The Telltale Signs Your Business Is a Victim of Fraud

January 30, 2020

If you have noticed some suspicious activity going on with your business’s data lately, there may be a chance that the business has been a victim of fraud.  Watch out for these telltale signs and be sure to consult the Better Business Bureau and/or the local police department if you determine that fraud has occurred. 

  • You are charged for debts you don’t owe. If you are getting angry calls from suppliers you have never heard of about debts you don’t owe, there is a good chance another party has stolen your identity.  You may also hear from collection agencies if these charges are overdue, but the agencies will be on your side and will tell you where to go next. 
  • Low credit score. If your business has a low credit score in spite of smart financial activity, you will want to look into possible fraudulent activity.  Do this by checking all of your recent bank statements and look specifically for unknown charges, incorrect contact information and accounts you didn’t open.  If one or all of these appear on the statements, there is a good chance an unauthorized party has access to your accounts.
  • You don’t receive bills on time or at all. Your business should be receiving monthly and yearly invoices for every debt you owe.  If it has been a long time since you invested in an asset and you never received an invoice for it, it is possible that the billing address was fraudulently changed.  Be sure to contact all of your vendors immediately and give them the correct billing address, as well as contacting your bank to get back assets lost from unauthorized transactions.
  • You receive credit card statements for cards you don’t have. Receiving such statements is a telltale sign that an unauthorized party has opened a credit card in your business’s name.  Be sure to contact the credit card company immediately to avoid racking up any unnecessary debt and damaging your business’s credit score.
  • The IRS notifies you that you owe additional taxes. If you are getting such a notification from the IRS, another operation may have begun under your business’s name that never filed the appropriate returns.  If this is the case, report it to the IRS immediately to sort out the situation and avoid paying unnecessary taxes.

You can prevent your business from being a victim of fraud or detect fraudulent activity right away by having your finances in order.  You don’t have to do it alone.  Contact us today, and we will take care of your accounting needs.

kapitza logo

277 Fairfield Road
Suite #305A
Fairfield, NJ 07004

973-276-0650

Securities Offered Through TFS Securities Inc., Member FINRA/SIPC, a Full Service Broker Dealer Located at 847 Broadway, Bayonne, NJ 07002 201-823-1030.
Broker Check. Investment Advisory Services offered Through TFS Advisory Services, A Division of TFS Securities, Inc. 

Powered by: