As the world increasingly moves online, so too do opportunities for fraud. Business-to-business (B2B) fraud is a growing problem, as organizations are increasingly making payments electronically. Commercial payments fraud can take many forms, from false invoicing to account takeover. In order to prevent B2B fraud, organizations need to take a proactive approach.
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Data for today’s episode is provided by Mercator Advisory Group’s Report: The Cost of Fraud: B2B Payments Experience 10% Increase During the Pandemic
5 B2B Payment Methods Subject to Commercial Payments Fraud:
- 66% – Checks
- 39% – Wire transfers
- 34% – ACH Debits
- 24% – Corporate/commercial credit cards
- 19% – ACH Credits
Mercator Advisory Group released a report covering fraud in commercial payments titled The Cost of Fraud: B2B Payments Experience 10% Increase During the Pandemic. The research explores the impact of fraud with particular emphasis on the B2B payments space. Through an analysis of internal and external fraud, one can gain a deeper understanding of the most common types of schemes, what payment types are subject to the most payments fraud, and how the industry is fighting back. The report also explores the rise in business email compromise (BEC) fraud and new ways that fraudsters are targeting organizations.
Fraud is an unfortunate reality that businesses cannot ignore. In this report, we cover the trends in B2B payments fraud affecting large to mid-size organizations and the strategies they are using to fight back. Although fraud is inevitable, organizations that stay current with fraud prevention strategies can mitigate damages and reduce losses.