Visa has created a digital tool that uses AI and proprietary data to help U.S. financial institutions predict credit application fraud.
The Advanced Identity Score combines artificial intelligence and predictive machine learning capabilities with application and identity data to generate a risk score for new account applications.
According to the payments giant, this helps reduce fraud, prevent breaches of loyalty and brand trust, and eliminate operational costs due to remediation.
Visa says its technology generates a double-digit Fair Credit Reporting Act-compliant identity fraud score in near real time to help prevent fraud losses when applying for a credit or loan.
The tool works by using AI to examine data points in areas such as application speed, fraud and suspicious activity, and bankruptcy data. It also integrates data from government agencies, third-party data providers, law enforcement agencies, and self-reported consumer data.
Melissa McSherry, Global Head of Data, Security and Identity Products and Solutions, Visa, says: “Advanced Identity Score offers financial institutions a powerful tool to use in addition to existing systems and processes to prevent fraud related to online banking. ‘identity. ”