible place.

Help Prevent Check Fraud

• Use Positive Pay.  Nevada State Bank offers two Positive Pay products to help protect you against fraud.  With Positive Pay and ACH Positive Pay, we monitor the checks and wire transfers that are presented to the bank for payment. Items that do not appear on your approved transaction list are not paid.
• Report lost or stolen checks immediately. This enables us to block payments on the check numbers involved. Review new deliveries of checks to make sure no check numbers are missing – they may have been stolen in transit.
• Store all checks in a safe place. Ensure that blank and cancelled checks are locked up securely at all times.
• Complete checks so they cannot be altered. Avoid leaving spaces on the payee and amount lines, and use ink that can’t be erased.
• Keep signature stamps in a secure location. If you use a facsimile signature stamp, keep it locked in a location that is separate from your business checkbook.

  Implement Sound Business Practices

• Understand your liability. Review all documents and agreements given to you by the bank when you open your account. These documents inform you of your liability and responsibilities regarding your account.
• Establish dual controls for transaction processing and reconciliation. Allowing one person to approve invoices, prepare checks, sign checks, and reconcile bank accounts generally does not provide a sufficient level of security.
• Develop strict hiring practices.  Use caution and discretion before you allow employees access to accounts or account information.

Help Protect Yourself in the Digital World

Fraud has gone high-tech, and so should you. Fraud prevention services from Nevada State Bank can help protect your company. Click here for more information about the different types of high-tech fraud and how your company can help protect itself from these all-too-common dangers.

The information provided is presented for general informational purposes only and does not constitute tax, legal or business advice. Any views expressed in this article may not necessarily be those of Nevada State Bank, a division of ZB, N.A.