Fraud is perhaps the biggest factor as to why many Accounts payable solutions were created in the first place. Fraud is one of the most common things that accounts payable teams have to deal with. For bigger businesses, they deal with fraud on a daily business. Several AP solutions have been put in place within companies to prevent them from being a major issue.
Through AP solutions, you are presenting your accounts payable team with less headaches. You are also reducing the risk involved with processing payments due to frauds being more and more detectable.
How It Deals With Payroll Fraud
Gone are the days when an employee would ask their buddy to punch them in even though they did not work the hours punched. Through AP solutions, you are preventing the loss of money through payroll fraud. There are other ways that employees used to do payroll fraud even with the modernization of payroll systems. With reliable AP software, you are reducing this risk.
How It Deals With Payment Fraud
While payroll fraud is the most common fraud done within a business, payment fraud is the most common fraud done from the outside. It comes in many forms and uses different tactics. Nowadays, the more common payment fraud is through the use of a stolen credit card. A close second is check fraud.
To prevent these types of payment frauds, multiple accounts payable solutions have included authentication and verification processes that have to be passed before a payment is processed. When there is a red flag such as an identity that can’t be confirmed, then additional identifying mediums are asked for which may require manual input from an employee.
Although they may be time loss due to the need for additional information, at least it prevents the business from going through the trouble of having to pay fees or going through with legal actions just to clear this particular case of fraud.
It Provides Seamless Access to Information
Various accounts payable solutions provide businesses with access to information that would prove to be too complicated to access when recorded in paper form. When you archive the data that you gather through electronic payments, you are making them available for your computer to search. Countless lines of information are browsed easily.
With the information that you are provided with, you are able to scout manually for frauds that may have gone through. Not all scenarios are covered by AP solutions no matter how updated they are. Thieves are always coming up with ways to find cracks and go through them. When you have the information available in front of you, you are able to do the search on your own.
Not only does having AP solutions prevent fraud, you are also giving yourself added security overall by not having physical copies of information regarding your business. When your information is secured, you don’t have to keep looking over your shoulder and worry about internal fraud.
Accounts payable solutions does not only make life easier for everyone at work but also helps you get rid of fraud. Nexus Systems is a trusted P2P application provider. Contact us for more info.