Military Lending Act Compliance Made Easy With Active Duty Indicator from Clarity Services

Clearwater, Fla. – Clarity Services, the leading subprime consumer credit bureau, announces the enhancement of three standard products to include a new active duty indicator to help verify the status of applicants and their dependents.

Effective October 3, 2016, lenders will be required to comply with an amendment to the Military Lending Act (MLA) concerning new terms for extending credit to service members and their families. The MLA will require all lenders to verify the military status of all applicants and dependents. Currently, it is the applicant’s responsibility to inform the lender of their status. Lenders who wish to verify the consumer-reported status are forced to perform a separate, manual entry verification through the Military Lending Act website.

By incorporating the [...]

Prevent Loan Stacking with New Tradeline Reporting Approach from Clarity Services

Clearwater, Fla. – Clarity Services has developed a groundbreaking new approach to loan reporting that can help lenders prevent a growing industry problem. Clarity’s Temporary Account Record is a patent-pending solution that helps eliminate the lag time that occurs between loan approval and loan reporting.

When an extension of credit or a loan is made to a consumer, a lender will generally only report the transaction on a periodic basis, often ranging from 45-60 days for a traditional credit bureau. Even those lenders who claim to report in real time typically do not report new loans until the loan has funded. This funding and reporting lag can be as long as 36 hours.

During this time, it is possible for a [...]

Identify and Prevent More Fraud with Clarity Services

Clearwater, Fla – Clarity Services, the leading subprime consumer credit bureau, announces the release of Clear Risk Indicators™. As part of the Clear Risk Solutions™ suite of services, Clear Risk Indicators combines Clarity’s exclusive data with traditional credit data from TransUnion® to provide comprehensive, up-to-date data for enhanced fraud detection.

Clear Risk Indicators provides a thorough overview of potential fraud indicators, fraud signatures and more. It includes sections with metrics for time periods ranging from one minute to one year to help determine the stability of an applicant’s information, and critical fraud indicators that address the latest fraud patterns. Most importantly, it returns an updated fraud score, supported by reason codes, that supplies a real-time indication of risk.

“The unique combination [...]

Clarity Services Offers Compliance Solutions for Utah Lenders

Clearwater, Fla. – As the leading real-time credit bureau for the non-prime market, Clarity Services is prepared to offer a variety of solutions to assist online and storefront lenders with the compliance requirements found in Utah’s current regulations as well as the Deferred Deposit Lending Amendment (Utah Code § 7-23-401) that will become law on July 1, 2016.

The existing lending requirements and the Amendment apply to any lender who conducts deferred deposit lending in Utah or with a Utah resident, regardless of the lender’s physical location. The Amendment also requires that lenders report to, and pull from, a credit reporting agency for proper due diligence.

Clarity has not only created solutions to address these regulations, but also a portal to [...]

Protect Revenue with Enhanced Fraud Detection from Clarity Services

Clarity Services, the leading subprime consumer credit bureau, announces their newest risk offering, Clear Identity Risk™. Part of a larger suite of services, this solution provides several layers of fraud detection to help lenders identify and avoid funding fraudulent loans.

Clear Identity Risk™ is a powerful identity verification tool, featuring the combination of multi-sourced identity verification (IDV) and email address analysis to identify transactional risk. Email account information, including origination date, domain name and IP location information, is both valuable and predictive when evaluating risk. The use of these elements in screening applicants, while not an industry standard, has shown to give lenders a competitive advantage.

“The multi-source identity verification is powerful, but not fool-proof,” said Product Manager Matt Takamatsu. “Email [...]

Clarity Services and TransUnion Announce Strategic Partnership to Combat Fraud in Short-Term Installment Lending

Clarity Services, Inc. is pleased to announce that we have partnered with TransUnion to create our newest risk offering, Clear Risk Solutions™. This solution is comprised of two reports, Clear Risk Indicators™ and Clear Identity Risk™, which offers fresh, cutting-edge methods to help short term installment lenders better assess and analyze identity and fraud risk. Clear Risk Solutions™ brings together traditional and alternative data, leveraging Clarity’s knowledge of non-traditional lending risk management and TransUnion’s experience with identity decisioning.

“We’re thrilled to be working with TransUnion. They have a high appreciation for alternative data and understand the value it provides,” said Karla Leavelle, Chief Operating Officer of Clarity Services. “We look forward to working directly with TransUnion and welcome them to [...]

Drive Down Risk With Auto Industry Solutions

Clarity Services, Inc., the leading real-time credit bureau providing fraud detection and credit risk management solutions for the non-prime market, announced today its newest set of solutions developed specifically for the auto finance industry.

Through its research, Clarity has gained tremendous insight into non-prime consumer behavior and how lenders should address many different aspects of consumer risk, including applicants’ stability, as well as intent, willingness and ability to repay debt obligations. Clarity has conducted analyses and collaborated with numerous non-prime auto finance companies to develop customized solutions for the industry.

Many auto lenders currently use auto industry versions of a FICO score, or other custom credit scores as a foundation for their risk assessment. Clarity has shown numerous lenders how to [...]

Patent Pending on New Tradeline Reporting Process: Temporary Account Record

Clarity Services, Inc. announced today the patent-pending status by the U.S. Patent Office that covers systems and methods for aggregating and providing data pertinent to the extension of financial or commercial transactions. This new application, called Temporary Account Record, will facilitate lender due diligence in determining a consumer’s ability to handle new debt.

Lenders frequently do not have the most current data on consumers with which to make the best lending decisions. This is due to a lag time suffered when data is reported to traditional credit reporting agencies. When an extension of credit or a loan is made to a consumer, a lender will generally only report the transaction on a periodic basis, often ranging from one to [...]