Bait Record

A A A

DEFINITION

An internal control used in accounting to detect fraud and improper usage. Bait records are planted in computerized files so that if the files are improperly accessed, it will be possible to track who accessed them. Bait records get their name because the parties intent on fraud and misuse are tempted to "take the bait."

INVESTOPEDIA EXPLAINS

For example, financial services firms are often the target of "phishing" email attacks from hackers and criminals looking to perpetrate identity theft. Bait records - consisting of fictional identities - planted in the firms' databases may enable law-enforcement agencies to better track who may be committing such fraud.


RELATED TERMS
  1. Identity Fraud Reimbursement Program

    A financial product that offers reimbursment for the costs associated with having ...
  2. Spoofing

    A type of deception where an intruder attempts to gain unauthorized access to ...
  3. Identity Theft

    The crime of obtaining the personal or financial information of another person ...
  4. Skimming

    An electronic method of capturing a victim's personal information used by identity ...
  5. Phishing

    A method of identity theft carried out through the creation of a website that ...
  6. Earnings Per Share - EPS

    The portion of a company's profit allocated to each outstanding share of common ...
  7. Billing Cycle

    The interval of time during which bills are prepared for goods and services ...
  8. Amortization

    1. The paying off of debt in regular installments over a period of time. 2. ...
  9. Price-To-Cash-Flow Ratio

    The ratio of a stock’s price to its cash flow per share. The price-to-cash-flow ...
  10. Black Market

    Economic activity that takes place outside government-sanctioned channels. Black ...
Related Articles
  1. 5 Horrific Things That Can Haunt Your ...
    Budgeting

    5 Horrific Things That Can Haunt Your ...

  2. Identity Theft: How To Avoid It
    Insurance

    Identity Theft: How To Avoid It

  3. Identity Theft: Who To Call For Help
    Credit & Loans

    Identity Theft: Who To Call For Help

  4. What is a
    Investing

    What is a "phishing scam" and how can ...

  5. Credit Scams To Watch Out For
    Insurance

    Credit Scams To Watch Out For

  6. An Introduction To The CMA Designation
    Professionals

    An Introduction To The CMA Designation

  7. How The Sarbanes-Oxley Era Affected ...
    Fundamental Analysis

    How The Sarbanes-Oxley Era Affected ...

  8. What are the dangers of using the Electronic ...
    Taxes

    What are the dangers of using the Electronic ...

  9. The Biggest Stock Scams Of All Time
    Investing

    The Biggest Stock Scams Of All Time

  10. Invest Like Madoff - Without The Jail ...
    Options & Futures

    Invest Like Madoff - Without The Jail ...

comments powered by Disqus
Hot Definitions
  1. Degree Of Financial Leverage - DFL

    A ratio that measures the sensitivity of a company’s earnings per share (EPS) to fluctuations in its operating income, as a result of changes in its capital structure. Degree of Financial Leverage (DFL) measures the percentage change in EPS for a unit change in earnings before interest and taxes (EBIT).
  2. Jeff Bezos

    Self-made billionaire Jeff Bezos is famous for founding online retail giant Amazon.com.
  3. Re-fracking

    Re-fracking is the practice of returning to older wells that had been fracked in the recent past to capitalize on newer, more effective extraction technology. Re-fracking can be effective on especially tight oil deposits – where the shale products low yields – to extend their productivity.
  4. TIMP (acronym)

    'TIMP' is an acronym that stands for 'Turkey, Indonesia, Mexico and Philippines.' Similar to BRIC (Brazil, Russia, India and China), the acronym was coined by and investor/economist to group fast-growing emerging market economies in similar states of economic development.
  5. Pension Risk Transfer

    When a defined benefit pension provider offloads some or all of the plan’s risk – e.g.: retirement payment liabilities to former employee beneficiaries. The plan sponsor can do this by offering vested plan participants a lump-sum payment to voluntarily leave the plan, or by negotiating with an insurance company to take on the responsibility for paying benefits.
  6. XW

    A symbol used to signify that a security is trading ex-warrant. XW is one of many alphabetic qualifiers that act as a shorthand to tell investors key information about a specific security in a stock quote. These qualifiers should not be confused with ticker symbols, some of which, like qualifiers, are just one or two letters.
Trading Center