Industry Innovation Lunch: Fighting Fraud with Eyes Wide Open
SVP, Identity at TransUnion
Hundreds of millions of dollars are lost each year due to originations fraud that lenders cannot detect. Many traditional approaches to mitigating identity risk can still allow sophisticated fraud to slip through. Bad actors who apply for and receive multiple loans within a day or two, perhaps with no intent to repay, do succeed in duping the system. Lenders need help recognizing fraudulent identities and behavior before margins are negatively impacted. And, they need tools that don’t frustrate good consumers or unnecessarily extend lending timelines. The TransUnion Fraud Prevention Exchange utilizes the power of its existing Identity Solutions within a newly established, private collaboration of lenders readily sharing data for common interests in reducing losses. Designed to materially reduce exposure to fraudsters, the Exchange identifies suspicious velocity and reported fraud across lenders in real time.