Key Takeaway
- The Threat: AI supercharges a fraudster’s ability to fabricate convincing business identities, invoices, and documents.
- The Tactic: Scammers blend real and fake data—known as synthetic fraud—to impersonate trusted companies or create entirely false ones.
- Your Defense: Strengthen internal verification procedures and maintain vigilant oversight of financial transactions.
- What to Do Now: Verify vendors, require dual approval for payments, and train your staff to spot red flags.
Introduction: The Invoice That Wasn’t
In recognition of Cybersecurity Awareness Month this October, New Omni Bank encourages business owners to stay alert to the latest digital threats — including AI-powered synthetic fraud.
It started with a simple invoice — nothing unusual. The logo matched the supplier’s, the formatting looked familiar, and even the contact name was correct. The accounts payable team processed the payment as usual.
A week later, the real supplier called, confused. They hadn’t sent an invoice at all.
This type of incident is becoming increasingly common. Fraudsters now use artificial intelligence (AI) to generate realistic fake documents, emails, and even company websites. These scams are no longer filled with obvious typos or broken English — they are polished, personalized, and professional.
Welcome to the age of synthetic business fraud, where deception meets technology.
What Is Synthetic Fraud?
Synthetic fraud occurs when criminals mix real data — such as business registration numbers, names, or addresses — with fabricated details to create a convincing identity.
In the past, these scams were crude and easy to spot. But with modern AI tools, fraudsters can now:
- Reproduce official letterheads and logos.
- Generate realistic business documents and emails.
- Create fake LinkedIn or website profiles to appear legitimate.
The goal? To impersonate trusted vendors or partners — long enough to request funds, steal data, or access your systems.
How AI Amplifies the Risk
AI has become a powerful enabler for financial crime because it can scale deception faster and more precisely than humans ever could.
Fraudsters now use AI to:
- Generate fake invoices that mirror real ones down to formatting and tone.
- Manipulate documents or signatures with generative image tools.
- Automate phishing emails that mimic your own writing style or corporate tone.
- Build synthetic business identities using scraped public data and AI-generated photos or names.
Unlike traditional fraud, which often relies on human error, synthetic fraud powered by AI thrives on speed and precision — flooding inboxes and finance teams with believable requests.
Why Small Businesses Are Prime Targets
Large corporations have sophisticated fraud detection systems, but small and mid-sized enterprises (SMEs) are often more vulnerable.
Scammers know smaller teams rely on trust and routine — and that manual verification can lag behind.
Common entry points include:
- Vendor onboarding forms.
- Email requests to update payment details.
- “New account” notifications that look official.
- Loan or credit applications made under a company’s name.
A single fraudulent transaction can create financial losses and damage supplier relationships.
Five Steps to Protect Your Business
1. Double-Verify Vendor Information (Call, Don't Reply)
Before sending funds or changing account details, confirm the request directly with your known contact — not through email. Call the number listed on file, not the one in the message.
2. Enforce Dual-Approval for All Transfers
Implement internal controls so that no single employee can both initiate and release a payment. In New Omni Bank’s Business Online Banking platform, one authorized user can prepare a wire or ACH, while another must review and approve it before the transaction is sent.
For an added layer of protection against check and ACH fraud, we also recommend enabling Positive Pay on your business checking accounts. This service automatically matches all issued payments against your pre-approved list. You can then review and approve or decline any exceptions—helping to prevent altered, duplicate, or fraudulent transactions before they clear.
3. Monitor your company’s credit and registration records.
Check business credit reports and Secretary of State filings regularly. If someone opens a loan or registers a company under your name, you’ll catch it early.
4. Train employees to spot red flags.
Hold short, practical sessions to show real examples of fake invoices, AI-written emails, and urgent transfer scams. Awareness is your strongest first line of defense.
5. Keep digital access secure.
Use multi-factor authentication and update passwords regularly — especially for email and accounting systems. Many business payment frauds begin with compromised inboxes.
How New Omni Bank Helps Safeguard Your Business
At New Omni Bank, we understand that protecting your business means more than monitoring transactions — it’s about partnership and education.
Our fraud-monitoring systems flag unusual payment patterns and verify wire instructions before funds are released. Relationship bankers are trained to detect anomalies and will reach out immediately if something appears out of pattern.
We also recommend enabling Positive Pay on eligible business accounts—an added layer of protection that helps you review and deny suspicious checks and ACH payments before the funds leave your account.
Your business deserves a banking partner that’s as vigilant as you are.
Closing Thought
AI is transforming the way we do business — and, unfortunately, the way criminals commit fraud. But awareness, verification, and strong banking partnerships can keep your company steps ahead of deception.
Protecting your business starts with staying informed — and verifying before you trust.
The information provided in this blog is for general informational purposes only and should not be considered legal, financial, or investment advice. All content is subject to change without notice. Please consult with a qualified professional or contact New Omni Bank directly for personalized guidance or the latest product information.
