Controls & Fraud
To be successful, a Purchasing Card program must have effective controls to prevent and detect card fraud. The challenge is striking the right balance; you do not want to over- or under-control a program. Too many controls are costly, impacting the process savings inherent to P-Cards, while a lack of effective controls puts your organization at risk. Key components of a controls foundation include the following. The first 9 link to additional information.
“Balanced” card controls (e.g., spend limits, velocity limits)
Strong internal agreement, signed by both cardholders and their managers
Regular auditing, both transaction audits and process audits
Program reporting
Related Resources
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Podcast
Why Audit P-Card Controls, hosted by AP Now and featuring Recharged Education’s Lynn Larson
Blog Posts on Fraud Incidents
Includes tips you can use
Recommended ACFE Resource
Report to the Nations on Occupational Fraud and Abuse by the Association of Certified Fraud Examiners (ACFE)
Available for Purchase
P-Card Risk Assessment Template
The template includes nine worksheets, covering nine broad topics, for a program manager to complete. In all, there are more than 100 questions, providing a robust evaluation of P-Card controls. Learn more...
Scams Against Individuals
Podcasts on Zelle Scams/Fraud
Recharged Education’s Lynn Larson has been interviewed for various AP Now podcasts pertaining to Zelle. Access the podcasts via the playlist: https://www.youtube.com/playlist?list=PLtL6rWSXZ-HfUUlK4BpKlaQSFWAXb8nMQ.