April 18, 2020
Fuel is one of the biggest expenses for a company with vehicles used for business. Fuel fraud can siphon money and time you can’t afford from the business. The good news is, fuel cards can help you prevent fraud.
Fuel fraud is a catch-all term that includes both fuel card fraud and fuel theft. Companies can fall victim to internal fuel fraud, for example, when drivers steal gas or use fleet cards to buy food or cigarettes. This fraudulent activity is known as “slippage.”
Companies can also fall victim to external fuel fraud — for example, misuse of lost or stolen cards, data breaches, and phishing scams (stealing card information online). Skimming is also a threat; that is, when thieves install software or hardware designed to steal card information from payment terminals and bank machines.
Watching for the right red flag and implementing fuel theft solutions can help you stop this costly fraud — possibly before it starts.
It’s not always glaringly obvious when fuel fraud is occurring, so it pays to introduce regular monitoring controls. Keeping a watchful eye on expense trends can help catch fuel fraud early, before perpetrators have a chance to rack up extensive charges.
Monitor your business data for these signals that can tip you off to fuel card fraud, fuel theft, and other issues:
As a small business owner or fleet manager, it can be tricky to spot trends early if you rely on paper receipts and log books. A fuel card program’s back-end reporting and analytics make it easy to run reports, spot fueling anomalies, and take swift action to stop fraud. Many fuel card programs include real-time monitoring and alerts; plus, you’ll have the ability to turn cards on and off immediately from your desktop or a mobile app.
While it’s important to know how to spot fraud, it’s best to prevent fuel fraud before it happens. Prevention saves you money, and helps you avoid the hassle of dealing with the aftermath of fuel card fraud.
Fortunately, fuel cards offer controls and fuel theft solutions that will allow you to crack down on fuel fraud before it happens. Here are six steps you can take to prevent fuel fraud in your business:
Every credit card holder is at risk for fraud, but a business with vehicles assets, faces a higher risk of becoming a target, especially when employee expenses are involved. A fuel card program offers protection, control, and oversight that may stop your business from falling victim to fuel fraud.