Point Predictive recently launched Predictor Agents, a deep intelligence fraud-prevention tool.

The tool is designed to give lenders three new ways to manage fraud before funding and during servicing, covering the applications they receive and, for auto lenders, the dealers who send them.

Point Predictive highlighted Predictor Agents draw on data from more than 650 consortium lenders, including more than 340 million applications and $6.0 trillion in risk-assessed loans.

Predictor Agents can warn lenders about fraud schemes before they can damage a lender’s reputation, let executives query the application histories, loan performance, negative files and fraud patterns across the entire consortium to optimize portfolio and dealer management, and turn a forensic fraud review that once took up to an hour into one that takes seconds.

The company said lenders using Predictor Agents can get three immediate benefits:

—Detecting fraud rings before they make headline news

—Plain-language answers on loan performance, negative files, fraud trends and dealer risk

—Agentic forensic fraud reviews in seconds

Banks, credit unions and finance companies can use the solution to automate the identification of fraud rings and fraud patterns across the industry, deeply research their dealers’ activity across the consortium and supercharge their manual fraud review teams to cover more loans.

Point Predictive explained losses that hurt most are often the ones that end up in the news. Here are some examples:

—A dealer pushing falsified paystubs through dozens of deals

—A ring of synthetic identities building credit for a bust-out

—A straw borrower scheme spread across several lenders can cost millions and draw attention from regulators and reporters

Predictor Agents review every consortium application in real time for identity, income, employment, dealer risk, straw borrowing, credit washing and bust-out activity.

When they find applications from a single lender or from multiple consortium members that should be unrelated but are tied together by a common thread (such as phone number, employer, address or dealer), Predictor Agents cab flag the pattern so the lender can act before the money goes out.

“The fraud that ends up in a headline usually leaves a trail months earlier,” Point Predictive co-founder and chief innovation officer Frank McKenna said in a news release. “Predictor Agents show the underwriter that trail while the pattern is still developing, not after the losses pile up.”

Point Predictive also mentioned scores and alerts describe one application at a time.

Predictor Agents can give risk and fraud teams direct access to the full data repository, which covers application histories, loan performance, negative files and fraud patterns from more than 650 lenders, along with their own contributed loans.

Teams can ask questions about their whole portfolio in plain language and get answers immediately so they can take action.

A chief lending officer can use Predictor Agents to tune underwriting strategies and rules to better target early payment default risk. For example, the executive can ask which parts of the book are producing loans that default in the first six to 12 months, then tighten rules on those segments without slowing down good borrowers.

Auto lenders can also research dealer activity in depth to make more informed decisions on how to manage each dealer. An analyst can ask how a dealer’s applications perform across the entire consortium and whether the same employers, phone numbers or addresses keep appearing, then decide whether to add reviews, change terms or grow the relationship.

Benchmarking is built in as well.

A credit union can compare its early payment default and fraud rates against a similar cohort of consortium lenders to see where its members’ loans perform better or worse than the market, and where the gap is widest.

A full manual forensic review of one loan file can take an experienced analyst 20 minutes to an hour. Agentic Forensic Fraud Reviews from Predictor Agents produce the same kind of report in seconds, giving a small fraud team the reach of a much larger one.

Behind each review are the Predictor Agents, specialists trained by the Point Predictive fraud team on trillions in risk-assessed loans. Each agent applies what the team has learned from those loans to its own area, such as identity, income and employment, dealer risk, straw borrowing, credit washing and bust-out activity.

Every report lays out the agents’ findings by review area, the supporting evidence and what to do next. If a file needs a closer look, the report spells out what to verify before funding, and if the file checks out, it explains why the loan can move ahead.

“Lenders have always managed risk with only the data inside their own walls,” said Tim Grace, co-founder and CEO of Point Predictive. “Predictor Agents put the largest fraud consortium in the world behind this new class of Deep Intelligence AI we have created, and this will transform how fraud is managed across the industry.

“We’re proud to launch this groundbreaking new fraud management approach,” Grace went on to say.

For more information, send a message to Point Predictive at [email protected].