For dealerships, fighting fraud is a never-ending battle. Software can aid in the process — but only so far. A tool forged from a partnership between Credit Bureau Connection and Experian claims to stop fraud before it happens, while preserving the evidence in case a bad deal clears the finance office.
If a vehicle is sold to a fraudster, executives at both companies say, general managers and dealer principals can use the tool to figure out how it happened and who was responsible.
The tool, called eCredit Complete, utilizes credit bureau data to flag inconsistencies in the credit application process. Launched this January, the system documents each transaction and the corresponding actions taken by the F&I manager. It also sends the paperwork to a designated dealership employee, typically the chief compliance officer, to sign off on before deals go through. Executives at Credit Bureau Connection say the features stop fraudulent deals from going through and can potentially weed out rogue employees.
Typically, fraud-prevention systems generate a score of certainty that the identity matches the customer. For Mike Green, CEO of Credit Bureau Connection, that score doesn't tell the whole story.
"If you were sitting in front of a consumer running a credit report trying to make a credit decision, and you were returned a fraud score of 92 or 87, in today's world, what does that mean?" Green said.