Wire transfer fraud rose 9% globally from December 2022 to December 2023. Along with other countries, Aussie finance teams—big or small—are frequent targets, along with personal fraud, facing fake emails, account changes, and payment scams. It’s a growing threat that hits beyond just the major banks.
That’s where a wire transfer fraud prevention MSP can step in and prevent wire transfer fraud and phishing in finance. They detect fraud through different advanced fraud detection systems. After that, they help you avoid fraud through MFA, encrypted communication, callback verification protocol, and more.
Let’s break down how MSPs help with wire transfer fraud prevention and phishing defence—without getting too technical.
1. Different Attempts at Wire Transfer Fraud
Cybercriminals have gotten smarter. They use multiple tactics and types of attempts to commit wire transfer fraud.
In 2022, scammers stole $3.1 billion from Australians, where wire transfer/bank transfer fraud was one of the top reasons. It was a huge 80% increase in losses compared to 2021.
To ensure wire transfer fraud detection, you need to understand the types of fraud scammers attempt. The following are the most common scams Aussie businesses are seeing:
1.1. Business Email Compromise (BEC)
Scammers break into or spoof an email from someone inside your business (a high-level executive, often a manager or supplier) and request a payment to a fraudulent account. The scammer often uses social engineering to scam the individual.
It looks real. The wording matches. And payments go through before anyone realises. The BEC alone caused a $55 billion scam from October 2013 to December 2023.
1.2. CEO Fraud
This fraud is also called executive impersonation. A scammer pretends to be your CEO or CFO and asks staff to urgently wire funds. It usually happens when the boss is away or out of reach.
1.3. Vendor Invoice Scams
Attackers send fake invoices that look like they’re from real suppliers, but with different bank details. If no one double-checks, you’ll be paying a criminal instead of your vendor.
1.4. Unauthorised Account Takeover
The cybercriminals hack your bank account credentials or illegally access your credentials and then initiate unauthorised wire transfers.
1.5. Phishing Attack
Like BEC, attackers pretend to be someone trusted and lure the targeted person to share finance and other data through phone calls, text messages, websites, downloading malware and so on.
Phishing attacks are alone responsible for 15% of total data breaches worldwide.
1.6. Real Estate Fraud
Real estate wire fraud is another big type of wire fraud. Criminals intercept property settlements and replace bank details.
Or they trick buyers or agents into sending large payments to the wrong account.
This year in Australia, 288,604 individuals reported real estate scams to the ACCC’s Scamwatch division. They report a total loss of $330.2 million to the scammers.
2. How MSPs Prevent Wire Transfer Fraud and Phishing in Finance
MSPs (Managed Service Providers) use a mix of automated tools, real-time monitoring, and intelligent analytics to catch suspicious activity before it becomes a problem. They don’t just rely on antivirus software or firewalls—they build a full setup focused on financial protection.
Here’s how they proceed to prevent wire transfer fraud and phishing in your financial system.
2.1. MSP Implements Real-Time Financial Transaction Monitoring Tools
MSPs monitor your transactions in real time using real-time transaction monitoring tools.
These tools continuously track all financial activities—payments, account changes, logins, and more that you have already set.
If a transaction doesn’t match your usual patterns (like sending money to a new country or outside business hours), it triggers an alert.
Example: “Flag all payments over $10,000,” or “Alert if a new vendor is paid within 24 hours of being added.”
The technology they use includes:
- SIEM (Security Information and Event Management) systems like Splunk, LogRhythm, IBM QRadar, Google Security Operations, etc.
- Custom financial monitoring dashboards designed for your ERP or accounting system
- Anti-fraud modules in NetSuite, SAP
- Live alerts via email, SMS, or a secure portal
2.2. MSP Implements Anomaly Detection Systems With ML and AI
An anomaly detection system is an autonomous system powered by artificial intelligence (AI) and machine learning (ML). Unlike real-time transaction monitoring, which works on a pre-set profile, it creates a profile for usual behaviour.
The profile is continuously being developed with AI and ML to understand your business’s normal behaviour and established patterns, such as usual payment times, transaction sizes, login locations, and employee activity.
When something doesn’t fit the pattern, it gets flagged instantly.
For example, suppose an accountant sends $90,000 to a new vendor overseas, right after changing bank details via email. In that case, the system identifies the behaviour as suspicious, even if the payment itself looks valid.
These tools don’t just follow rules. They adapt and improve constantly, spotting patterns that humans or basic monitoring systems often miss.
