Fraud Detection & Prevention Software: Business, Accounting, Banks


Back to blog list

Fraud Prevention in Business

If most people were asked if stealing is wrong, they would answer “Yes”. In spite of this, organizations all over the world lose about 4 billion dollars to fraud on an annual basis. These include schemes like pyramid schemes, embezzlement, and false insurance claims. The people that commit fraud are not cut from a different cloth, but rather simply find themselves in a position that not only tempt them to commit fraud but also believe that they haven’t engaged in anything immoral at all. In fact, there are three conditions that render an act of fraud likely, which business fraud prevention aims to diminish: pressure, opportunity, and rationalization.

Fraud Prevention in Accounting

There are different fields in detecting fraud in organizations to look keep an eye on. How to prevent frauds in business is an ever-evolving concern that must be kept up with. For instance, the detection and prevention of frauds in accounting must entail that the person in charge of the records does not overexaggerate the amount of expenses incurred or underreport the company’s income as well as lie about inventory. What aids in fraud awareness and prevention in accounting, is effective screening processes and extensive background techniques.

Fraud in E-Commerce

Fraud remains a significant threat to the e-commerce ecosystem’s existence, rendering e-commerce fraud protection a major priority vendors and retailors cannot do without as scammers come up with ever newer scams on a yearly basis. This most often occurs in the form of impersonating other people, such as phishing and account theft. Credit cards and other physical media are of great value to criminals in that respect. Pharming is a new method scammers use to send people to fraudulent websites or a dummy backend. Another practice of fraudsters is “clean fraud” as well, which is fraud performed with a careful analysis of their victim’s e-commerce fraud prevention system in order to avoid triggering it. How to prevent frauds in business is becoming an ever more intricate task.


How to Prevent Internal Fraud in Banks

You may not know that banks lose up to 15% of their profits to fraud. The biggest reason for this is impersonation. Criminals sometimes come in and take loans using forged documents. Fraud prevention in banks frequently strives to protect senior citizens, a common victim in such scams, with 1 in 5 of them at some point becoming a victim and an average loss of over 100,000 dollars. Usually this is done by these individuals providing their information on their own free will, who sometimes believe that their loved ones are in danger.

Intelligent financial fraud detection employs algorithms and AI in order to teach itself to learn probabilities of patterns as well as popular recent trends in fraud without frequently inconveniencing individuals in situations as false alarms. The best financial fraud detection software helps a company devise a clearly instructed policy, assess fraud risk exposure, establish control activities, and install fraud detection controls.

Get a free trial and uncover frauds

Fraud Risk assessment Risk management

Subscribe to get helpful articles and white papers. We discuss industry trends and give advice on how to deal with data leaks and cyberincidents.