3 Critical Steps to Protect Against Fraud
Fraud is on the rise, and no business is immune.
We’re seeing a growing number of sophisticated scams targeting businesses across every industry. This isn’t just a national issue; it’s happening right here in our own backyard. Even highly educated, experienced professionals are being defrauded. And as AI continues to evolve, the risk is only increasing.
Here are examples of business fraud that we’re seeing today:
Scammers are spoofing the phone numbers of financial institutions, making it appear that the call is coming from a trusted source. In fact, the FBI reported that phishing and spoofing scams were the most reported internet crime complaint category in 2025, with more than 191,000 complaints and over $215 million in reported losses. The caller may ask, “Did you authorize this transaction?” When the business owner says no, they’re told a fix is needed, and then asked for their username and password. That’s all it takes to open the door to their systems.
We’re also seeing scammers impersonate trusted individuals — executives, colleagues, vendors, even clients — using emails, texts, or phone calls. With AI-generated voice technology, they can replicate someone’s voice with uncanny accuracy. Think about how many executive voices are already online in videos, interviews, or podcasts. Fraudsters can then pose as a known contact to trick a team member — often in accounts payable — into rerouting payments or revealing credentials.
So, what can you do to protect your business?
1. Educate Your Team
Your people are your first line of defense. Train employees to spot red flags, from phishing emails and smishing (SMS text scams) to fraudulent invoices. Encourage them to double-check email addresses, avoid clicking on suspicious links, and confirm unusual requests directly with the person who supposedly made them. Consider using a designated “safe word” for verification during suspicious phone calls.
2. Strengthen Security Protocols
Establish strong infrastructure security with tools like firewalls, SIEM (Security Information and Event Management), and IDS (Intrusion Detection System). Implement multi-factor authentication, update passwords frequently, and ensure your operating systems are running up-to-date security software. Monitor all systems regularly, back up data in the cloud and offline, and develop an incident response plan.
3. Secure Your Payment Systems
Work with your bank to integrate security into your payment workflows. Regular audits can help identify vulnerabilities, and you should always verify payment requests before processing them. At Midwest BankCentre, we offer fraud prevention tools like ACH Filter, which gives you advanced control over ACH transactions, and Positive Pay, which helps prevent check fraud by allowing only pre-authorized checks to be processed.
If you suspect fraud, contact your bank immediately — using a verified number from the bank’s official website — or visit a branch in person. Time is critical when responding to potential fraud.
The bottom line: Fraud can happen to any business, no matter the size or industry. Don’t assume you’re too careful or too small to be a target. And when in doubt, don’t respond. Hang up. If someone claims to be from your bank and asks for information — even if the caller ID looks legitimate — end the call and call back using the official bank number directly from your banking app or card. Most banks, including Midwest BankCentre, will never ask you to transfer money or ask for personal information, login credentials, or verification codes via phone, text, or email.
Midwest BankCentre takes fraud prevention extremely seriously. As our clients’ trusted advisors, your financial security and well-being is our top priority and we take every possible measure to protect it. To learn more, visit MidwestBankCentre.com or reach out to a member of our team at 314-631-5500.
By staying informed, proactive, and connected with your banker, you can better protect your business — and your future. It Matters Where You Bank™
Originally published in the St. Louis Business Journal’s Ask the Expert section in June of 2026 by Danny R. Pogue, President – Commercial, Retail, & Small Business Banking, Midwest BankCentre