All the news, tactics and scams for finance leaders to know about in February 2024.
Payment Security 101
Learn about payment fraud and how to prevent it
In July 2021, eftsure helped protect Australian organisations by verifying a record $5 billion in EFT payments.
With much of Australia returning to remote work, invoice redirection scams are once again on the rise. Using a variety of tactics, scammers are regularly attempting to deceive Accounts Payable staff into changing supplier banking details.
When paying invoices, Accounts Payable teams remit funds to a bank account controlled by the scammer, rather than the legitimate supplier’s bank account.
With banks usually unable to retrieve the funds, the ACCC advised that these types of scams cost Australian businesses in excess of $128 million in 2020. It is thought this problem is significantly under-reported, with between 5% – 25% of organisations preferring not to disclose the fact they had been scammed. It’s a problem that is only getting worse.
To protect themselves from these types of scams, over 460 Australian organisations are turning to eftsure.
Eftsure’s innovative fraud tech platform provides real-time alerts so Accounts Payable teams can be certain that the bank account they are sending funds to is correct. It achieves this with a unique database that aggregates banking details from over 2 million Australian organisations.
When an organisation is processing an EFT payment to a supplier, they will know whether other organisations in the database have used the same bank account details to pay the same supplier thanks to the display of simple “green-thumb” or “red-thumb” symbols.
In FY20-21, nearly 2% of the total EFT payments being made by organisations using eftsure were flagged as incorrect – incorrect flagging is a leading indicator of potential fraud or error. Without eftsure, these organisations may have irretrievably lost hundreds of millions of dollars.
According to eftsure CTO, Mark Chazan:
“Most organisations only do a few random spot checks on high-value EFT payments whenever they process a pay run. By not carefully checking the accuracy of every EFT payment immediately prior to processing it, organisations are leaving themselves exposed to increasingly sophisticated scammers. With eftsure, every supplier’s bank account details are checked against our independently verified database in real-time, just before you process a pay run.”
eftsure is now integrated into the accounting processes of some of Australia’s largest enterprises including:
These organisations, as well as many others, including SMEs, local councils, and schools, all understand the risk that invoice redirection scams pose.
The eftsure platform gives them peace of mind that they are secure, particularly at a time when Accounts Payable staff are working remotely and are more vulnerable than ever to sophisticated deception scams.
For a demonstration of how eftsure can help keep your organisation secure in the face of this growing risk, contact us today.
End-to-end B2B payment protection software to mitigate the risk of payment error, fraud and cyber-crime.