How SWIFT payment messaging fraud works and How it Affect SMEs
How SWIFT Payment Messaging Fraud Affects SMEs and Bank Transfers: Prevention and Protection In March 2019, the Reserve Bank of India fined 19 banks for failing to sufficiently strengthen internal controls against SWIFT messaging fraud risks, highlighting the vulnerabilities within the financial system. While SWIFT is primarily used by banks and large corporations, SMEs (small and medium-sized enterprises) often interact with these institutions for international transactions and can still be affected indirectly by SWIFT-related fraud. Understanding these risks and knowing how to protect their own operations is crucial for SMEs. Understanding SWIFT Messaging Fraud and Its Implications for SMEs SWIFT (Society for Worldwide Interbank Financial Telecommunication) is a network that enables secure international financial transactions between its members. Even though SMEs do not directly use SWIFT, they rely ...