Why do you need Fraud Software?

Fraud is out of control.  I was just reading an article about how the criminals who develop fake antivirus software (also known as scareware) in an attempt to get the victim to pay for software that is really part of the malware they already have been infected reaped over $150 million from their victims over the past half decade.  This is a symptom of a greater problem.  Fraud is rampant, it is global, and there are those who will not think twice about milking a business for every penny it has – regardless of how many people/employees that would hurt.

 

Con artists are ahead of the curve.  They are winning the battle.  Technology is in their favor as they simply have to develop a way to break a single firewall to find their way into a system.  The firewall has to develop ways to stop all perpetrators.  But that does not mean that businesses should not take precautions.  While criminals and hackers often do find ways past firewalls, they also tend to go after the easiest victims.  It is in a business' best interest to not be one of those easy marks.

 

There are two ways to protect one's self from fraud.  The first is to prevent it from every occurring.  The second is to catch it as it occurs.  Protecting one's self from fraud occurring to them requires security – security in a firewall, security of finances, and security in watchers watching the transactions.  That aspect requires an organizational commitment to security.  This article is focusing more on the second aspect – catching fraud as it occurs.

 

Any business that is involved in a large number of transactions is at risk for fraud.  Nobody has the time to dig through each transaction as it occurs ensuring that it is completely legitimate.  This is where fraud detection software comes in.  This is one area where technology is working in favor of the business world to stay with the criminals.  Electronic tools for detecting fraud are capable of identifying iffy transactions or vendors with a history of abusing clients and putting a hold on the payment procedure almost immediately.  Risky situations and transactions need to be identified and isolated soon after they occur.  With each passing day, the recovery of assets becomes less and less likely.  Money will be spun and laundered into Eastern European banks or other areas that do not have reciprocal trade laws to the point where, even if it is located, it cannot be recovered.

 

The negative impact of fraud can put a business into absolute ruins.  I have seen more than a few go under in recent years thanks to unethical behavior and transactions.  Some might say that the management for these companies deserved their fate through stupid decisions and a lack of preparation.  That may be true, but it does not take into account the toll on the individual employees who are now unemployed in an economy where jobs are tough to come by.  Who is looking out for them?

 

Fraud software offers another line of defense against the criminals who would ruin a company.

About the Author

By Felix Chesterfield

 

If you know of a situation where electronic fraud has occurred, please contact the Department of Justice.  To learn more about fraud software and how to protect yourself from fraudulent vendors, please contact the author.  Thank you for reading this article.