If you are new to the world of business, nefarious individuals or groups may see you as an easy target upon which to perpetrate wire fraud. On the other hand, even companies that have thrived for years in the Houston region are not safe from various kinds of fraud.
Scammers have become experts at fooling even the most business-savvy individuals and companies. These scammers know and understand business language, and they know how to attract interest. More importantly, they possess the skill required to persuade executives to take a deep dive into potentially hazardous waters.
Texas businesses, beware of these frauds and scams
Hopefully, you already have a solid fraud prevention plan in place for your business. If you do not, that should be your next step in conjunction with a local legal advocate. In the meantime, scrutinize your correspondence to spot signs of scams and fraud. Below, you will find information about two common frauds perpetrated against businesses:
- Email account spoofing: These scams work in several ways. For example, an employee might receive an email that looks like it came from a company executive. The email provides instructions for the employee to wire funds or transfer money to another account. Unfortunately, the executive’s email account was spoofed, and the wire transfers go to a criminal instead.
- Spearphishing emails: A worker receives an email that appears legitimate and from someone with whom they routinely correspond. The email tricks the employee into providing confidential information regarding accounts associated with the business. Unfortunately, the employee may have just given the scammer access to accounts and other information.
It is wise to practice caution when dealing with sensitive business information and accounts. One way to accomplish this is to create a set of steps that must occur before responding to emails when money is involved — even with known business associates.
Remaining up to date regarding the latest frauds and scams can help you keep your company safe. It is also wise to put legal protections and remedies in place should a staff member fall prey to business fraud.
