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Coinciding with new credit facilities and equity financing, Point Predictive launched new products last week that aim to deliver an “unparalleled level” of visibility and control to auto finance companies tackling automation and digital transformation challenges in fraud and risk management operations.

Point Predictive highlighted that its Case Manager & Rules Engine are browser-based SaaS solutions designed to provide teams with an intelligent layer of risk controls, automation logic, action guidance and key metrics across their originations process.

The company explained that this risk management solution has been specifically built for auto finance companies, as it integrates Point Predictive’s full complement of fraud risk scores, alerts, and consortium data with existing loan origination systems (LOS) to streamline operational risk workflows for analysts and underwriters. Traditional solutions offered to the auto industry are generic workflow solutions that require expensive customization to meet the specific needs of the auto industry;

Point Predictive indicated that its Case Manager and Rules Engine are designed from the ground up as “auto first” offerings to include features to help finance companies reduce unnecessary friction for applicants while protecting organizations against a growing influx of fraud and misrepresentation scams and schemes.

Those features include:

— API integration with real-time data synchronization

Case Manager is geared to serve as an independent, fully-synchronized user interface layer that can work seamlessly alongside a finance company’s current origination environment. Teams can review and action individual applications through Case Manager while keeping the application pipeline intact and flowing.

— Live analytics and an operational dashboard

Since all data is synchronized between Case Manager and the loan origination system of record, Point Predictive said the tool can give teams a detailed array of current operational metrics, including application volume, approve/review rates and caseload statistics to optimize staffing and fraud risk exposures.

— Configurable queues

Case Manager can allow finance companies to set up virtual queues to better allocate team resources and accelerate application throughput. This flexible approach to queue management is designed to ensure finance companies source their operations in a highly-custom way toward the goal of moving trustworthy applications quickly through underwriting in the most automated way possible.

Point Predictive added that these queues also can shift focus manual review resources on only those applications that are risky enough to warrant specific actions under the finance company’s rules and configuration.

— Rules management and policy controls

Point Predictive acknowledged that every organization defines the rules and controls necessary to manage risk while growing revenue and profitability. Case Manager can give administrators the ability to define stipulations and other LOS actions with easy-to-use, click-based logic that can be tested before being implemented.

The company said this process can enable changes to be made to risk management policies quickly without waiting for scarce IT resource windows to become available. These rules also power automation logic.

— Automation logic

Point Predicative indicated most rules, policies and procedures for fraud and risk management can be executed without human intervention using Case Manager’s automation logic combined with the Rules Engine using the latest data in the finance company’s environment.

Automation logic, in combination with rules and real-time data integration, can ensure that finance companies are moving as fast as possible without incurring additional risk.

— Filters

Filters can allow finance companies to view and manage subsets of their origination volumes.

With many U.S. auto finance companies processing thousands of applications each day, Point Predictive recognized that narrowing the focus of agents can be difficult, so these filters can allow staff to find and manage only the necessary subset of applicants.

— Case creation

Point Predicative said case creation is designed to be easy for underwriters, call center representatives and supervisors because all current application data is synchronized with Case Manager.

Case narratives can be entered about any risk concern in seconds, aiding a risk analyst review within the correct queue.

— Fraud reporting

Case Manager can enable finance companies to report and track all suspicious applications sent to fraud teams for investigation and can track how cases generated by system rules are dispositioned.

Point Predictive said U.S. auto finance companies are expected to be exposed to more than $7.7 billion in potential fraud losses in 2022. Point Predictive co-founder and chief executive officer Tim Grace explained that’s part of the reason why the company launched these new solutions.

“Point Predictive introduced the auto lending industry to the consortium approach, which gave lenders a cross-industry perspective on the trustworthiness of the information they receive on credit applications,” Grace said in a news release.

“With Case Manager, any auto finance organization is now in a position to streamline its entire fraud and risk underwriting process in a way that is best suited for its own strategy and operational realities,” he continued. “Every lender that has previewed Case Manager knows that it is one of the easiest ways to further reduce fraud loss exposure while growing top line revenue, all in a manner that avoids any disruption to the technology infrastructure in place.”

Point Predictive invites any finance companies that wish to explore Case Manager and other benefits of consortium membership to contact info@pointpredictive.com.

Point Predictive’s new growth financing

In other company news, Point Predictive said it has received new credit facilities and equity financing from CIBC Innovation Banking, Ten Coves Capital and Mosaik Partners.

“The challenges that fraudulent applicants pose to lenders continue to increase in both volume and complexity,” Grace said in another news release. “Our ability to continually refine and expand the company’s suite of fraud prevention countermeasures and to help our customers automate their loan origination processes is more important than ever.

“We are very pleased that our partners at CIBC Innovation Banking, Ten Coves Capital and Mosaik Partners understand the industry’s need, and opportunity before us, to become the trusted automation partner to lenders across verticals,” Grace continued.

Miles Kilburn of Mosaik Partners pointed out, “We have been fans of Point Predictive’s vision from the start.

“It’s been amazing to see the company grow and execute so well against its original vision,” Kilburn said. “We’re excited to continue to support the company with this additional investment, and believe it is well positioned to capitalize on the large market opportunity before it.”

Paul Gibson is managing director in CIBC Innovation Banking’s office in Reston, Va.

“The management team at Point Predictive leads a robust team dedicated to safeguarding lenders across multiple sectors including automotive, mortgage, retail, and others,” Gibson said. “We are excited to support the company as it continues to scale globally and respect the trust and confidence that they have placed in us.”

And Steve Piaker of Ten Coves Capital added, “The consumer data assets Point Predictive has built are unmatched when it comes to fraud and misrepresentation.

“Capturing the history of over 100 million loan applications, including the performance of those applications and corresponding detail around income, employment, and third parties, such as dealers, brokers and correspondent lenders, has allowed the company to compound its data advantage and provide a differentiated suite of fraud-detection solutions that deliver instant ROI for its customers,” Piaker went on to say.