Experian, a global information services company, has introduced the Hunter Automotive Fraud Alliance, a collaborative data network aimed at assisting automotive lenders in the United States.
This network allows lenders to share real-time fraud intelligence to minimise fraud risk while ensuring a positive customer experience.
With the automotive industry increasingly relying on digital retailing and vehicle prices on the rise, lenders are facing a surge in fraudulent loan applications. The Hunter Automotive Fraud Alliance is Experian’s response to this challenge, designed to provide automotive lenders with a means to share real-time fraud intelligence and protect their customers from fraudulent activities.
The Hunter Automotive Fraud Alliance operates by allowing participating automotive lenders to contribute historical data related to suspected and known fraud applications. This shared information is used to identify potential fraud risk in new loan applications.
The system cross-references data from various sources and calculates a fraud score for each application, enabling lenders to make more informed lending decisions.
Additionally, the network provides integrated workflow tools to help lenders examine suspected fraud in more detail. It also includes a machine learning automated portfolio review feature that continuously rescores previous transactions for fraud indicators. On average, clients experience a 35% improvement in fraud detection when using the Hunter network, leading to a more streamlined application process and improved customer experience.
It is expected that the product will become available to users in the United States in early 2024.
Experian is a global information services company with a significant presence across 32 countries. It plays a crucial role in various aspects of consumers’ and businesses’ lives, from managing data during major life events, such as buying a home or car, to aiding in financial control, making smarter decisions, and preventing identity fraud and crime.
John Gray, president of Experian Automotive in North America, said “As today’s fraudsters become increasingly sophisticated, it’s imperative for automotive lenders to work with trusted partners and leverage the latest technology to stay ahead of bad actors. We have long been committed to helping businesses anticipate future fraud risks and verify consumers’ identities.
“The Hunter Automotive Fraud Alliance harnesses the power of advanced data and analytics and empowers automotive lenders to share fraud intelligence to identify suspicious activity, mitigate fraud losses and protect their customers.”
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