Lenders have zero idea how to assess risk in this environment. There is no model that can predict today if I lend $1, will I get paid back?”– Jared Hecht, CEO, Fundera
The Problem? Visibility.
I respectfully disagree with Mr. Hecht’s statement. But, how can lenders maintain volume and good decisioning during the pandemic, amidst increasing risk? Visibility into the true intentions of each applicant. More specifically, visibility into two areas of the application that will help expose fraud and risk.
First, is the applicant who they say they are? Cybercriminals are very smart. They have sophisticated tools and access to compromised and synthetic data that can make them appear as someone else.
Second, is the income information on the application accurate and current? Income stability today could be quite different from months ago, so this is another area that provides real insight, through the applicant’s behavior.
In most cases, FI’s rely on historical and stagnant data to make decisions on the fraud, risk, and credit worthiness of an applicant. That could leave a large hole in the process when the current, real-time behavior of an applicant is absent in the decision-making process.
Neuro-ID’s Friction Index® is a behavioral dashboard that allows FI’s to see aggregate and individual fraud and risk behavior in real-time. This new behavioral layer of data brings to light the fraud and risk associated with the applicant, today…not what they have done in the past.
Neuro-ID’s behavior signal helps bolster existing decisioning engines with critical visibility to help close the gap of risk and fraud, allowing FI’s to treat customers in a more personal, risk-appropriate way. Click here to schedule a demo.