PointPredictive debuted a fraud surveillance subscription service Wednesday, designed to bolster lenders’ fraud defenses by granting access to the company’s analysts and suite of risk-scoring software.
By integrating Outsourced Fraud Mitigation, as it’s called, with a loan origination system, lenders can leverage PointPredictive’s scoring solutions and fraud experts to manually review applications to identify fraudulent activity before loans are funded. If a risk alert is generated through the risk-scoring technology, it will be sent to a fraud analyst for review and, if validated, a report is sent to the lender within 24 hours. Lenders can also upload applications in batches for review.
PointPredictive has been piloting the program for the past six months with lenders in its consortium. The company beefed up its investigative tools and hired “a couple” of analysts, said PointPredictive Chief Fraud Strategist Frank McKenna, adding that he will hire more in tandem with lender demand.
Already, the analysts have confirmed more than 1,200 suspicious fraud loans for lenders and helped prevent millions of dollars in losses before the loans were funded, PointPredictive Chief Executive Tim Grace said in a statement.
Pricing is available in two methods. Payment can either be based on the value of fraud that PointPredictive stops, or it can be structured as a monthly price that varies based on the number of application alerts PointPredictive sends to lenders.
The new service addresses what McKenna calls “one of the biggest barriers lenders have in stopping fraud,” which is the ability to launch a fraud program. “With this new service, we eliminate all of that work for lenders by providing access to our platform and experts, allowing them to stop fraud immediately with no up-front investment,” he said.
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