This Technology Makes it Easy for Fraudsters to Steal from You
For many, standing in line at the bank to make a simple deposit is a thing of the past.
Mobile banking and ATMs have allowed us to experience more freedom and flexibility in banking. Still, they have also given crooks another opportunity to steal money from your account if you aren’t careful!
Recently, I discovered a suspicious withdrawal from my client’s account while performing routine bank reconciliation.
The #1 Way to Detect Fraudulent Activity On Your Accounts
Bank reconciliation is when the account statement from the bank is reconciled (checked for consistency) with the financial records for the business account.
You can identify missing items, fees, and even fraudulent transactions during this process.
Without performing bank reconciliation, a business owner wouldn’t be able to validate that the cash on the balance sheet is an accurate figure.
So, when I noticed a cleared check from my client’s bank account that did not match her records, I thought it was possibly a missing item in her internal business records.
However, we soon discovered that it was much more malicious than that!
The Only Way To Catch a Thief Is…
A financial fraudster had created a counterfeit check from my client’s account with the correct business account numbers and other identifying information. While the check number was incorrect, everything else on the check matched my client’s actual check…right down to her signature!
The financial criminal had deposited the fake check into THEIR account using a mobile deposit.
And the only way we discovered it was during our routine bank reconciliation.
This situation is why it’s crucial to have a routine schedule for bank reconciliation.
Fortunately, my client could get the stolen money back since we caught it in time.
But how much damage could have been done to her if this had gone undetected?
Now, like most business owners, you have a TON on your plate…and sometimes, going through your monthly statements might be the last thing on your to-do list.
I recommend using software like Quickbooks and Xero. If you don’t have the time to review your accounts monthly, this is just one way I can help you gain control of your business finances, prevent fraud and other administrative errors, and know precisely how much cash you have in hand!
Are you wondering if it’s time to outsource your business’s accounting? I’ve freed up some time in my schedule. So let’s chat about it!
“Count on us to Account for You!”
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