In the Fight Against Fraud, How’s Your Data Doing?

Fraudsters work around the clock. Your fraud prevention measures should too.

Fraud prevention is a primary concern for any business in the lending industry. The growth of digital and mobile technologies makes it increasingly difficult to determine who is on the other end of a transaction.

A lender’s risk is naturally higher with a subprime borrower than with a traditional prime consumer. As fraud in its various forms continues to increase in scope and complexity, lenders are especially challenged to differentiate between a typical subprime borrower and [...]

Subprime Lending Trends Report Offers Insight into Shifting Market


As a lender in a busy, fast-paced marketplace, you’re likely focused on your day-to-day operations and not always on the big picture. On occasion, it’s helpful to step back to see the trends in the market as a whole. Consumer behaviors, preferences and habits can help decide your next business strategy.

Follow the Trends to Find Your Customers

The more you know about your customers, the better you can serve their needs. This is why trends matter. If you’re a storefront lender and you see the rapid growth in the online market, maybe [...]

Online Fraud Is a Widespread General Practice: Treat It With a Specialist

A recent American Banker article highlighted the fraud problem in the online lending industry. Below, Clarity shares its experience with this threat and discusses some of the ways lenders can fight back.

Online lenders offer convenience, speed and ease of use, which attracts consumers in need of a quick loan during a moment of necessity. To make consumers happy, online lenders streamline their processes. Unfortunately, the seamless process of securing a loan also attracts cybercriminals.

Typically, a cybercriminal is sophisticated. Personally identifiable information (PII) is cheaper than ever before, and easy to extort from an [...]

Temporary Account Record: Your Secret Weapon in the Fight Against Loan Stacking


Financial fraud in 2017 presents itself in many forms, from synthetic identify theft to kickbacks and skimming. As America settles in with a new year and a new presidential administration, lenders are still looking for answers to loan stacking – a popular type of fraud that doubled in frequency during recent years, according to the Wall Street Journal.

Increasingly, lenders of all sizes are finding hope to curb the issue with an innovative data product from Clarity Services. Temporary Account Record debuted last year to address fraudulent loan stacking, an issue that has [...]

Direct Mail Post-Screening

How to Optimize Your Campaign:

Even if you’ve employed all the right pre-screening best practices on your latest direct mail efforts, you still must navigate the critical post-screening period that can make or break your campaign.

Non-prime consumers are a volatile market segment, prone to shifting circumstances … yet the source of exceptional opportunity if understood.

A lot can happen after the initial screening – job change, divorce and more – to cause a prospective borrower to drift outside of a lender’s acceptable predetermined credit criteria. Clarity’s direct mail solutions can help you assess new [...]

See Your Applicant’s Future Behavior

Alternative credit data:
The crystal ball to detect the intent to not pay consumer before you approve the loan

Underwriting a subprime consumer loan can feel like trying to see the future. Lenders need the right tools to help bring that future into better focus. While lenders navigate the process, they must also balance risk mitigation with revenue generation.

Preventing early payment default for subprime borrowers requires a different type of underwriting because their motives and credit history can vary. Some lenders think their job is [...]

Subprime Data Is Key in the Fight Against Loan Stacking

Before lenders can reduce loan underwriting costs and approve more loans, they must first be able to authenticate eligible applicants and flush out the abusers. That’s a tall task, given today’s environment of online lending, competitive pressure and quick turnarounds. Fortunately, it’s a goal that leaders throughout the industry are tackling from multiple angles.

With subprime consumers now representing more than half of the market, Clarity Services is uniquely positioned to provide lenders with a complete picture through exclusive historical and real-time reporting from this key segment. For example, when consumers open multiple loans [...]

Clear Recent History:

Underwriting Clear Recent History

An Underwriting Tool to Expose Loan Stacking

For the past several years, more than half of the population has been categorized as subprime*. It is widely understood that subprime consumers have fewer opportunities to access credit because the underwriting process is more challenging for lenders. Whether because of low credit scores, or due to a lack of credit history (known as thin-file), these consumers are often forced to use alternative financial services to secure necessary funds.

Here’s the thing you need to know about alternative financial service providers: a large portion of them don’t report to the big three [...]