4 Ways You Can Prevent Wire Fraud

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The sudden and unexpected outbreak of Covid-19 has left the entire world upturned, with everybody moving online.  Businesses and organizations are not behind in any which way. This has boosted online transactions even more.

However, despite a variety of available payment methods, sometimes, people may only resort to electronic processing via e-transfer or wire for business transactions. But this has brought another picture into the limelight. 

High economic uncertainty, disrupted workforces, rapid changes in business processes, and a sudden hike in e-money transfer methods have paved the way for wire frauds. In the present scenario, cybercriminals and fraudsters are making the most out of this pandemic by targeting businesses and individuals through their technologically advanced practices. 

Often, wire fraudsters use several disguised strategies to trick you with emails that almost look viable and original, compelling you to share private details that can lead to massive losses. If you are clueless as far as preventing wire frauds, this post is definitely for you.

Common methods for wire frauds:

While the world has become advanced, so have hackers and fraudsters. Here are a few most common methods that are being used for wire fraud.

  • Account takeover

When an unauthorized person gets their hand on your password and other account information, it is termed as account takeover. It doesn’t matter how watchful you have been when administering your account; scammers are still a step ahead. 

This is often achieved by getting into your systems, stealing bank account details, and more. Just in a few seconds, fraudsters can have complete access to your account; without you getting an idea of it.

  • Hacking

In such cases, scammers make use of phishing methods to tempt you into sharing private details. Fraudsters can also infect your company’s system with malware through a forged email or a website. Such tactics easily allow them to get into your systems and acquire sensitive information.

  • Deception

This method is not very common, although it is equally dangerous. In this technique, scammers try to gain sympathy from the victim and then ask them to transfer money. With such a method, fraudsters target novices as they are still learning to use online transactions properly. Hence, make sure everybody in your business team is well-versed with internet transfers.

4 ways to prevent wire fraud:

The trick here is to be cautious of the emails requesting a wire transfer or urgent appeals for money. Also, keep an eye for anything that seems suspicious. Here are a few tips that will help you prevent wire fraud:

  • Keep an eye on the transactions daily; in case you suspect any wire scams, immediately contact your bank and the authorities
  • Always verify the information thoroughly when transferring money; one typing mistake can send money to the wrong business or person
  • The company should make sure that procedures and policies related to wire transfers are understood and implemented by the employees
  • Arrange for a program regarding employee-awareness

How to report a wire fraud?

In case of any wire fraud, consider contacting any given agencies:

  • Local law enforcement or the police to file a report of the crime
  • The concerned bank to raise a complaint

Moreover, it is recommended to have all the documents handy, including credit reports, bank statements, etc.

Wrapping up:

Considering the prevalent nature of wire frauds, it has become more than necessary to scrutinize everything happening online. As far as online transactions are concerned, pay specific attention. Follow the tips mentioned above to avert being a victim of such fraud. 


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