Fraud Trends & Payments: What Every Business Needs to Know in 2026

Angela Barahona,
FVP, Commercial Cash Management, Country Bank

Fraud has always been a challenge for businesses, but the pace and sophistication of today’s threats are unlike anything we’ve seen before. As payment technology advances, so do the tactics used by criminals. For many businesses, this shift has created new vulnerabilities — but also new opportunities to strengthen financial operations.

At Country Bank, we work closely with local businesses navigating these challenges. What we’re seeing is clear: fraud prevention is no longer a back-office function. It’s a strategic priority.

“Fraudsters innovate as fast as the payments industry does. Our job is to help businesses stay one step ahead with layered controls, education, and modern payment tools.” — Angela Barahona, FVP, Commercial Cash Management

Staying ahead means closely monitoring emerging threats and how known risks continue to evolve. Here are some of the most significant issues we’re seeing right now.

The Most Significant Fraud Trends of 2026

1. Check Fraud Remains the Most Common Threat

Even as digital payments grow, checks continue to be the payment method most frequently targeted by criminals. Consider these findings:

• 58% of organizations reported check fraud attempts in 2025
• Mail theft and check washing are increasing
• Criminals often target small and mid-sized businesses with predictable payment cycles

As check fraud attempts continue to affect businesses—and check washing tied to mail theft continues to rise—it’s important to treat this as an evolving risk that calls for strong prevention strategies. For many organizations, reducing check usage can be one of the most effective ways to help lower exposure.

2. Business Email Compromise (BEC) Is Becoming More Advanced

BEC attacks have evolved far beyond simple phishing emails. Fraudsters now use:

• AI generated messages
• Deepfake audio mimicking executives
• Spoofed vendor invoices and payment instructions

Business Email Compromise (BEC) was already a serious threat, and AI is making these attacks faster to create, easier to personalize, and more scalable. Messages that appear legitimate can now be even more convincing, making it increasingly important for organizations to stay alert.

Because these attacks are designed to influence behavior, they can be more effective at slipping past traditional email security measures. Ongoing awareness, strong internal controls, and proactive risk management remain essential.

3. Fake Payment Portals and Credential Theft

To steal users’ identities and login credentials, criminals are creating convincing replicas of:

• Online banking login pages
• Vendor payment portals
• Invoice payment links

Once user credentials are captured, unauthorized transactions can occur within minutes. This makes it even more important to prevent these attacks from happening because mitigation is often more difficult after the attack.

4. ACH Fraud Attempts Are Increasing — But Highly Preventable

ACH remains one of the most secure payment methods, but criminals are attempting:

• Unauthorized debits (payment being initiated without proper approval)
• Account takeover
• Manipulated vendor instructions

While new rules have recently been introduced to help detect credit-push fraud more effectively, ongoing monitoring and vigilance remain essential as threats continue to evolve. The threat from fraud changes quickly, and scammers very often adapt faster than static controls can keep up.

For many businesses, prevention starts with a layered approach. Tools like ACH filters, blocks, and dual control workflows can significantly reduce exposure.

A Local Success Story: Reducing Fraud Risk Significantly

A Central Massachusetts manufacturer approached Country Bank after experiencing repeated check fraud attempts. Their AP team was spending hours each week resolving issues and reissuing payments.

We helped them:

• Transition recurring vendor payments to ACH
• Implement Positive Pay
• Establish dual control approvals
• Train staff on Business Email Compromise red flags

Since then, fraud attempts have declined significantly, and the business has regained valuable time and confidence in its payment processes. With fewer threats to manage, the team can spend less time responding to fraud and more time focusing on day-to-day operations.

Why This Matters for Businesses in 2026

Fraud isn’t just a financial threat — it’s an operational one. A single incident can disrupt payroll, delay vendor payments, and strain customer relationships.

Businesses that modernize their payment processes benefit from:

• Greater security
• Faster reconciliation
• Improved cash flow visibility
• Reduced administrative burden
• Lower overall payment costs

Fraud prevention is most effective when paired with a cash management strategy built around your business’s day-to-day needs. Reach out to our team for personalized service and tailored solutions that can help you improve payment security and cash flow visibility.