Most AP professionals understand the importance of positive pay in preventing check fraud. Having the bank verify all checks presented for payment against a list of all issued checks greatly reduces the chances that a fraudulent check will be paid.
While positive pay is the best defense against check fraud, what should AP do to prevent e-payment fraud? The following are steps you can take to keep your ACH payments secure:
- ACH Debit Block – Prevents suppliers from debiting your account. Only credits can be processed.
- ACH Debit Filter – Limits third-party debits to your account to authorized parties.
- ACH Positive Pay – You provide a list of companies that are authorized to debit your account for ACH transactions.
Preventing and addressing payment fraud is a difficult task. Be sure to take advantage of valuable resources available to you, including The Accounts Payable Network's video education seminar, Fraud Awareness, Prevention, and Detection, and the TAPN audio conference recording, Successful AP Fraud Busting Strategies. Both feature David Sawyer, CPA, CIA, CFE, and managing director of Sawyer & Company.
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