Goering Center for Family and Private Business

Member Newsletter Submission from First Financial Bank

March 20, 2026

500-550 Words

The Enemy Offensive: Playing Defense Against Fraudsters

Fraud is an ever-evolving risk, especially as artificial intelligence (AI) makes cybercriminals more sophisticated. According to the Association for Financial Professionals, 80 percent of organizations experience payments fraud each year. In 2024 alone, the FBI recorded $16 billion in fraud losses—a one-third increase from the previous year.

Common Fraud Tactics

It is useful for business owners to know about some of the trending scams and how AI can add to the threat. While AI itself is not fraudulent, it is a powerful tool for scammers. Criminals can gather personal data, predict passwords, draft convincing phishing emails, and generate undetectable malware, all using AI.

Under social engineering schemes, scammers impersonate trusted contacts, including IT or bank representatives, to trick employees into sharing sensitive credentials. AI can train imposters to pose convincingly, making these attacks harder to spot.

With phishing attacks, fraudulent emails or texts appear to be from familiar contacts. These messages encourage recipients to click links that lead to stolen data or malware downloads.

And some of the tricks have been around for a while, such as payment fraud, in which bad actors intercept or alter physical checks and steal account numbers.

Defense Strategies for Businesses

A good defense starts with education. Human error is still blamed for 95 percent of breaches, so fostering awareness is critical. Teach staff about the latest fraud tactics and emphasize protection of login credentials. Train them that urgent, unexpected requests—even from familiar contacts—should be treated with caution.

Review access regularly. Audit access credentials and sensitive accounts annually, catching small irregularities before they become bigger problems. Update security systems, keeping software and firewalls current to block known vulnerabilities. Establish payment policies with strong approval and validation procedures, including a requirement for more than one person to approve high-risk requests or payments. Double-check any new or changed payment instructions with contacts at your vendors, using known communication channels. And take extra steps to confirm out-of-the-ordinary payment or information requests.

Look into electronic payments to reduce risks associated with paper checks.

It’s also a good idea to seek expert help to periodically assess your environment for vulnerabilities. Fraud prevention should be an ongoing process, so stay up to date with fraud prevention technology and review insurance coverage periodically.

If You Become a Victim of Fraud

Considering the growing number of companies impacted by fraud, it’s important to have a plan in place. Prepare clear steps and test your Incident Response Plan with both internal and external experts. Define team roles, escalation procedures and playbooks for specific fraud scenarios.

With the plan in place, take alerts seriously, and monitor systems for irregular activity. When something happens, disconnect compromised systems, scan for additional threats, and contact your bank, law enforcement or the FBI immediately. Document the incident for possible insurance claims.

Further Resources

It’s a lot to take in, but even starting with a few of these steps can put business owners on the path to stronger security.

First Financial Bank is committed to equipping our clients and communities with strategies to prevent, recognize and respond to fraud. As a financial partner for our clients, we aim to share information to help strengthen your fraud defenses. Visit First Financial’s Fraud Awareness page and our Fraud & Online Safety Resource Center for comprehensive tips and industry updates.

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