Protect Your Charity From Fraud
Every charity is susceptible to fraud but there is so much you can do to help keep your organisation safe.
The Charity Fraud Report found 43% of charities reported experiencing fraud or attempted fraud last year and 92% faced financial losses as a result.
Today (25.11.2024) marks the start of Charity Fraud Awareness Week. We are joining the effort to raise awareness and share best practices for preventing fraud and cybercrime.
5 TIPS TO MINIMISE YOUR RISK
Remember these five essential tips. Don’t let fraudsters get away with it:
1. Verify Payment Instructions
Always confirm requests from a supplier to change bank account details - no matter how legitimate the invoice appears. Call the supplier directly or consult a trusted staff member to verify the details before making any changes. It is quicker to verify than to recover a fraudulent payment later.
2. If It Sounds Too Good to Be True, It Probably Is
Be wary of offers that seem unusually good, such as goods at extremely low prices or "free" items requiring a delivery fee. Never share bank account or card details and; avoid paying by bank transfer for such offers. Use a debit/ credit card or secure payment site for added protection.
3. Review Internal Financial Controls
Regularly review and assess your organisation's financial controls to spot vulnerabilities. Ensure at least two trusted individuals verify and authorise each payment. Avoid having the same person initiate and approve a payment.
4. Protect Against Cheque Fraud
Store cheque books, cards, mandates, and personal IDs securely, ideally in separate locations. Never sign blank or incomplete cheques and avoid using erasable ink or pencils for any written instructions. Wherever possible, ensure the signatory is not the cheque's beneficiary.
5. Be Cautious of Gift Card Scams
Look out for unexpected requests to buy gift cards, especially when contacted by unfamiliar numbers or colleagues via unusual channels. Never share photos of gift card details. Always verify the identity of the requestor - ideally by speaking to them directly.
EXPLORE FURTHER RESOURCES
For more guidance on fraud prevention for your charity, visit the Security Centre on our website.
GET IN TOUCH
Telephone: 03000 123 000
Email: enquiries@cafonline.org