It’s me again to remind you of the dangers of online banking for businesses. I feel like I’m starting to sound like a scratched CD (also know as a broken record) but this is very important.
Recall from my last post on this topic that FDIC insurance does not protect you from fraud. It only protects you from a failed bank; not from having your account emptied through online banking.
There’s an article that demonstrates how easy it is to become a victim. This company was infiltrated by a link in a single email. Through that infection the bad guys were able to obtain the banking credentials the next time an employee logged in to the bank account. Next the bad guys initiated a payroll distribution and the bank processed it. $180,000 was several times regular payroll but the bank doesn’t care. “You” asked them to process it and they did. Your money is gone.
Please check your insurance and add coverage for online banking fraud. Please keep your online banking to an absolute minimum for business transactions and please keep very little money in that account. The law says that the onus is on you to protect access to your account, not the banks.
p.s. these same rules apply to your personal accounts too