Press Release 10/28/2011

CLEARWATER, FL – October 28, 2011 – Clarity Services, an industry leader in subprime, thin-file, and under banked consumer data reporting, announced today the release of its new Clear Subprime ID Fraud™ solution. Clear Subprime ID Fraud™ provides powerful identity verification elements and a custom Clarity Fraud Score™ derived from a powerful combination of Clarity credit reporting and Experian identity fraud and credit report assets.

“This is the first identity scoring and verification solution specifically developed to identify both first and third party fraud in the online subprime consumer marketplace,” said Tim Ranney, president and founder of Clarity Services. “While there are a number of verification and identity fraud scoring products in the industry that do a pretty good job of addressing some of the needs of the subprime space,” continued Ranney. “This comprehensive solution is specifically targeted to address two types of fraud: First Party Fraud where a consumer uses their own identity, or some version of it, to obtain credit with no intent to pay back. Third Party Fraud where someone else is using a stolen or fake identity to fraudulently obtain credit.”

With a customized score tailored for the subprime market, the Clear Subprime ID Fraud™ solution outperforms Clarity’s existing solution, improving fraud detection and the ability to accept and fund good subprime consumers, previously thought to be risky. The unique custom fraud score was created using a combination of Clarity and Experian’s data, but is not based on any of Experian’s current scoring models. Clear Subprime ID Fraud™ is an FCRA compliant report that may be used to decline and accept consumers based solely on the returned score and data.

“The Clear Subprime ID Fraud™ solution and Clarity Fraud Score™ can make a real impact to a lender’s current underwriting model,” said Mike Cook, executive vice president of Clarity and former founder of ID Analytics. “The new custom Clarity Fraud Score™ significantly outperforms anything else we have measured.” Cook added.

The new custom score and report address a variety of challenges faced in the subprime industry, including:

  • Detection of those consumers most likely to use their own real identity, or some version of it, to commit fraud in the application process.
  • Identification and return of the correct Social Security Number for a consumer.,
  • Determining if incorrect Social Security Numbers on an application are related to a harmless data entry error or a fraudulent attempt to obfuscate an identity.
  • Categorization of different fraud types to aid in the manual review process.
  • Identification of multiple Social Security Numbers, cell phones, addresses, emails and employer phone numbers associated with a specific bank account.

The Clear Subprime ID Fraud™ score joins an ever-broadening suite of credit and identity risk reporting tools available from Clarity that provide full visibility into a consumer’s use of alternative financial products, banking behavior, payment history and more.

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