How to Avoid ACH Fraud or Payments Fraud

Unfortunately, it’s no longer a matter of “if,” but rather “when” payments fraud will impact your business.


As you look at your payment strategy, does it minimize your risk to fraud? Like many businesses, your strategy may be highly focused on check payments, the most compromised payment type. Sixty-six percent of businesses said their companies experienced check fraud as part of the 2021 Association of Financial Professionals Payments Fraud and Control Report. While other payment methods have been targets, the risk significantly decreases with others; a breakdown is below.

rates of payment fraud

Tools and Best Practices to Protect Your Business from Fraud

Don’t stress – by having a payments strategy that focuses on mitigating these risks, paired with industry-leading fraud tools, you can safeguard your business while still generating returns to the bottom line.

  • Prevent ACH fraud with ACH Positive Pay and daily reconciliation to identify and return unauthorized ACH debits and credits.
  • Leverage electronic payments and commercial card for additional controls and restrictions.
  • Integrated Payables builds efficiencies as this single payment solution handles all payment types: check, ACH and virtual card; and facilitates flexible payment processing from one easy-to-use platform.
  • Detailed reporting can help you more quickly identify and react to fraudulent activity.

Having a diversified payments strategy that incorporates multiple payment methods to pay your vendors not only mitigates the risk of fraud, it can result in major returns and efficiencies for your accounts payable department. With a strategy that includes a variety of payment methods such as electronic ACHs, Commercial Card Programs (including virtual cards), your company would be working to create greater efficiencies, free up cash flow, and generate safer, more secure payment transactions than traditional check payments.

At First Bank & Trust, a division of HTLF Bank, we want to help you cultivate a successful business by optimizing your payments strategy. Partners work together, and we’re ready to help move your company forward with informed clarity and confidence. Reach out to us and we’ll get started today!

#Business Finance Scams #Commercial
See More Fraud Protection Resources

Latest Resources

Two people having a conversation while reviewing paperwork in an office setting.
Blog Post
Essential Financial Wellness Checklist: How to Build and Maintain Your Financial Health
As we enter a new year, it's the perfect opportunity to take a closer look at your finances and set yourself up for success. With the rise of digital financial tools, new savings strategies, and challenges like inflation, it’s crucial to assess where you stand financially. Whether you’re saving for...
Person viewing phone concerned about scams around the holidays.
Blog Post
Protect Yourself from Holiday Scams This Season
The holiday season is upon us! The weather outside might be frightful, and the halls are decked with cheer, but it’s also the time of year when fraudsters are out in full force. While sleigh bells ring, it’s important to stay vigilant and protect yourself from scams that can quickly turn the season...
Line of sprinter vans
Blog Post
5 Key Strategies for Building an Efficient Fleet Management Program
Managing a fleet is no small feat, especially considering 44% of all fleets cite rising costs as one of the biggest challenges to their daily operations. But what does effective fleet management entail — and, more importantly, how can it impact your enterprise’s financial stability and overall...
Cryptic card witch a lock on it
Blog Post
How Do Virtual Cards Protect Your Business from Fraud?
In recent years, businesses have faced an unsettling reality: fraud is on the rise. Nearly 70% of companies report an uptick in fraud losses, driven by increasingly sophisticated schemes like identity theft, invoice fraud, and phishing attacks. As these threats grow, the need for stronger financial...