Remove Credit Risk Remove Identity Theft Remove Origination
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Is First-Party Fraud a Credit Risk Problem?

FICO

It’s difficult to define the problem and many banking professionals debate the merits of who “owns” the first-party fraud problem — the credit risk group or the fraud group. The Relationship Between Credit Risk and First-Party Fraud. Credit Risk and Fraud Across the Customer Lifecycle.

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7 Tips to Avoid Chargebacks & Payment Disputes This Holiday Season

Synapse Payment Systems

If a person falls victim to identity theft or fraud, chargebacks provide a simple way to dispute purchases they didn’t make and recover their money. Businesses lose the revenue from the original sale and may also be charged a fee by the merchant account provider. Yet many customers initiate chargebacks for other reasons.

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Application Fraud — Establishing Your Fraud Risk Appetite

FICO

In my previous post on application fraud, we explored the drivers behind the rapid acceleration of identity-based fraud , which includes identity theft / third-party fraud, synthetic identity fraud, and first-party fraud. Managing fraud is a balancing act that starts with knowing your fraud risk appetite.

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Application Fraud – An Open Door for Fraudsters

FICO

Identity theft is one of the key drivers for the soaring levels of application fraud. In Europe specifically, organizations have seen a significant rise in identity theft over the past year. Those that do have a solution often find that it is disconnected from the systems used for originations and customer management.

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Preventing Application Fraud with Machine Learning and AI

FICO

In the area of account originations, our credit risk and fraud scores are designed to be a tool to assist lenders with compliance to applicable fair lending laws such as the Fair Credit Reporting Act, Regulation B, and the Equal Credit Opportunity Act (ECOA). Best Practices in Establishing Your Fraud Risk Appetite.

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How To Fight Identity-Based Application Fraud: Andy Procter

FICO

Andy: Credit risk is the bigger player in account originations. The overall question the organization is asking is ‘should we extend credit to this(these) individual(s)?'. To answer that, there are more underlying questions: Does the application meet with credit policy - do we think they can afford to repay?

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What Is First-Party Fraud?

FICO

In contrast, first-party fraud often masquerades as a credit risk problem; delinquent accounts are sent to collections for a progression of treatment. Cross-border fraud is also exacerbated in the UK, EU and Middle East by a lack of cross-border credit bureau facilities. Is First-Party Fraud a Credit Risk Problem?