Westlake Financial Services is taking additional steps to shield itself from potential fraud.

On Tuesday, PointPredictive, the San Diego-based machine learning company, announced that Westlake is its newest auto-finance client. As part of this relationship, Westlake will use the company’s scoring solution, Auto Fraud Manager, to identify misrepresentation and prevent default on high-risk applications while streamlining the approval of the lowest risk applications to improve the consumer and dealer experience.   

Westlake selected PointPredictive after analyzing the results of their retrospective test and live pilot.

“In our test with PointPredictive, we saw an added lift in identifying defaults tied to misrepresentation on top of our existing fraud scores and tools,” said Ian Anderson, group president at Westlake Financial Services. “The PointPredictive machine learning approach to scoring risk and their unique data consortium is what separates them from the other solutions in the market.”

PointPredictive launched Auto Fraud Manager in February 2017 to help address the $6 billion annual problem of misrepresentation and fraud that plagues the auto-finance industry. Auto Fraud Manager uses machine learning to mine historical data from applications across the industry to precisely pinpoint where fraud is happening.

More than 60 million applications have been evaluated and scored by the system which is continuously learning new patterns as they emerge.

And now PointPredictive is tasked with helping finance companies from being swept into schemes like this one based in North Carolina that stretched over a three-year span, according to federal prosecutors who recently secured a conviction.

“PointPredictive is thrilled to be partnering with Westlake to help them better target fraud and misrepresentation that leads to losses,” PointPredictive chief executive officer Tim Grace said.

“As one of the fastest growing lenders in the nation, Westlake is always looking for ways to safely grow their business with minimal friction to borrowers and dealers,” Grace continued. “With Auto Fraud Manager, we can offer the precise scoring Westlake needs to achieve that delicate balance.”

For more information about leveraging Auto Fraud Manager or participating in the PointPredictive Auto Lending Fraud Consortium, send a message to info@pointpredictive.com.