More than three-quarters (78%) of organisations experienced payments fraud in 2017, with checks contributing to the largest number of frauds than any other payment method, according to a survey by Association for Financial Professionals (AFP) underwritten by J.P. Morgan.
The study, which surveyed around 700 treasury and finance professionals, found 74% of respondents affected by check fraud last year. Wire fraud affected 48% of respondents, while 30% were affected by corporate card fraud.
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Also, 77% of organisations faced business email compromise (BEC) scams, with 54% of BEC scams targeting wires and 34% targeting checks.
However, 77% of organisations said they have deployed necessary controls to counter BEC scams.
The study also found individuals outside the organisation accounting for 65% of payments fraud.
J.P. Morgan managing director and treasury services executive Bob St Jean said: “The fraud survey serves as an important resource in understanding the potential risks within the payments industry. With more than three-quarters of companies experiencing fraud in 2017, it is important that businesses take preventive measures by educating their employees and implementing processes to prepare and protect their infrastructures from cyberfraud.”
