Business Credit Card fraud has become a growing concern for companies of all sizes. With more transactions occurring online and more employees authorised to make business-related purchases, the opportunities for fraud have multiplied. Let us explore the most common types of Business Credit Card fraud and provide actionable strategies you can use to safeguard your card and your data:

Limit the number of users

The more people can access your Business Credit Card, the higher the risk of misuse. Assign cards only to trusted employees with precise business needs. Use employee cards with custom limits instead of sharing the main card. Make it mandatory for users to submit receipts and expense justifications regularly. Lastly, revoke access immediately when an employee leaves the company.

Real-time transaction alerts

Most Business Credit Card issuers offer mobile and email notifications that alert you the moment a transaction takes place. These alerts can notify you regarding large or high-risk purchases, charges over a defined threshold, and more. Enable these notifications for administrators and cardholders so that suspicious activity is flagged and addressed immediately.

Use Virtual Cards

Virtual Cards are a significant security advancement for online transactions. These digital card numbers are linked to your main account and have a limited lifespan. You can set them with maximum amounts and restrict them to one vendor only. Using Virtual Cards for recurring subscriptions, digital advertising, or travel bookings reduces the risk of having your actual card details compromised.

Regularly review statements

Stay vigilant by conducting monthly expense reviews. Look for duplicate or suspicious transactions, charges from unrecognised vendors, or unexpected fees. Unusual activity patterns can indicate fraud. If you use accounting software, integrate your Credit Card statements directly and match them against submitted receipts or approved expenses.

Implement safe spending practices

Human error is one of the most common causes of Business Credit Card fraud. Provide regular training on ways to avoid phishing emails and fake payment requests. Ask them to use only trusted and encrypted websites for purchases.

Conduct regular audits

Set a recurring schedule monthly or quarterly for a security audit of all your company’s payment tools. Enquire about who has access to the company’s Credit Cards. Check whether any old cards or user profiles are still active. Document your audits and update your internal policies to reflect evolving risks.

Conclusion

Credit Card fraud is rising. However, it does not mean you cannot apply for a Business Credit Card. The numerous advantages these cards offer exceed the danger of fraud. Hence, with the right strategies, tools, and vigilance, businesses can significantly reduce their exposure to unauthorised charges and financial loss.