The bank is implementing a new self-service "fraud hub," which will let SMBs set alerts for unusually large payments, controlling who can get paid. The bank already has a system in which customers can call and ask for payment controls, but the new hub will supplement that, Reuters reported.
Fraud has particularly been an issue during the pandemic, with increased cases sprouting up since March as fraudsters feed off the confusion and disarray of the world's scramble to adapt to the new reality. Since August, PYMNTS reported, the Federal Trade Commission (FTC) has tracked 184,000 cases related to the pandemic.
J.P. Morgan executives told Reuters that the four in five businesses that were targeted by payment fraud attempts in 2019 could have an even better way to fight it with more tools to detect illicit payments. Jennifer Roberts, CEO of Chase Business Banking, said fraud is "a major concern and can be devastating for businesses.”
“We want to provide them with safeguards that are easy to set up and customize for their transactions," she said, according to Reuters.
The bank is also offering a new "safety meter" in the customer account dashboard, which will allow for visibility on how well a business did in setting up safeguards against fraud, Reuters reported.
Banks have been encouraging fraud protection for years, since the implementation of paper checks — and many B2B payments are still made that way. But there are also new digital ways of paying that require stronger fraud checks, according to Jennifer Barker, a wholesale payments executive with J.P. Morgan.
Fighting fraud attempts, according to PYMNTS, will come from stronger authentication for every transaction, particularly for those more at risk.