Automotive News - September 25, 2017 - Supplement - S7

You protect your car lot
THEN WHY NOT YOUR COMPUTERS?
Many businesses wait

he first step in preventing fraud through the computer
system of your dealership is starting the conversation and
to address cybersecurity
making a plan.
until after their systems
Many businesses wait to address cybersecurity until a er
their systems have been compromised or they lose money to a
have been compromised
fraudster. "O en businesses are more reactive than proactive,"
or they lose money to a
says Harry Curtis, Treasury Sales Executive for Dealer Financial
Services at Bank of America Merrill Lynch. "They wait to do
fraudster.
something until they have a problem or hear about fraud at
another dealership."
Given the increase in fraudulent activities, Curtis recommends that a dealership should deem
creating a cybersecurity plan as important as installing an on-site security system on the lot.
"It helps to have a conversation with someone who has experience with the sorts of problems
your company might encounter - who can ask the right questions and help prioritize the risks,"
Curtis says. No one plan is right for every dealership; specific advice might come from a financial services company or a security advisory firm. Here are some starting points to consider.

.............................

It helps to have
a conversation
with someone
who has
experience with
the sorts of
problems your
company might
encounter.

.............................

FRAUD PREVENTION CHECKLIST

Fraud is a growing threat to dealerships. Follow these suggestions to protect your business, assets and employees.
1. DEVELOP A COMPREHENSIVE PLAN
n Create and document a sound internal process for financial transactions.
n Collaborate with all departments and your bank to communicate and enforce the plan across your dealership.
n Have your IT department enact technology protections, including installing an actively managed firewall and regularly
updating antivirus so ware.
n Find solutions to protect against check, wire, automated-clearing-house and point-of-sale fraud.
2. EDUCATE YOUR TEAM
n Train employees regularly in fraud prevention best practices.
n Explain to employees what a fraud threat looks like and what the consequences can be.
n Remind staff constantly to not open any suspicious emails or attachments - and to ask for help if unsure.
n Educate yourself continually about emerging threats and trends, through webinars, news stories and websites.
n Update the staff about new fraud threats and share stories about successful fraud prevention efforts.
3. ESTABLISH FINANCIAL CONTROLS
n Require two approvals to initiate and approve financial transactions, create user accounts and change entitlements.
n Limit access to payment systems to only those functions that each employee needs.
n Limit vendor access to data and information.
n Remove system access and entitlements promptly when an employee leaves the company.
n Prohibit staff from using personal devices to conduct the dealership's financial transactions.
n Verify any large transactions with a second communication, such as a phone call, in addition to an email message.

Harry Curtis, Treasury Sales
Executive for Dealer Financial
Services at Bank of America
Merrill Lynch

Table of Contents for the Digital Edition of Automotive News - September 25, 2017 - Supplement