Automated Funds Transfer (AFT) is a convenient service that allows small businesses to send and receive funds electronically. This service is widely used for paying employees, managing accounts, collecting fees, and paying bills. It speeds up payment processing and eliminates the need for cheques. Because businesses handle their own AFT services, there are some risks. If a fraudster gets access, they could change payee information and send money to themselves, causing significant financial losses. 

Watch for these potential risks

Compromised Login Information: Fraudsters may gain access to your AFT username, password, and the code you use for two-step verification through harmful software called malware or by phishing. They may even get hold of credentials shared within your organization. If these scammers succeed, they can send money to themselves or their partners. 

Social Engineering: Scammers may trick your employee into sending them funds through false invoicing, impersonation, or email hacking. In these cases, an employee unknowingly participates in the scam. 

Take these steps to protect your business from AFT-related fraud

1. Create a Safe Payee List: Establish a verification process for adding, changing, or updating vendor information. Always call and verify any requested changes to banking information.
2. Protect Login Credentials: Ensure that login information is secure and not shared unnecessarily within your organization.
3. Separate Duties: Divide responsibilities for a process like updating banking information or invoice confirmations among different employees to reduce the risk of fraud.
4. Set AFT Limits: Implement transaction limits to minimize potential losses.
5. Dual Authorization: Require two people to authorize significant transactions—we can help you set this up.
6. Monitor Transactions Regularly: Keep a close eye on AFT transactions and set up notifications for any unusual activity.
7. Cybersecurity Training: Educate your employees about cybersecurity practices and the risks of phishing and other scams.
   
   

What to do if you detect AFT fraud 

1. Secure Your Account: Stop all contact with scammers, run a virus scan, contact your payees to confirm banking details, and change your AFT password.
2. Notify Coastal Community Credit Union: Even if you just suspect your account has been compromised, let us know right away so we can assist you in securing your account and preventing further fraud.  

By following these steps, you can safeguard your business from AFT-related fraud and ensure the security of your financial transactions. Keep an eye out and take action to keep your business thriving.