CMFG Ventures backs DataVisor, targeting fraud in the credit union sector

CMFG Ventures backs DataVisor, targeting fraud in the credit union sector

DataVisor, a global pioneer in online fraud detection and financial services risk management, has secured strategic funding from CMFG Ventures, the venture capital subsidiary of CUNA Mutual Group.

This strategic alliance will enable DataVisor to extend its services to the credit union market.

The company has secured an undisclosed investment from CMFG Ventures. This funding will bolster DataVisor’s expansion into the credit union market, targeting their increasing need for timely and proactive fraud solutions.

DataVisor specialises in providing an integrated platform that offers real-time fraud prevention and detection. The company’s solution is particularly appealing to credit unions, whose current fraud systems are often outdated, segmented, and costly to implement. Moreover, credit unions are facing diverse types of fraud, from transaction and application fraud to account takeovers.

The funding will be utilised to help credit unions adopt modern fraud solutions that deliver a high return on investment and swiftly detect and combat sophisticated fraudsters in a cost-effective manner. DataVisor’s solution, powered by advanced AI and machine learning, significantly outperforms traditional services, improving fraud detection rates by 40-90%.

The partnership with DataVisor has been enthusiastically welcomed by the credit union community. NASA Federal Credit Union, which launched DataVisor’s platform in 2021, has praised the company’s scalable infrastructure and its effectiveness in replacing previous vendor fraud solutions with improved models and significant cost savings.

DataVisor CEO Yinglian Xie said, “With the growing adoption of real-time transactions, the need to respond to fraud threats with speed, agility, and superior technology is crucial for credit unions to minimise fraud losses and provide impeccable service to their members.”

CMFG Ventures’ investment in DataVisor underscores a larger shift towards the digitisation of payment systems and the importance of fraud prevention strategies in the financial services sector. Mike Kraus, principal at CMFG Ventures, emphasised the value of DataVisor’s innovative technology in helping credit unions stay ahead of emerging threats.

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