Technology used:
- AI tools like Darktrace, CrowdStrike Falcon, or Microsoft Defender for Cloud
- Machine learning fraud detection APIs (e.g., Azure Fraud Protection, Google Cloud AI)
- Behavioural analytics in Microsoft 365 Defender, Google Workspace Alert Center
- Third-party fraud platforms like Feedzai, DataVisor, or SAS Fraud Management
- Built-in ML fraud modules in NetSuite, SAP, or Xero
- Custom ML models running on platforms like AWS Lambda
2.3. MSP Implements Phishing Mitigation Strategies
MSPs use phishing mitigation strategies to block scam emails before you even see them.
They set up email filters using tools like Proofpoint, Mimecast, or Microsoft Defender for Office 365. These scan every email for dodgy links, fake senders, spam, and dangerous attachments.
MSPs also enforce (Domain-based Message Authentication, Reporting & Conformance DMARC), SPF, and DKIM settings to stop email spoofing.
If something slips through, advanced tools like Barracuda or Google Workspace Alert Center flag it for review.
This strategy keeps dangerous emails out and reduces your risk of business email compromise (BEC), CEO fraud, and vendor invoice scams before anyone clicks a link.
2.4. MSP Applies Multi‑factor Authentication (MFA)
You’ve probably used this with your bank. MSPs apply it across your systems, so even if a scammer gets your password, they can’t get in without the second code (like a text or app approval).
2.5. MSP Uses Dual Control Procedures
MSPs use dual control procedures to stop fake or risky payments. It means two people must approve every wire transfer, not just one.
For example, someone in finance starts the payment, but a manager has to review and approve it before the money is sent. This helps catch mistakes or fraud attempts, like if a scammer tricks one employee.
It’s a simple way to ensure no single person can move money alone. MSPs set this up in your payment system or accounting software so it happens automatically every time.
MSP also sets the segregation of duties. This forms teams so that no one person can set up a new vendor and also pay them. It reduces fraud risk massively.
2.6. MSP Establishes Encrypted Communications
Your Managed It Service Provider ensures every message and file sent between team members is locked with encryption. Even if a hacker intercepts it, they can’t read it.
2.7. They Implement the Call‑back Verification Protocol
When a new vendor or bank account is added, MSPs ensure your team calls and confirms the request verbally using a known contact, never just by email.
2.8. MSP Trains People to Spot the Tricks
Let’s be real—did you know that 95% of data breaches happened in 2024, somehow connected to human error? That’s why security awareness training matters just as much as fancy tech.
MSPs run short sessions that teach your team how to:
- Spot fake emails, texts, phone calls, etc.
- Handle urgent payment requests
- Confirm identity before making changes
- Report anything suspicious—without delay
Even your most competent staff can get caught out if they’re tired, rushing, or just unaware. Training by MSP makes your staff reliable so that they won’t make any emotional or technical mistakes unknowingly.
3. Urgent Actions MSP Takes When Something Slips Through
If you do get targeted, your MSP already has a plan. They follow an incident response playbook to contain the damage, trace the issue, and prevent it from happening again.
This includes:
- Locking down compromised accounts
- Notifying banks immediately to freeze the transaction
- Logging what happened and how
- Updating your policies and tech to close the gap
Good MSPs will handle this without blaming staff. The goal is to learn, not point fingers.
4. Things to Keep in Mind for Your Financial Transaction
Here is a quick list of do’s and don’ts for your financial transactions.
- Verify requests: Always double-check payment requests by calling a known number and speaking to someone you trust.
- Use secure methods: Talk about sensitive info using encrypted emails or secure messaging apps.
- Educate your team: Keep yourself and your staff updated on how scammers work and what to watch for.
- Don’t rush decisions: Take your time to check if a wire transfer is real—if it feels off, it probably is.
- Don’t trust random messages: Be careful with unexpected calls, texts, or emails—even if they look legit.
- Don’t share private info: Never send passwords or bank details over email or text.
- Don’t ignore red flags: Watch for signs like urgent language, weird email tone, or changed bank info.
- Don’t use public Wi-Fi for money matters: Avoid logging into bank accounts or making payments on public networks.
Final Thought
The best way to avoid wire fraud is to work with experts who know how to stop it. A wire transfer fraud prevention MSP protects your money, staff, and reputation with tools like fraud detection, MFA, dual control, and email spoofing defence. They also train your team to spot scams early.
If you manage payments or run a finance-heavy business, it’s time to talk to an MSP. At ITTechBox, we take care of your wire security from end to end. Contact us today—your peace of mind is our priority.
