Lenders must share data to fight new AI fraud risks. Last month, the Department of the Treasury issued a troubling report warning banks they are at-risk to emerging AI fraud threats. The culprit is a failure to collaborate. The Report warns that lenders are not sharing “fraud data with each other to the extent that
Treasury calls on Banks to collaborate more to fight fraud Read More »
The definition of fraud in consumer lending is contentious because lenders define it slightly differently. Here are a few definitions I have heard: However, all of these are lagging indicators of fraud rather than predictions, since the events have already happened. In these cases, the borrower never intended to pay back the loan and likely
The opinions in this blog are the author’s only and do not represent a company view or legal advice. Fairness is in the eye of the beholder. Transparency, less so. Here’s an example. The “standard” checking account overdraft fee in the US is $35. That might sound like a lot, especially for a careless mistake
Informed’s 2024 Auto Loan Survey Defect Report is out and shows that deal jacket errors are costing lenders millions and that many C-Suite Executives are still trying to understand the benefits of AI and automation. A majority of this year’s survey respondents said GAP refunds (25.3%), regulatory compliance (22%), delinquencies (21%), and fair lending (21%)
New Survey Shows Where Automation And AI Increase Lender’s Operational Efficiency Read More »
