How to guard against invoice fraud

Antivirus software alone will not protect your professional services firm, Barclays Corporate Banking is warning, because fraudsters often employ low-tech methods rather than trojans or other malicious software.

One of the most dangerous weapons in the fraudster’s arsenal is social engineering: fraud which relies on tricking an employee into giving away passwords or transferring money to the wrong account.

After receiving an apparently genuine email from a supplier, one anonymous client of Barclays paid almost £150,000 to an account held by fraudsters at another bank. They stand little chance of recovering the money.

The key defence is awareness, says Barclays. Companies need to make their staff aware of the threat of invoice fraud and encourage them to check invoices carefully, check email addresses and call suppliers to confirm any changes to account details. Staff should never assume a caller is genuine just because they have information about their firm.

“We have a great deal of support available to help clients understand the risks and how to mitigate them,” says Adam Groves, head of professional services at Barclays Corporate Banking. “But if in doubt the key message from us is always to check with a known contact, using a trusted number held on file, if anything doesn’t seem right.”