Be Aware of Scams Targeting Small Businesses

At Kabbage, we’re committed to helping alleviate obstacles facing small businesses. This includes everything from providing a fast and automated loan application process to helping educate customers on cybersecurity matters that can lead to financial distress.

Small businesses are the target of nearly two-thirds of all cybersecurity threats. Be vigilant against suspicious requests you may receive! Here are a few techniques fraudsters may use to target your company.

Requests for a wire transfer in order to receive loan approval

Small businesses have reported instances of cybercriminals impersonating their bank, lending company or other trusted sources.  In some cases, the fraudster requests a wire transfer deposit before the approval of a loan application. Kabbage will never ask for a deposit in advance to apply, qualify, or access a Kabbage® loan. If you have received this type of communication, you can email us at or call us directly at 888-986-8263.

Updates to banking information

The FBI has reported fraudsters posing as an employer’s Human Resources team, asking for updated direct deposit information. Employees may be redirected to websites that look and feel like a trusted site, instructing them to submit sensitive information such as account details or login credentials.  Employees should always contact Human Resource before providing bank information.

Targeting of employees during tax season

The IRS warns of scammers stealing customer data from tax accountants’ servers in order to file false tax returns that use the taxpayer’s bank account. In other instances, debt collectors call the taxpayer suggesting their tax return was filed in error and ask for direct payment.

A few ways to ensure you or your employees don’t fall victim include:

  • Never share sensitive information over email.
  • If redirected to a suspicious site, evaluate the URL in the browser. Ensure it has a “lock” symbol on the left or cross-reference it with the homepage of the company you trust.
  • Verify the request with your company or the personnel being impersonated, calling is best.

For more information about protecting your small business, please read more here:

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