In Focus – SCCCU Blog

The holiday season brings more than decorations, sales, and end-of-year momentum. It also brings a predictable spike in scams targeting small businesses. Fraudsters know teams are busy, transactions are increasing, and routines are changing. That combination creates an opportunity if safeguards are not in place.

The good news is this: Most holiday scams rely on speed, distraction, and assumption. With a few forward-thinking habits and simple controls, you can reduce your risk significantly and keep your business focused on finishing the year strong.

Why Scammers Love the Holidays

Businesses process more invoices, ship more packages, hire seasonal help, and communicate with vendors more frequently, which creates noise. And fraud hides best in noise.

Holiday scams are rarely sophisticated. They are effective because they look familiar. A fake invoice that resembles a real vendor. A shipping notice is sent when packages arrive, or an urgent email requesting payment, while your team is juggling deadlines and year-end tasks.

Understanding that timing is the weapon helps you stay alert without becoming anxious.

The Most Common Holiday Scams Targeting Businesses 

While fraud tactics evolve, a few show up every year:

• Fake invoices and payment requests. Scammers send invoices that look routine and pressure someone to pay quickly. They may reference supplies, software renewals, or seasonal services.
• Phony shipping notices. With increased deliveries, fake emails or texts claim a package is delayed or needs verification. Clicking the link can lead to credential theft or malware.
• Vendor impersonation. Fraudsters pose as a known vendor and request updated payment information. One small change can reroute future payments directly to a scammer.
• Gift card and wire fraud. An email that appears to be from an owner or executive asks an employee to urgently purchase gift cards or send a wire transfer. These messages rely on authority and urgency.

Smart Habits That Lower Your Risk

You do not need complex systems to reduce holiday fraud risk. Consistent habits make the biggest difference:

• Slow down payment approvals. Urgency is a scammer’s favorite tool. Build in a short pause for any payment request that feels rushed, unexpected, or slightly off.
• Verify changes verbally. Any request to change payment details should be confirmed using a phone number already on file. Never use contact information provided in the request itself.
• Limit who can move money. Fewer people with payment authority means fewer opportunities for mistakes. Clearly define roles and approval thresholds.
• Keep software updated. Security updates close known vulnerabilities. Running updates before the holiday rush helps protect against common attacks.
• Separate duties when possible. The person who approves payments should not be the same person who initiates them. Even small teams can add a second set of eyes.

Train Your Team Without Overwhelming Them 

Your employees are your strongest defense when they know what to watch for. Training does not need to be long or technical. Share short reminders about common holiday scams and encourage employees to speak up if something feels off. Make it clear that asking questions is always better than acting fast and regretting it later.

A supportive culture reduces mistakes. Fear and pressure increase them.

Watch for Micro-Fraud

Holiday fraud is not always loud or urgent. Some of the most damaging scams are quiet. Small recurring charges, duplicate subscriptions, and low-dollar fees can slip through during busy months. Review statements regularly and question anything unfamiliar. A few unnoticed charges can add up quickly. It might be wise to assign someone to review accounts weekly during high volume periods.

Build Security into Your Year-End Planning 

The holidays are a perfect time to strengthen habits that carry into the new year. Here are a few things to consider:

• Review your payment processes.
• Update internal contact lists.
• Confirm vendor information.
• Schedule a fraud check-in for January when things slow down.

Fraud prevention is not about paranoia. It is about awareness and preparation.

Confidence is Your Best Defense 

Scammers succeed when businesses feel rushed or uncertain. Confidence comes from knowing your processes, trusting your team, and verifying before acting. Protecting your business from holiday scams does not require expensive tools or complicated systems. It requires attention, communication, and the willingness to pause.

When you stay proactive, the holidays remain what they should be. A time to celebrate progress, serve customers well, and head into the new year with momentum and peace of mind.