A Florida company is giving away free fraud prevention services.
Verification Bureau Inc. announced today that qualified mortgage companies will be given free fraud prevention tools and services on a trial basis. Those services reportedly include tools to spot fake tax returns, identify identity theft and detect fraudulent mortgage applications, verifications of employment or appraisals.
The company reports it currently has 550 clients nationally.
The limited-time program, dubbed “Zero Fraud Tolerance,” is touted at the Miami company’s Web site, www.VerificationBureau.com.
“We believe that the implementation of fraud detection software and information verification tools prior to loan funding is the key to keeping fraudsters out of business,” said Verification Bureau President Michael Romero in the statement. “We decided to launch this program to support [the FBI’s] efforts in fighting mortgage fraud.”
But one competitor explains much more is needed to effectively combat mortgage fraud.
“Effective fraud detection encompasses a study in pattern identification which is a function of identifying, isolating and tracking data,” said Kevin D. Coop, president of Interthinx — a MortgageDaily.com advertiser, in a statement. “Unlike other fraud detection systems, we’re … able to leverage hundreds of thousands of transactions each month via our intelligent, cooperative systems. History of multiple loans, both valid and fraudulent, is required to compare a submitted loan both to data and heuristics.”
Interthinx, a giant in mortgage fraud prevention, reportedly has “1,100 customers processing hundreds of thousands of transactions each month,” the chief said. Among those customers are Countrywide, Washington Mutual and Wells Fargo, according to the company’s Web site.
“Unless fraud detection solutions are fueled by profuse and diverse historical data, its practicality is limited,” Coop added.
